Greg Abel Is Doing Something at Berkshire Hathaway That Warren Buffett Never Would Have
Written by James Brumley for The Motley Fool -> Warren Buffett made a point of not interfering in the management of businesses that Berkshire Hathaway wholly owned. New CEO Greg Abel, however, has shown some noteworthy interest in being more actively involved. Even so, Abel ha
Warren Buffett made a point of not interfering in the management of businesses that Berkshire Hathaway wholly owned.
New CEO Greg Abel, however, has shown some noteworthy interest in being more actively involved.
Even so, Abel has also made clear that he sees the value of leaving things alone, and he understands that meddling can often do more long-term harm than good.
For the 60 years Warren Buffett served as CEO of Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) , he employed a policy of not meddling in each subsidiary's managers' leadership of their respective business. His thinking? They were smart enough on their own to build a business he was interested in owning.
Buffett's predecessor, Greg Abel, may not feel quite the same way, though. After announcing its plans last month to wholly acquire and then privatize homebuilder Taylor Morrison Home Corp. (NYSE: TMHC) , last week, Abel alluded to the possibility of combining Taylor with another Berkshire company -- manufactured- and mobile-homes builder Clayton Homes.
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It's not happened yet. And it may never actually come to pass.
If it does, it would represent a change in Berkshire Hathaway's long-held aversion to fixing things that aren't actually broken.
