Failure can be very entertaining – when it hits someone else. For company leaders, failure is to be avoided at all costs.
And yet, so many company builders report that their success was achieved after a spectacular failure. You would think this leads to a lifelong lesson to embrace setbacks, but for most it doesn’t. We seem to be hardwired to avoid failure. Continue reading →
Interim executives, or interims, have recently become an important tool that organizations can use to effectively address a variety of pressing needs. Having said that, many companies are either unaware that interims are even available or appropriate for their current situation. The most common understanding of the role of an interim is to fill an immediate need in the executive team caused by a sudden voluntary or involuntary departure. In this case, a seasoned executive can step right in and allow the company to progress unabated. While much of what an interim does is similar to consulting, successful execution is critical and unique to the role of interims. This blog presents seven case studies to help companies better understand other instances where interims can help. There are certainly more examples, but these are representative. While seven represents everything from the apocalypse to luck in gambling, we’ll stick with seven.
The best private equity funds talk about backing great CEOs, entrepreneurs, and management teams. But in the lower middle market ($2-$15 million in EBITDA), what’s a private equity fund to do when the company they are acquiring lacks resources and the management skills to earn great returns?
What if serious talent doesn’t extend beyond the CEO or founder?
Douglas Song, co-founder of Prodos Capital Management and an investor in lower middle market companies, says that “there’s always a way to think creatively and unlock value in any lower middle market company.” He especially finds common themes among companies where entrepreneurs or families have built a great business over time, but are lacking in certain areas where partnering with additional resources will help them take the business to the next level. Continue reading →
Interim executives deliver real results, in real time, real quick. An interim is unique in the depth and breadth of experience they bring to bear. This allows an interim to see hidden value in existing products/processes/systems, implement actionable strategies and gain true alignment necessary to optimize the business. The interim will review the investments the company has made into processes, organizational structure and systems. This will lead to a focus on the areas which can be easily measured and might yield the quickest return on investment such as profits, systems and process efficiency. Continue reading →
I am amazed how boards, when they are hit with a crisis, look for a fix from the guy who has been in the same industry for the last 15 years. While this might be important for a company on a predictable path to growth in a stable industry (something very rare if not extinct these days), it becomes a liability when the industry is being disrupted by substitutes or by an industry cycle (see recent crude oil price crisis).
In my 20 year career as an interim exec, I have worked across many industries: electronics, software, oil refining and distribution, food packaging, retail and most recently agriculture in the jungles of South East Asia. These industries have been scattered across 12 countries on 3 continents. The problems faced by an interim are never the same, but the basics are always the same. It’s always about (in this order): Continue reading →
When an interim CEO or CFO parachutes into a company they have first-hand experience of what measurements and benchmarks (analytics) are useful and how to use and prioritize them. There is also solid recognition that data and numbers can eliminate a great deal of negativity and get people focused on solutions. Taking action is key, and that often begins with active listening to quickly figure out the exact condition of the company.
An interim must get the facts by asking people what they see and where their main areas of concern are. It is rare during this initial listening process that someone does not say something like “if we had better lighting in this area quality control would improve!” Continue reading →
In a recent interview with The Philippe Matthews Show, Association of Interim Executives Chairman, Richard Lindenmuth sheds light on the most important component of any company in transition: its people. Lindenmuth, who has been an Interim CEO in a number of industries ranging from high technology to services shows how to gain people’s respect, trust, and engagement.
Interim executives are becoming a popular alternative to using a consultant or leaving a position vacant while a search for the right person is conducted. An interim executive also brings a fresh, unbiased review of factors driving organizational health and operational results. The interim executive does not waste time or company resources trying to secure a full time job, but is driven by the opportunity to make changes which lead to a sustainable value increase for all the stakeholders of the business. The client and their customers can expect immediate improvement in delivery, quality, and cost while a search is conducted to fill the permanent position.
Nearly every one of us has experienced leadership transitions that could be described as “good,” “bad,” or “ugly.” And the percentages of disastrous transitions are astoundingly high. As Australian sociologist Hugh Mackay says, “Nothing is perfect. Life is messy. Relationships are complex. Outcomes are uncertain. People are irrational.” So what else should we expect but to experience our share of bad leadership transitions?
What I want to share here are a few of the complexities that make leadership transitions difficult and, more importantly, how to prevent these ugly transitions from happening to you. Continue reading →
First-year Change Agent members have access to the Interim Institute’s 4 hour audio program on the Fundamentals of Interim Management, and a one-hour strategy session to help jumpstart their interim career.
*$200 additional charge for Accelerator Program only applies for first-year members. After the first year, membership renews at $485/year.