Technology, Capital Markets, Corporate Governance, Leadership, Entrepreneurship
Tag: Board of Directors
When is the correct time to sell your company? Many entrepreneurs and CEOs struggle with this question. A blueprint unfortunately does not exist. Below are signposts we have observed primarily across Application Software, FinTech, InsurTech, Information Services, IT Services and Technology-Enabled Services. The company participates in a mature end market and continued growth is dependent … Continue reading Is It Time to Sell Your Company?
Fortune 500 real estate title insurer First American Financial Corp. (ticker: FAF) leaked hundreds of millions of documents related to mortgage transactions dating back to 2003. CEOs and Boards Need to Make CyberSecurity A Top Priority We have previously taken the position on our podcast and in this newsletter that CyberSecurity is a C-level/ Board-level … Continue reading CyberSecurity Should Be A CEO and Board-level Priority
Tesla CEO Elon Musk's $2.3 Billion compensation package is an example of poor corporate governance and a self-serving Board (ACCESS Our Commentary HERE). For examples of how to run a business well and fairly compensate CEOs for performance - look no further than CoStar (tkr: CSGP) and SS&C (tkr: SSNC). Our CSGP and SSNC data … Continue reading Tesla’s $2.3 Billion CEO Compensation Package
CEO tenure is getting shorter and we believe a primary cause is less than optimal alignment between CEOs, Executive Team members and Corporate Boards. Alignment Scale Exercise On a scale of 1-10 (10 is best) where would you rate the level of alignment between yourself and your direct reports? Between yourself and your Board of Directors?You may … Continue reading CEO – Executive Team – Board (“CEB”) AlignmentPremium
The three Leadership qualities that matter most (CEO or otherwise): 1.) Have a Point-of-View: It is essential to have a point-of-view. Right or wrong time will tell. For example, if a Board of Directors is looking to fill a CEO role, a CEO candidate ought to have a point-of-view in terms of a broad strategy … Continue reading Three Essential Leadership QualitiesPremium
I’m puzzled by the mess that is GE. The Company recently removed former CEO John Flannery after only 14 months at the helm only to replace him with a Board member (Larry Culp). I was a fan of Flannery’s effort to decentralize operations and to divest non-strategic businesses. However, I did not agree with all … Continue reading Boards: Perform Due Diligence on CEO Candidates Upfront. GE Is Still Cleaning Up Its Mess.Premium
The following 7 rules apply to public companies across a variety of industries - particularly to Enterprise Software, FinTech and Information Services companies. 1.) Make Your Numbers 2.) Regular, Transparent Investor Communication 3.) Drive Expanding Operating/EBITDA Margins 4.) Don’t Stockpile Cash 5.) Control Waste 6.) Use Debt as a Tax Shield 7.) Board Composition – … Continue reading 7 Rules for Keeping Activist Investors Away
Personality Analytics Holds the Key as to Why Apple Was More Innovative Under Steve Jobs than Tim Cook Apple has lost its creative mojo under Tim Cook. Incremental product enhancements have become the norm, replacing a time when revolutionary new products, space age design and landmark advertising was the standard. What changed? Look no further … Continue reading Steve Jobs vs. Tim Cook – Innovator vs. Operator – It’s In Their DNA
1.) Be Bold: Similar to VCs, public investors want to invest in a bold vision. (See Tesla). Why does TSLA enjoy a premium valuation to other Auto OEMs? Answer: Musk’s vision and spin. 2.) Don’t Be Bullied by Investors – Dictate Your Story: Tell the Street you plan to take margins down temporarily to pursue “X” initiative. … Continue reading 3 Rules for Tech CEOs
