The cliché is that Cash is king. In this case, the cliché is correct. I am fond of saying that in the short-term, a business owner should be most concerned with cash. In the medium-term, the main concern should be profitability. And in the long-term, the owner should concentrate on building the value of the […]
Author Archive | david lightfoot
The Lost Bank–The Story of Washington Mutual
I’m a member of RMA–Risk Management Associates. At a monthly meeting I got a chance to hear a presentation by Kirsten Grind, the author of The Lost Bank: The Story of Washington Mutual–The Biggest Bank Failure in American History. Kirsten was a writer for the Puget Sound Business Journal and covered the WaMu saga for […]
Simplicity is a Virtue
I see many business owners and managers who study their financial statements, chart KPIs, track trends and chase a percentage point here and there. I’ve been told one can’t have too much data. Really? Is this really that hard? I don’t think it needs to be. I prefer a simpler approach. I like one, or […]
Making Your Meetings Productive–Some Simple Guidelines
Meetings. As business people we can’t live with them and we can’t live without them. They are essential. And they are often a colossal waste of time. Two of our biggest local employers are legendary for their meetings. I’m talking about Boeing and Microsoft. For years, no Boeing meeting would be taken seriously without “viewfoils” […]
Debt Gets a Bad Rap
During the last economic downturn, debt got a bad name. And no wonder; too much debt and the subsequent decrease in asset values caused many people and businesses to get hurt or worse. But since that trauma, we’ve overreacted. Now, more than ever, (prudent) financial leverage makes sense. Rates have never been so low. For […]
The Power of Planning
I’m a big proponent of planning. I believe that planning is a key—not “the” key—to being successful. You still need a value proposition and a business model that makes sense. You can plan all you want but if the business doesn’t work, it doesn’t work. But if you plan, you’ll probably figure out it doesn’t work […]
The Seven Habits of Highly Effective People–Revisiting a Classic
Stephen R. Covey’s Seven Habits of Highly Effective People is, without a doubt, one of the classics of business literature. But it is also widely used by non-profit organizations, government and, really, every type of organization and by anyone who wants to be more effective. The teachings can help anyone. Let’s review Covey’s Seven Habits: […]
Spearing Sacred Cows–Attacking the Concept of a BHAG
Jim Collins co-authored, “Built to Last, Successful Habits of Visionary Companies.” It is a standard of business schools and management training. And make no mistake, it is a great book. But one concept, one of the main points of the book, is something I’ve got a beef with. That is the concept of the BHAG. […]
Drive—The Surprising Truth About What Motivates Us
I’d like to introduce you to a book I read a couple of years ago and that I think every manager should read. That book is Drive by Daniel H. Pink. The subtitle is The Surprising Truth About What Motivates Us. Pink’s assertion is that science has been discovering for the last fifty years that […]
The Job of the CEO; The Buck Stops Here
Being the CEO or owner of a business isn’t easy. Many are thrust into the role unprepared and usually they have no experience being the CEO of a business. In my consulting practice I work almost exclusively with CEO/business owners. While it can be lonely at the top, the CFO is usually a person the […]