Recent content from Lee Schafer
Schafer: Three years on, the Wells Fargo scandal is still breathtaking
Thousands of people at the bank knew better. Even the friends and family of Wells Fargo senior executives knew better.
Schafer: Taking a cue from activist investors
The best idea for dealing with this kind of hedge-fund shareholder seems too valuable to not share. And easy, too.
Schafer: Investing in college doesn't always pay
The thing that matters is whether you got value out of what you paid for.
Schafer: Manufacturing has become a weak spot in a healthy economy
The latest of the very closely watched purchasing managers index readings just confirmed what we have been hearing for a while, that American manufacturing went…
Schafer: For Mayo and other nonprofits, operating in the black is about survival, not greed
We have to once again talk about how it just isn’t possible to have a greedy nonprofit, never mind what presidential candidate Bernie Sanders might…
Schafer: For activist investors, real change can be elusive
What really matters is whether the management team generates a return on the capital that exceeds what it costs to get the money in the first place.
Schafer: Best business movie of the decade? "The Social Network" about Facebook
Without counting documentaries, a list of 10 was way too ambitious.
Schafer: Minneapolis Fed's Kashkari plans a steady course in 2020 — with voting, on Twitter
Neel Kashkari thinks he attracts critics mostly because he's both active and open to mixing it up a little himself on Twitter.
Schafer: For Burnsville startup, finding the right board members key to launching product
Chief Executive Lisa Lavin is the only officer listed on the website of Anser Innovation, a startup company based in Burnsville, although a half-dozen additional…
Schafer: When it comes to affordable housing, money matters
On their own nickel, no developer would so much as paint the porch on any of the Fort Snelling buildings.
Schafer: Falling life spans show U.S. economy failing many
Life expectancy stopped increasing in the United States in 2010 and has been decreasing since 2014.
Schafer: 3M deal shows importance of knowing when to sell
Finding the right assets to sell is one of the underappreciated arts of good management.
Schafer: Low interest rates mean recalculating the retirement income formula
For that big generation of Americans now retiring, low-risk investing ideas that provide income have got to be top of mind.
Schafer: Cost-sharing pools don't solve the real problem in health care
A short video entitled “How Does Sedera’s Medical Cost Sharing Work?” on the website of Sedera Health leaves at least one big question unanswered —…
Xcel sees financial payoff in push for wind-power development
The case the industry makes — renewables are cheap enough, and getting cheaper — is getting clearer in the latest numbers.
Schafer: The first step in helping people is getting to know them
Thinking more about the why behind our gifts could make donating a far richer experience.
Shared prosperity is part of competitiveness
One more program for emerging leaders wouldn’t be all that interesting, until you learn more about the problem that a new Minnesota initiative is addressing.…
Schafer: Trade warriors should heed bloody lessons of the Civil War
That's where the reality of the war finally sank in for Gen. Grant: There wasn't going to be any one decisive action that could bring the war to a quick close.
Schafer: Big valuations for Bite Squad, WeWork were never realistic
A reckoning with reality was inevitable.
Schafer: Formula for retaining software engineers is mostly hard work
Maybe that's the lesson for employers, when it comes to talent: Constant recruiting followed by a willingness to train.
Schafer: Rebranding a company is never easy, but sometimes necessary
To understand where Discount Steel came from, you have to go back to its beginning in the summer of 1992.
Schafer: Major threat to U.S. jobs today? It's automation, not China
The adoption of technologies to let machines take over much of the work people do is just getting going.
Schafer: Credit card industry seems stacked against young adults
A recent Wall Street Journal article on the evolving credit card market sent me checking to see which card I actually carried. Credit cards are…
Schafer: Best way to cut health care costs is keeping people healthy
One person's runaway and wasteful costs are someone else's core business revenue.
Why do so many Fortune 500 companies call Minnesota home?
The country's 16th largest metro doesn't dominate the Fortune 500 list because of its size.
Schafer: Why Ecolab must undo a deal that's already complete
It provides a fascinating glimpse into a problem that big companies might continue to have as they keep trying to grow in their main lines of business.
Schafer: Minneapolis startup aims to stop sex harassment with 'candor clause'
Soona CEO and co-founder Liz Giorgi put contract language into the company's financing documents: "I'm sick of this nonsense."
