Sam & All,
An article from IBD dtd '95ish..... Sounds positive, do any of the old-time SVGI watchers think this accurately describes him?
"Papken Der Torossian - Making Silicon Valley Group More Successful By Listening"
"You can send a memo to Papken S. Der Torossian, chairman and chief executive of Silicon Valley Group Inc., a San Jose, Calif.-based semiconductor equipment maker - but he probably won't read it.
''I get reports, but I don't read them. I file them for future reference,'' said Der Torossian. ''I would rather hear it person-to-person, because reports miss the reflections. No one writes the subtleties.''
Even though it is time-consuming, talking to employees is the only way to the information Der Torossian needs to manage the company.
It appears to work.
Founded in 1977, Silicon Valley Group is a leading supplier of automated wafer processing equipment for semiconductor manufacturers worldwide. It was ranked as the ninth-largest supplier in 1993 by Dataquest Inc., a San Jose, Calif.-based market research company.
For the fiscal first quarter ended Dec. 31, the company reported net income of $5.3 million, or 25 cents a share, up 96% from $2.7 million, or 15 cents a share, a year earlier. Revenue for the quarter was $86 million, up 21%.
For fiscal 1994, ended Sept. 30, the company reported net income of $16.8 million, or 84 cents a share, on revenue of $319.9 million, compared to year-earlier net income of $4.5 million, or 22 cents a share, on revenue of $240.6 million.
''I want to know everything that goes on in the company, even the smallest detail. I don't want to approve or disapprove everything. I just want to get a pulse,'' said Der Torossian.
''Knowing that one person wants a transfer doesn't mean anything. But if I know one person wants a transfer, and then a month later another person in the same department is asking to leave and then another leaves, I say, 'Do I have a problem with a manager?' '' said Der Torossian.
Der Torossian is highly effective at one-on-one communications and building employee relationships, sources say, because he is nonconfrontational, sensitive to people's feelings and a good listener.
''He is quite strong on one-on-one communications,'' said Ken Thompson, vice president and director of manufacturing and engineering technology for Santa Clara, Calif.-based Intel Corp., the world's largest chipmaker. ''He is the kind of guy who talks about his past experiences and relates them to business practices,'' said Thompson.
''People know they can always talk to me,'' said Der Torossian. ''They aren't afraid to talk to me because I don't punish for bad news. I don't kill the messenger.''
Der Torossian hates confrontation, and he resolves conflict among employees quickly.
''In my opinion, confrontation stops the brain from working, because when you are confronting you are trying to win instead of solving the problem,'' he said.
Even if he is personally insulted, Der Torossian doesn't attack.
''One guy recently called me a liar. He said I didn't do something . . . I told him I didn't lie, and if you want to give me a half hour, I can explain,'' he said.
Der Torossian listened, agreed his accuser was right based on the information available, and then Der Torossian explained that he hadn't had all the right information.
''For me to say, 'You are wrong, you dummy, I don't want to talk to you,' and leave, nothing is resolved. They still haven't changed their mind,'' said Der Torossian.
While no detail is too small for Der Torossian, he isn't a micromanager.
''He lays out an objective and expects you to get the job done. He is not a micromanager. He looks at the results,'' said Steven Jensen, the company's vice president of worldwide sales and service.
Despite his warm personality, Der Torossian is shrewd and demanding. Executives must be available seven days a week, 24 hours a day, and he often sets unattainable goals, say company insiders.
He reviews and ranks the performance of employees quarterly, he says, to know who are the company's top performers. ''This company runs by the stars,'' he said.
And he expects executives to take risks, make their own decisions, but always keep him informed in the process.
''I have never fired or demoted anyone for taking a risk,'' said Der Torossian - but not taking risks has earned his ire.
''You can never, in my opinion, get to the top of the company without taking risks,'' said Der Torossian.
''Let's face it, the real issue in life is figuring what the problem is. There are calculators and computers to give the answers, and there are people to check it. But if you don't know how to formulate the problem, no one can help you,'' he said.
Der Torossian says his whole life has been a risk.
Born in Antioch, Syria, Der Torossian grew up during a war. He left his country to go to college in the U.S.
He holds a bachelor's degree in mechanical engineering from the Massachusetts Institute of Technology, and a master's in mechanical engineering from Stanford University.
Der Torossian, 56, joined Silicon Valley in 1984 as president; he became chief executive in 1986 and chairman in 1991.
Prior to joining Silicon Valley Group, he was an executive for several technology firms, including 12 years at Hewlett-Packard Co.
Der Torossian is a family man, with a strong value system of treating people fairly and striving to do the right thing - a personal philosophy he learned from his father, a jewelry maker.
As an example, Der Torossian once fired a company executive for yelling at a janitor.
''He intimidated the janitor and I will not stand by and watch another person intimidate another individual,'' said Der Torossian.
''One of the things I learned from my father is to be honest and never let the other guy go hungry,'' he said.
Der Torossian also learned to haggle for bargains, and have fun doing it.
He likes, for example, to fly first class but pay for coach.
''What fun is there in flying first class when you have to pay for it? The company's money is my money. I want to go first class with a coach fare.''
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Copyright (c) 1995 Investors Business Daily, All rights reserved.
Investor's Business Daily - Leaders & Success (02/13/95)
Papken Der Torossian - Making Silicon Valley Group More Successful By Listening
By Lisa L. Spiegelman
Transmitted: 95-02-11 00:02:29 EST (aaaau65s) |
