Showing posts with label business advice. Show all posts
Showing posts with label business advice. Show all posts

Wednesday, April 14, 2010

Returning Chairmen Bring Experience and Success to Boardroom


Executives with years of experience behind them are to a greater and greater extent being recruited to help faltering companies get back on the road to success. This trend of bringing retired executive back up to the plate is continuing as the economy, and businesses, come out of crisis mode and begin the long climb to stability and success.

These older, but wiser executives are being used as “outside chairmen” to bring to the table their well-earned expertise to guiding companies out of the mud of financial instability into the clear waters of financial success.

As Dennis Carey, one of the key executive recruiters contributing to this trend puts it: "These chairmen are strategic equal partners of the CEO because they already demonstrated a successful 'in the trenches' style of management."

The new-old “outside chairmen” enter the picture by leading a board review of the company’s overall business strategy. In addition they evaluate the possibility of spinoffs and acquisitions, while simultaneously running the company in partnership with the CEO and also the business coach.

Since the idea is so successful it is not only utilized by struggling companies, but often companies that are doing just fine will bring in an outside chairman with years of experience in order to do even better. In the year 2004, for instance, only 14 former CEOs became chairmen of new companies, while today there are at least 46 ex-CEOs chairing different companies.

Monday, March 8, 2010

Surviving in a Recession

Yes, this is a difficult time to run a business, but as so many recessions in the past have shown, crisis breeds opportunity. Both Carnegie Steel and Hewlett-Packard were created during long depressions.

In this type of environment when money is scarce and markets are volatile, it is not easy to keep morale up in many companies. As Dennis Carey, a senior partner at Korn/Ferry International explains, this is the time to reevaluate techniques that worked for your company during boom years. As he says, "You can't rely on a peacetime general to fight a war. The wartime CEO prepares for the worst so that his or her company can take market share away from players who haven't."

One key aspect of many businesses right now is to get the funds they need to help their businesses to grow. Only those businesses that can show strong balance sheets will stand a chance.