It might sound surprising to a skeptical public, but culture was always a vital part of Goldman Sachs’s success. It revolved around teamwork, integrity, a spirit of humility, and always doing right by our clients. The culture was the secret sauce that made this place great and allowed us to earn our clients’ trust for 143 years. It wasn’t just about making money; this alone will not sustain a firm for so long. It had something to do with pride and belief in the organization. I am sad to say that I look around today and see virtually no trace of the culture that made me love working for this firm for many years. I no longer have the pride, or the belief.

Respect to execute director Greg Smith for resigning from Goldman Sachs on principle and saying aloud and publicly that making money isn’t everything. So what happened to Goldman?

How did we get here? The firm changed the way it thought about leadership. Leadership used to be about ideas, setting an example and doing the right thing. Today, if you make enough money for the firm (and are not currently an ax murderer) you will be promoted into a position of influence.

Sadly, I’ve seen this in Internet companies too. Senior management is more concerned with numbers, especially sales and key performance indicators than creating a great product. I’m not against analytics. Numbers help guide us in the right direction. But it’s no substitute for leadership and judgement.