PREPARING YOURSELF FOR MANAGING GROWTH
How do you manage a growing company? What can you learn from other CEOs facing the dual challenges of maintaining growth and profitability? What issues are you likely to face and how can you best resolve them? We address these questions and more.
We believe our book is unique. We combine extensive interviews and data from nearly two hundred companies along with first hand experience in building J. P. Industries (JPI), a Fortune 500 company.1 Our diverse research and management experience confirm that companies are dynamic and must be managed that way. We sum up our guidelines in the Dynamic System Planning Model that we will show is practical yet based on well-tested theory. We especially address challenges faced by small growing firms. But the model applies whether or not your company is growing right now. It applies whether you have five employees or five thousand, whether you face a maelstrom of growth and change or stagnation and decline. The model provides a means to develop a more successful company strategy for higher profits and growth.
THE DECISION: TO GROW OR NOT
Consider this unusual concept: you don’t have to grow to be self-employed and financially secure.
Ron started several businesses during his life, but once each venture was underway, he eventually reached a point where the business managed him rather than the other way around. While adept at identifying new markets and making sales, when it came to working with other employees, assigning tasks and coordinating their efforts, he never seemed quite able to make the transitions needed to assure business success. After several such failures, Ron hit upon a suitable niche for his talents–as a promoter of trade shows. He has no employees to contend with, each show is of relatively short duration, and he can move on to the next project before he gets bored or runs into complex management challenges.
Continue reading Managing Growth
Dr. Periklis Gogas Associate Professor
Department of Economics Democritus University of Thrace, Greece
The year 2018 is a milestone for Greece, as it moves towards to the completion of the third economic adjustment program. That means that after the official end of the program in August 2018, Greece must take fate into its own hands, and try to borrow from the markets to meet its future debt obligations. As the country leaves behind the 8-year long memorandum era, the two main concerns for the Greek government and the banking sector are: a) a decision on the debt relief measures that should follow and b) a solution to the Non-Performing Loans (NPL’s) problem.
The International Monetary Fund openly declares what anyone with basic training in economics can see: Greece requires substantial debt relief from its European partners to restore debt sustainability. The main issue here is that the resolution of this problem mainly depends on political decisions from Greece’s EU partners that are hard to sell to their voters-tax payers. This is of outmost importance for the medium to long term stability of the Greek economy. On the other hand, the NPL’s problem is urgent and imperative.
Continue reading Greek NPL’s: Is there light at the end of the tunnel?
If you are buying a business for the first time, you will find that buying a business is a unique experience that requires extensive knowledge and skills in a broad spectrum of areas–legal, accounting, banking, financing, understanding of government regulations, especially in areas of environment, safety and employee relations. You must learn how to obtain and screen leads, how to evaluate and price prospective companies, and how to conduct due diligence. But even highly experienced entrepreneurs who have completed dozens of deals still rely upon professional expertise for certain phases of the process. Thus expect that even after you learn more about the deal-making process, you will still need to hire consultants to assist you in making a successful purchase.
Buying a company is very demanding because it is an intellectual, pragmatic and emotional process, all in one. It is an intellectual process because to be successful you have to think it out. It is a pragmatic process because you have to be realistic about the company you are looking to buy, whether it is worth buying, what its real value is, and what it should be priced at. And buying a company, finally, is an emotional process. Throughout negotiations, beginning with first contact with the seller and continuing through to the closing of the sale, you experience tremendous highs and lows. You must be able to handle both extremes of emotion. You must handle the highs, so as not to reveal your enthusiasm to the seller, and after the lows, to be able to come back and find a solution to the problem that might otherwise kill the deal. The emotional component holds true even after many deals but you do learn to control those emotions with practice.
Reasons for Buying Your Own Business
Some of the reasons for buying your own business are similar to those of any entrepreneur: to control your own destiny; the personal challenge, making money, the satisfaction of building and running something on your own. Continue reading WHO BUYS COMPANIES AND WHY