When a customer has it easier because of your innovation, they’ll either pay more for your product or will choose you over your competition. Loren Kimura, CEO of Basic American Foods, shows us how committing to innovation can make your customer’s life simpler and grow your bottom line.
A purchase agreement in which the seller receives more if certain benchmarks are met by the buyer in the years following the sale is called an “earn-out”. Such devices hold the promise of giving the seller more from their sale over time, or setting performance standards for the buyer. But they’re tricky, unpredictable, and may poison the relationship.
As time passes and your business grows, challenges hit departments unevenly, and the laggards will need help. Your job as CEO is to keep an eye on each department in your company, sense which one is struggling the most, then dive into that department to pull it forward.
If you set no boundaries around your business, you fail to focus your resources and energy. If you’re too narrow-minded, opportunities can pass you by. Defining your business correctly helps you avoid these two extremes.
Many of us feel the pull to the dark side. The urge to make a few extra bucks or the need to keep the business afloat may push us to contemplate behaviors we would not normally consider. But this slide to the dark side exacts a terrible cost.
Trying new things in business is a must. But not all new ventures succeed, so the process involves some inevitable waste of resources and time. Don’t let that discourage you: the amount of waste can be managed.
Many CEOs come away from business presentations only to dismiss them as off point or not relevant to their own situation. They discard the points they heard that don’t fit them at first glance and choose not to reflect on the matter deeply enough to get real value. It only takes one “A-ha!” to turn that 45 minute talk into a goldmine.
Companies don’t need to sacrifice their reputation for money. By planning ahead for an ownership transition and hiring possible successors, the founders can build long-term value in the enterprise. Matt Henry, now President and CEO of Fehr and Peers, shows us how it worked in their case.
Startups require a mind-set from their CEO that is very different from that appropriate to larger, more established companies. It’s hard to fathom now, but back in 1994 the future of internet e-mail was still in doubt. At the time Jeffrey Morrison, now CEO of Stage One Partners in Los Gatos, piloted a startup e-mail firm called Siren Software.
What would happen to your company if you disappeared tomorrow? Tom Friel, CEO of Heidrich and Struggles, sparked a great discussion about succession at a meeting of the Alliance of Chief Executives.
Robert Sher is founding principal of CEO to CEO, a consulting firm of former chief executives that improves the leadership infrastructure of midsized companies seeking to accelerate their performance. He was chief executive of Bentley Publishing Group from 1984 to 2006 and steered the firm to become a leading player in its industry (decorative art publishing).