CEO Conference: Leading your Company in Bad Times & in Good Times

Every one is talking about inflation and bad economic situation. Corporate leaders are looking at options before them. 

This presentation was delivered at CEO Conference at Bangkok. 

Leading the company in bad times and good times is no different as long as we are clear in our objective and know how to lead. Leaders will always have to deliver so that others can trust them and follow them in good as well as bad times. 

It is mainly a mind game, it is also clear that every one will not win. 

Who will win? 

The player who knows how to play well and constant improvement is the only formula to remain in winning category. Else the trophy will go to the next person who performed well. You can retain the trophy by outperforming others.

The best part is rules of the game is same for all companies. So, it is for the decision makers to decide how they want to play the game. Their Strategy will decide their destiny, but consumers will continue to get the service and products. If they will miss the targets, someone else will fill the gap.

There is no alternate to good planning. Good Planning comes through good knowledge. Good People are good knowledge carriers. How many such people are there in your team who can plan and lead in difficult times? 

Think about it. 

Let us also understand the playground in which everyone has to play the business game is also not static.

Let us discuss some of these important issues...one by one. 

Do we have the compelling story to invest and focus in agriculture, food and livestock sector. Answer is YES. 

Reason : Population is growing.

There is huge gap in demand and supply to provide affordable food. 

Right to Healthy Food is fundamental Human Right : At all cost, we have to save public health by providing minimum nutrition for people to survive with dignity.

But, very often we hear statements "Market is bad", there is no demand etc. etc. 

Some times I wonder what really we are trying to communicate ... 

Are we saying people have stopped eating? 

Are we saying no one needs good food that is why there is no demand? 

It is important, we have to read the market signals properly before we come to any conclusion. 

So, what is the status in your company? 

Please ask your finance department.

So, what is the status in your company? 

Please ask your sales department.

So, what is the status in your company? 

Please ask your HR department.

So, what is the status in your company? 

Please ask your research department.

and now ask yourself?

If response of all the above questions are not encouraging, the reason can be you have either delegated your leadership role to someone else or stopped operating as leader for your company.  

May be now you are very busy with the day to day micro management...because systems are weak in your company. You company is individual oriented not system oriented. 

Ask yourself why? 

Reasons can be either you may not have required set of competent people, either in knowledge or management skills or both, or there are certain (corrupt) practices which is hurting your growth.

In both the situation YOU have to take the action to rectify the situation. 

Even if you are doing well, you may not be growing at the desired pace. The reason can be company has not understood the need and aspirations of the stakeholders. Or the focus is on traditional markets and we have not explored other stakeholders with same energy. Unless we take them along company may face headwinds. This will reduce the pace of the growth.

In difficult time, if one segment is suffering does not mean all are suffering. 

Every citizen is our stakeholder in one capacity or the other. Look around us, every person is part of one of the wheels mentioned below. Sometimes, they have direct role, many times they have strong influence on our stakeholders. It is always good to think and plan what is good for all. 

This is a MINDSET challenge. 

MINDSET can be upgraded. It is not that difficult as we think. Open Mind is Good Mind. Unless we are open, willing to listen and understand the different points of view, there is no way we can upgrade our thinking and thought process. 

While doing so, please ensure you encourage difference of opinion.  If someone agrees with you all the time, his contribution to your knowledge base is ZERO. Can he be good adviser to you? Can you depend upon him in case of BAD TIME to find a GOOD SOLUTION. 

Around the world experience says, most of the managers do not tell the facts to the leaders, because they prefer to cover their back first. 

This is a serious problem. Think about it. What is happening in your company. 

Find out what type of people are around YOU. They are there because you encouraged them to be there. 

Very often we do not review our policies, when we are busy enjoying our good times. Suddenly we realize that time cycle is moving and now we are in bad phase. Then we start blaming everyone like government policies, market conditions, competition, tax policies, equipment suppliers, employees, banks, interest rates, raw material suppliers, etc. etc. 

I have never come across any person who says, I have screwed up my business. It means, all business leaders are Gods and can't make mistakes. 

Think about it and think about people around you...

Please correct me if I my interpretation is wrong. 

The fact remains, market is same, government is same, consumers are same, all are purchasing what they want... The problem is your company many not able to sell or make profit. Why?

May be you have ignored those signals which were indicating that market preferences are changing. 

Please look within your systems, organisations and plans. Why your team was not able to capture the early signals. It does not matter what others are doing. Waiting for others to change and then follow them is never a wise decision in business. 

The Challenge is Our action plan and execution must  be Right Every Time, if we have to win the business game in market place.