“To truly understand Warren Buffett’s conglomerate, one needs to look beyond the extraordinary numbers and absorb the unique culture of Berkshire Hathaway. Every Berkshire shareholder—or investor of any other company, for that matter—should read Margin of Trust to better understand what makes a sustainable corporate culture and, therefore, superior investment that’s built to last multiple generations.”
~Robert P. Miles, executive in residence, University of Nebraska at Omaha, College of Business Administration, Executive MBA Program, Genius of Warren Buffett Course
We’re closing out our Academy of Management virtual exhibit with a look at Margin of Trust: The Berkshire Business Model, by Lawrence A. Cunningham and Stephanie Cuba. In this video, Lawrence Cunningham discusses Warren Buffett’s decentralized, hands-off management strategy in light of Berkshire Hathaway’s acquisition of Dominion Energy’s natural gas division. Buffett’s way of doing business is based on delegating complete autonomy to only the most trusted agents: of the over 150 CEOs he has hired over his career, he’s had to remove fewer than a dozen. Buffett’s extraordinary track record in finding investment opportunities that afford both a margin of safety and a margin of trust is explored in Margin of Trust.