![Christopher Ingraham takes his twin sons, Jack and Charlie, for their first snowmobile ride this winter. ] Washington Post reporter Christopher Ingrah](https://stmedia.stimg.co/ows_156960459010388.jpg?h=120&w=180&fit=crop&bg=999&crop=faces)
Schafer: Flow of ideas gives large cities an economic edge
The growth of the Twin Cities can't be explained by having more appealing restaurants or shiny stadiums.
Schafer: Could WeWork become an economic risk in a downturn?
Flexible office spaces like WeWork's represent just 2% of the U.S. office market. But some experts worry they are subject to a run when a downturn comes. It's a classic mismatch problem, our business columnist writes.
Schafer: Preparing for college helps families to talk about value
One reason to pick up a book described as a “field guide for college preparation” for the parents of high schoolers is for insight into…
Schafer: Northrup King's success with artist community shows that capitalism works
You have to wonder, once again, exactly what's wrong with trying to make money or why a nonprofit has to step in.
Schafer: Apple watcher Gene Munster on why the company still shines
What he got out of the presentation is that Apple displayed what its customers wanted.
Schafer: Will tariffs hit Target's customers or its suppliers?
Tariffs reshape economic activity in lots of different ways. It's not always easy to know who bears how much of the burden.
Schafer: As Kmarts close, store blocking Nicollet Av. in Minneapolis endures
For years we have read of a top-performing Kmart store in south Minneapolis, as recently as 2017 described as the most successful Kmart in the…
Schafer: The CEO who said attacking society's ills is a good aim for business
For Bill Norris, there wasn't really a choice to make between making money or having a social impact. Why not do both?
Schafer: Mpls. Fed leader Neel Kashkari sees room for even lower interest rates
Kashkari's point is that interest rates can still decline from here, particularly short-term rates.
Schafer: Will the 'energy of We' fuel the WeWork IPO?
The fun went out of the WeWork story the morning the company, now called the We Co., filed to sell shares to the public. There…
Schafer: Student loan debt won't lead to another financial crisis, economist says
It's one of those situations where the averages aren't really very helpful in forming a clear picture.
Schafer: Is everybody really OK with the Bloomington-MOA water park project?
The problem is that the water park — which would cost about $250 million just for construction — does not seem viable with private-market money.
Schafer: DEED has new plan to measure results
Former Silicon Valley executive Steve Grove knew where to look for a better way: Google.
Schafer: We could be watching the end of an era of globalization
For the youngest baby boomers and those born later, this is the only world they've ever known. And it has transformed American business.
Schafer: Leadpages founder tries 'radical candor' at new startup
The co-founder and board chairman of the company behind the marketing software Leadpages and Drip, Clay Collins, meets regularly with CEO John Tedesco, often over…
Schafer: Adrian Peterson shows why pro athletes need to be careful with their money
When stories surface of pro athletes in financial trouble, it's fascinating how often the big issue is that one investment after another has fizzled.
Schafer: Wells Fargo's challenges start with finding a new CEO
Maybe my expectations were too high, but finding the job I was looking for on the careers web page of Wells Fargo & Co. proved…
Schafer: 'Conspicuous consumption' theory could explain runaway CEO pay
With nothing new to say about CEO pay, I decided to look for inspiration by driving south to Nerstrand, a village of about 350 an…
Schafer: Fastenal could predict trouble for manufacturing sector
Sure there are a lot of construction cranes swinging and news of more open jobs than unemployed people. But before concluding the economy must be…
Schafer: Lawsuit over U.S. Bancorp pension headed to Supreme Court
The lawsuit against U.S. Bancorp for mismanaging its pension, which is headed for the U.S. Supreme Court, originated in our backyard, but that’s not the…
Schafer: UnitedHealth is smart to add doctors to its fold
Anybody curious about why a company like UnitedHealth Group continues to gobble up physician practices and pharmacy companies just needs to ask themselves one question:…
Schafer: Irrational thinking usually holds us back, but not always
Even a tiny bit of power can turn people selfish, something that workplaces must try to avoid.
Schafer: PolyMet's Iron Range project has been Glencore's all along
There was a typically long and tedious list of risk factors in the recent stock deal prospectus of PolyMet Mining Corp., but the company helpfully…
Minneapolis venture capitalists zero in on ways to solve massive student debt
Sen. Bernie Sanders seems completely serious about the proposal he offered this week to wipe out all the debt of student loan borrowers, and if…
Schafer: The economy soars, but many see little benefit
We are now just weeks from breaking the record for the longest uninterrupted stretch of economic growth. But will this feel like a record worth celebrating?
