Case Study: Unwillingness to Accept Accountability

I believe it is appalling to be involved in a problem, yet, being unwilling to accept some level of responsibility. Actually, I find it shameful. The word Teflon comes to mind - some people just don't want anything to stick to them.

The case in point:

• an underwriter found suspected fraud in a file
• paystubs were not consistent and a verbal and then written verification of employment was sent to the employer listed on the loan application
• HR personnel at employer/medical center claim the paystubs are not the type they use
• letter of explanation, from employer (a doctor), was not on letterhead
• letter of explanation had the office phone number that was a cell phone

Note of Interest:

• It is probable that the applicant and applicant's employer are in fact legitimate. Google search of the records show facts of both as indicated in loan file

The problem:

• lender, nor Alethes, is unable to prove that employee in fact works for stated employer
• HR personnel at medical center has indicated, in writing, that applicant does not work there
• LO and processor insist it is a different doctor/manager with same name, yet have not produced any evidence to support; only emails and phone calls explaining that the lender and I have got it wrong
• the lack of acceptance by LO and processor to accept responsibility for not noticing and properly correcting the problem, or denying the loan, prior to submitting the loan to the underwriting

Assumption:

• if an underwriter or compliance person can find a potential problem, others involved with the file can find the potential problem and stop the file from going farther until the problem is eliminated

Results:

• day 1 - the lender initially suspended our ability to do business - not just this loan officer and processor, but the entire company
• day 1 - I suspended the loan officer, processor, and manager while the investigation is conducted
• day 1 - I requested all information sent to me by all parties
• day 2 - discussed matters with LO, processor, and manager
• day 2- based upon our overall track record, lender is allowing us to maintain a relationship with restrictions
• day 2 - confirmed documents that indicate inaccurate documents with HR Manager. HR Manager has tried to call the number on suspicious letter from employer given by processor - the phone answers and then immediately hangs up
• day 3 - the lender sent a representative to my office to discuss the problems. Lender is going to keep company's relationship but with additional restrictions
• day 4 - continue to investigate matter
• day 4 - processor has sent denial to borrower and there has been no expressed concerns from borrower
• day 4 - I went to San Antonio to meet with doctors but phone calls were not returned
• day 4 - reverse search of phone number shows that it is a wireless number
• day 5 - attempts to call phone number on letter is still unsuccessful. Number does not ring..goes to a fast busy signal

Excuses:

• there are multiple doctors with the same name and the lender, nor I, have contacted the correct people
• it's normal with people with new phone numbers to not have a voicemail
• the applicant is working for a doctor

As serious as this problems it, it is equally alarming is the processor, and to an extent the LO and manager's unwillingness to accept responsibility for any part of this problem. The processor is angry at me for the suspension of employment. I've been specific about with processor about the fact that I do not believe the processor did anything wrong other than not being diligent enough in working the file and succumbing to an LO's urgency to get a file submitted.

In a discussion with the processor on Day 4 about the conditions under which the processor would be reactivated, the processor let it be known that I had a law suit headed up my lower exterior (butt) and that the processor would never do business with that lender again.

So, while I've been mulling over all the ways I could have prevented this problem and what to do about the problem, others just want to claim it wasn't a problem and go on about their business.

A severe unwillingness to accept accountability.

How would I ever trust people like this to work for me in the future? In order to have trust, I have to be able to hold them accountable. I have to be able to check their agenda and their agenda seems to be; 1. submit file, 2. if some thing's wrong, lender will catch, 3 if lender catches, whoops, 4. next deal.

The lender in this case has added a quality control task to the process in order to do business. If I choose to allow these employees to work for me, I have to add processes or risk the same bad results.

This is a prime example of 1. decreasing trust = 2. increase costs = 3. decrease profits. The speed of trust slows down to a crawl with all parties.

All due to Unwillingness to Accept Accountability

Follow First

I continue to search out what it means to follow and yet, I find out more about leading that leads me back to being a better follower. And the loop continues...more of that robust evaluation and correction!

Through following I'm becoming more patient and I find that while I'm practicing patience others around me are grasping a better hold of their responsibilities. Yet, most of these that I'm following are subordinates on the org chart. And that's a good thing. Waiting, allowing others to lead has been refreshing, even a bit nerve racking!

