Louis Ferrante, a former associate of the Gambino Mafia family, has written a very interesting book on management based on his experience in a dynamic entrepreneurial run crime family entitled: "Mob Rules: What the Mafia Can Teach the Legitimate Businessman" published by Portfolio. Many of the lessons he learned can be used in any business the following is an interview with Mr. Ferrante, who spend much of his time speaking to college students on leadership and entrepreneurship.
Why did you write this book?
Ferrante: “I was sort wanted to branch out into other types of books. My agent and publisher wanted me to do another mafia book. I wasn’t sure what I would write. I still think like a mobster. I came to the conclusion that my old mob ways get me through business today. I realized that we , the mob, did things a little better.”
Do mob guys read business books?
Ferrante: “Not active members. The men I was on the streets with didn’t read any books. In prison Mafia guys read Mafia books to see their name in print. I am guessing there a few prisoners that are probably reading my book. I didn’t read books until I was in prison and I feel in love with books. If it wasn’t for prison I wouldn’t have been a reader.”
How did bosses train young associates to take on leadership roles?
Ferrante: “There is a balance. They train you through building your confidence so you can do more. They are careful on who they train to take over a leadership role because it is a Darwinin world and they are sometimes afraid of their protégés. They are afraid the protégé has their sights on the boss’s job. In a world where bullets are dispensed easily so leaders can be replaced easily.”
Although violence can always be used in a society where killing someone is acceptable, what steps would a boss take if someone made mistakes that weren’t malicious, but cost the organization money, to improve the guy’s performance?
Ferrante: “If you cost someone big money it can cost you your bones at the least and your life at the most. It all depended where you stood in the organization. If a boss or captain went to bat for you or you are a major owner and can recoup it plus 10 times that then you would be given a pass. You would be waiting for a decision. For everyone else, they probably would get a beating so you will remember to not make the mistake again. You can’t give a murder a beating because he will kill you , so you might give him a pass depending on the circumstances.”
When recruiting potential members of a crew, what attributes did you look for that lined up with what a legitimate organization could also use in screening applicants?
Ferrante: “I wanted loyalty, trustworthiness and he had to be dependable. You want people who are ambitious. You mold people to meet their leader’s ambitions. You might find someone who isn’t as ambitious as you but he is loyal so that is okay. The mob had certain values like a company has and this translated into the long term success of the organization. Dependability is most important because if they aren’t dependable that affects the crew and everyone up the line.”
When does a boss realize that he has made a mistake moving someone up and how did they rectify it without hurting or killing someone?
Ferrante: “What they usually do when they make someone who is an acting or real captain and it doesn’t work out. The boss can break you back down to a solder. If they didn’t want to kill you they could put you on a shelf. They take away your right to be a member of the family and can’t make money through the mob. If you have a legit business you can keep. Any illegitimate business they would shut you down or they would let you keep it, but wouldn’t let you grow it or tax you more. The boss can take you back or a new boss takes over and can promote you. There is a lot of office politics.”
Are there other motivators besides money?
Ferrante: “When you start out it is a belief in that life. Money is the secondary. Money takes the top spot. As you get older your ideals wane and money is the biggest motivator.”
If a mob guy was being cheated and he didn’t want to use violence how would he obtain justice?
Ferrante: “You aren’t allowed to use violence. You can’t shoot or beat their brains in. if you are in equal positions and ask for a sit down to discuss it. If he is in a higher position you would go to your captain. If the person is in your crew then your captain renders a decision. If the person is from a different crew then your captain negotiates with the other guys captain. When the captain’s can’t agree then they take it up to the next level. A deal is eventually worked out. Rarely is violence used and that happens when one of the people agrees, but doesn’t honor the agreement. It’s no different than when a judge tells you that you have to pay.”
Was their one mob leader that really impressed you and why?
Ferrante: “Vincente “The Chin” Gigante, who was head of the Genovese family. He lived by the old rules. He didn’t let money interfere with his judgments. He had an ego, but you didn’t see it. He seldom exposed. He didn’t care about mansions, yachts or nice suits. He believed in that life. One time there was a meeting with other bosses about millions of dollars and chastised over meeting for money. That bosses should only meet about saving or taking a life. He had a mysterious aura.”