By Sid Chadwick, Chadwick Consulting, Inc. – 11/07/2024
Published in American Printer : “In Sid's article, he discusses how effective leadership requires vision and agility. He offers strategies to prevent neglect and preserve…”
“The reward of a general is not a bigger tent – but command.” ……..Oliver Wendell Holmes, Jr.
INTRODUCTION:
Effective Leadership….. requires a long term vision – with alert, fast footwork.
With frequency, we’ve watched senior owners turn their life’s work, sometimes more than one generation of life’s work, over to another owner – outside our industry.
Months later, you too often can dare to visit, and pick-up the scraps that reflect….neglect (i.e., lost key personnel, lost revenues and customers, and lost reputation).
Our CEO Peer Group has developed Options:
1. Development of owners’ family members (sons and daughters) – early – for developing and testing their ability to run the company. Addressed early, with advice & counsel (and projects) from Peer Group Members, young family Members can experience more objective and honest personal development, e.g., from projects similar to Internships. (Indigenous Native American Tribes were known to exchange sons.)
2. Hiring of outside, ambitious talent, with and without experience in our great industry. For example, tested, proven top sales talent, from another industry, with patience and grit, is often transferable to an organization that’s on the deadly edge of becoming “comfortable.”
3. Development of current senior management – to hold and guide the reins, can unleash restrained, frustrated energy in a management team – that’s “ready” for new and challenging direction and assignments. (Why wait for them to leave, one at a time, to recognize the opportunity that’s slipping away?)
4. Two weeks ago, one of our Peer Group Members followed-through on a recent announcement – to hire a replacement President, and move himself into the CEO slot…..He had just officially hired his new President, experienced and vetted – from within our industry. Previous multiple discussions with potential buyers had left him asking, “Do I really want to let someone else take over what I spent 30+ years nurturing….?” (He very much looks forward to some personal time – much deserved.)
SUMMARY:
At this time, in our CEO Peer Group, to preserve value, and continue developing value:
a. Four Members have sons – learning to guide the reins. (One of those Members is hopeful of bringing-in a second, talented generation, graduating this year in IT…!)
b. One Member has brought-in a new President, and made himself CEO.
c. Two Members are reexamining their previous plans to sell to Private Equity – recognizing how much they love this great industry, and that there are great options to working – part-time – as the owner, long-term.
d. And one prospective Member sold his shares in a Private Equity company he’d run as a Managing Partner for a decade, and bought himself a long-term owner position in a label and packaging company. (His experience and counsel – are priceless.)
“The reward of a general is not a bigger tent – but command.” ……..Oliver Wendell Holmes, Jr.
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