40th Anniversary Running Companies: What I Learned and Am Still Learning

It is said that no matter how much one fights it, as one ages a little bit of wisdom seeps in.  July 11th marks my 40th anniversary of running companies. It started with IRIS in 1983. We sold the Federal Acquisition Regulation (FAR) as software back to the federal government procurement agencies. We sold $1.7 million to 250 agencies in that first year (equivalent to $5.2 million today). The company sold by year’s end. For the past 39 years, I worked for Venture Capital and Private Equity firms (and occasionally CEOs) building value in their companies (investments) that were underperforming. All sold for considerably high valuations. My thanks to the hundreds of managers and thousands of employees that contributed to our successes. We learned from each other.

1.      No one is as smart as all of us. Building a collaborative work environment where management and employees build ideas is key to driving revenue and value in a company.

2.      Coming into companies, I looked for windows of opportunity for growth and improvement. I cannot tell you how many times I was told it cannot be done. “You dream too big,” I was told. My reply was, “You think too small.” Dream big.

3.      Nobody is better than just anybody. Do not accept marginal performance and mediocrity. It is a guarantee you will have a marginal and mediocre work environment.

4.      Engineering, product, or sales-driven companies cannot scale fast enough. Be a marketing-driven company driven by these 3 axioms.

a.      It is a numbers game.

b.      If you cannot measure it; you cannot manage it.

c.       Repetition pierces even the dullest of minds. (Should I repeat this phrase?)

5.      In almost every turnaround opportunity, the CEO was the single point of failure in their own companies. Transform your company into a flexible, flat, responsive organization built to drive dynamic growth.

6.      Train your people within an inch of their lives. Build a culture that fosters professional growth. You will retain the kind of employees that will add to the growth of your company and weed out people that are not up to the task.

7.      What is your plan? Please do not show me a budget. Your plan is the blueprint of how your company will achieve its goals and objectives. Build a real, measurable, achievable plan that leads to the fulfillment of your dream.

About DSB & Associates. Our mission is to enable company owners to maximize valuations today through business planning, strategic marketing, sales, and financial planning, process improvement, leadership training, and better technology and security; so, they can execute their exit strategy on their terms tomorrow. Our uniqueness is that we combine revenue generation, financial acumen, building a culture of collaboration, and a history of successful engagements.