Schafer: Brainerd's $205M investment in schools is good for business
A project this sweeping was years in the making.
Schafer: My family's story shows why people come to America
VIK, NORWAY – Each stop at the homes of my family’s immigrant forebears was more scenic than the last, until finally reaching an…
Schafer: Are bond markets sending a warning on the economy?
One of the first things we learned while getting trained in the bond-markets unit of First Bank St. Paul 35 years ago was that there’s…
Schafer: What it's like starting up a company in a headquarters town like the Twin Cities
The first tech entrepreneur to describe the Twin Cities as a “company town” for me was Jamf co-founder Chip Pearson of St. Paul, and since…
Schafer: Pair has a new idea for a great product: Happiness
Lots of things are pitched to us as consumers with the promise that buying will make us happy. Products, vacations, social media apps, you name…
Schafer: It's time to do something about runaway insulin prices
At some point, people won't put up with any more price increases.
Schafer: VivaQuant makes intriguing bet on equity crowdfunding
VivaQuant is not anything like the dozen or so Minnesota businesses that have sought funding directly from small investors in the last few years.
Schafer: Buying a new system is right solution for MNLARS debacle
What's changed to make buying a system the right choice now? One thing is the growing capability of companies like Colorado-based Fast Enterprises.
Schafer: Why crowds still flock to hear Buffett
Berkshire Hathaway is an old-fashioned conglomerate of a type that went out of fashion a long time ago.
Schafer: 3M staffing shakeup has been a long time coming
3M executives admitted to being too slow to do what investors saw as the right thing — letting a lot of 3M employees go.
Schafer: Fairness is built into state's tax code; gas tax wouldn't end that
A gas tax is really a textbook example of a form of tax that economists call regressive, meaning it takes a bigger bite out of the incomes of lower-income people than the well-off.
Schafer: If you want to be rich, don't be young during recession
Timing is everything when it comes to building wealth. That's the message from a recent gathering at the Federal Reserve Bank of Minneapolis.
Why start a company that helps kids track education progress? Its founder explains
UR Turn, based in Minneapolis, got its start in 2016 with the first users in 2017.
Schafer: UnitedHealth isn't the one to listen to when it comes to Medicare for All
UnitedHealth's experience with the ACA says a lot about how big insurance companies react to changes out of Washington.
Schafer: How many jobs will robots eliminate?
Self-driving cars and other robotic technologies won't come for a while, a top McKinsey executive says. But until then, leaders in business and society need to figure out how millions of people's jobs will be affected.
Schafer: Did Irwin Jacobs improve the companies he targeted?
Lord only knows how many different businesses Irwin Jacobs touched during his career, but it was his high-profile public role as a takeover artist that…
Schafer: Insider was wrong person to fix Wells Fargo's biggest problem — its culture
It’s actually possible to feel a little sorry for Tim Sloan, the departed chief executive of Wells Fargo & Co. Like the time Tim Sloan’s…
Schafer: Have low investment returns become normal?
If the Fed is backing off rate hikes, big questions still loom, business columnist Lee Schafer writes. Among them: how will savers beat inflation? And what will happen when the next recession comes and there is little room to cut rates?
Schafer: Lyft's filings are a new milestone for asset-light businesses
There were few surprises in the filings of ride-sharing firm Lyft Inc. as it prepared to go public. Anybody paying attention already knew the company…
Schafer: With 'Great Gatsby Curve,' economist Krueger saw inequality kids face
His work in the Obama administration highlighted just how long the odds kids might face of lifting themselves into the upper classes are.
Schafer: Companies should be smarter about stock buybacks
When looking to confirm news of a stock buyback plan, a first scroll through recent news releases of Medtronic PLC turned up nothing. There was…
Schafer: As people live and work longer, is it time to rethink retirement?
Maybe it's time to dump the term full retirement age: A lot of hard-to-plan-for things can happen between the last day on the job and last day on earth.
Schafer: New-housing infrastructure fees stir up the suburbs
Deep in a report by the trade group Housing First Minnesota on fees cities collect on new housing is a little chart that shows how…