I can see where many problems have stemmed from; people don't know how to follow. Or, at the least, they don't know how to be a good follower (Ira would say "they don't know how to be a Courageous Follower). Now, to have had more courageous followers like Cathy Smith in the past...today's results would have been much better.

Much of following has to do with behavior and if practicing Smart Trust has taught me anything it has taught me how to me watchfull of my followers' agendas and motives; which are played out in their behavior. Specifically, I've learned to look for passive-agressive natures. It's refreshing to have people like Carrie Hartwell that walk their talk. People like that are easy to trust; they allow themselves to be held accountable and their behavior matches up with their agendas.

So, slowly I practice the discipline of Following; learning what it means to be a good follower; a courageous follower; a follower that is working to make the best of where he is; getting good results of the box.

And hopefully that leads me to becoming a better leader; learning through change.

To that end...

No doubt, if you've been reading much of this blog, you know that I believe that the Bible is the ultimate truth and to search out it's meaning is the deeper than we can imagine.

Ecclesiastes 3:1-9 is the epitome of this truth yet depth.

"For everything there is a season, and a time for every matter under heaven.....what gain has the worker from his toil?"

This is an excellent verse for keeping one in check while trying to stay in-the-box.

Here is what some of what the old guys have to say about these verses:

Gregory of Nazianzus - at all times you should be engaged upon the work of your salvation, because every time is suitable for a life pleasing to God.

Basil the Great - for prayer and psalmody, however, as also, indeed, for some other duties, every hour is suitable, that, while our hands are busy at their tasks, we may praise God sometimes with our tongue; or, if not, with our heart....thus in the midst of our workbwe can fulfill the duty of prayer, giving thanks to him who has granted strength to our hands for performing our tasks and cleverness to our minds for acquiring knowledge, and for having provided the materials, both that which is in the instruments we use and that which forms the matter of the arts in which we may be engaged, praying that the work of our hands may be directed toward its goal, the good please of God.

Managing Tightly

Thanks Brandon Dady for the Good-to-Great reminder: "the moment you feel the need to tightly manage someone, you've made a hiring mistake."

Courageous Follower: Taking Action

A leader leading leader is not the only one leading. A leader leading leader attracts people that follow and lead well and empowers both to take action.

Courageous Follower: pg 35 - "leaders want their staff to assume more responsibilty, initiate ideas, and take action of their own."

Some positive examples this week of a leader leading leader; Curtis staying after me for a meeting (it took 2 tries to get me in the meeting) about settings on a new piece of software that we're trying to implement, Jamie going beyond her normal responsibilities to get a problem fixed, and Austen developing a new market awareness program.

This is type of work that energizes a leader and leave him refreshed at the end of a hard day instead of worn down.

We must all learn to do the job we're hired to do and accept that the job is not all laid out on a policy or a checklist. We have to think and take action; ask questions, insure we have the knowledge and keep asking ourselves and others questions until we do.

Don't be the weakest link, take action and be a leader leading leader.

Follow well.

Teamwork and THE Box

Learning to work in the Box is not easy. All of us want something we don't have and have to be reminded to be content.

Content. Contentment. Not something we normally think of in a positive way. But, working in the box, succeeding in the box, is about being content that that you have to do with what you have. And succeeding with it.

Let's take the team I have to work with right now. I'm content with this team and it is maybe best team I've ever had. Everyone is focusing on their job duties, accepting responsibily, and striving to do their best with what we have.

Our industry is in a state of turmoil. At best, it is deep in paranioa and it should be with the results of the past few years. Defaults are at all time high and losses continue to mount.

I salute people like Carrie Hartwell, Kelley McCutcheon, Kandy Dinkins, Natalie Gaston, and Austen Smith that continue to come to work everyday and plug away at what is thrown at them.

Own Your Own Role as Followers

"It's wonderful that Henry Ford built Ford Motor Co., but so did the other 3 million people working with Henry Ford. So, yes, we all greatly need to own our own role as followers."

Ira Chaleff @ http://www.exe-coach.com/follow.htm