Smart Business Magazine, Oct 2012

4 Smart Business Florida October 2012 Click or scan to read more columns by Fred Koury LOOKING UP No matter how bleak things get theres always tomorrows opportunity If youve been running a business for some time then Im sure you know some CEOs who are struggling to keep their business going or have already closed their doors In some cases the cause might be the economy Maybe they were in an industry hit particularly hard and were crippled by the drop off in sales or maybe a large customer folded or took its business elsewhere The most troubling aspect in many of these situations is that the person in charge didnt necessarily do anything wrong The leader made all the right calls and did everything by the book but still ended up with a struggling business After youve been running a business for a while you realize that even doing everything right doesnt guarantee success The harshest lesson to learn is that you cant control everything and bad things happen to good people and good companies The real test for many begins not with how they deal with success but how they deal with setbacks Most have never tasted defeat before and it can be a difficult experience One day they are the CEO of a successful and respected company and the next day they are sitting at home wondering what they could have done differently The experience can be depressing for some and overwhelming for others But theres a saying that as one door closes another opens and that certainly holds true with business If you find yourself in the situation of leading a struggling business you need to approach it as a challenge Dont waste time lamenting what could have been focus your energy on what could be Maybe you need to tweak your business or maybe you need to completely reinvent your company but the key is to do something Take McDonalds for instance In the early 2000s the company was distracted by multiple acquisitions a massive expansion plan and a menu cluttered with items consumers didnt necessarily want The stock price dropped to 12 The company reinvented itself by returning to its roots divesting of the distracting side businesses and revamping its menu and restaurants to appeal to consumers The results changed the perception of McDonalds from a restaurant in decline to the undisputed king of the industry with a stock price in the 80 range Another example is IBM The company was saddled with low growth after trying to dominate the consumer and business hardware and software segments and its stock dropped to 10 The leadership refocused the company on business software a few key business hardware components and IT services It now dominates the business IT services category and its stock commands almost 200 per share While you may not be as large as IBM or McDonalds the point is that business is constantly evolving Sometimes it means getting back to your roots and other times it means abandoning one line of business in favor of another Take a hard look at your company and think about what you could do differently Are there some product lines that are better than others What if you focused on your core products and did them better than anyone else Can you follow the lead of McDonalds or IBM to chart a new course If its too late for that look at your current situation and find a new path to success You led a successful business once so you can surely do it again Reach out to friends and colleagues to find out where the opportunities may be in the market and think about a way they could invest in your new venture You never know who may be able to lend a helping hand One door may have closed in your career but with some entrepreneurial thinking the help of some friends and prayer another will open The best is yet to come FRED KOURY is president and CEO of Smart Business Network Inc Reach him with your comments at 800 988 4726 or fkoury@ sbnonline com From the CEO Fred Koury Smart Business Magazine is a management journal providing insight and advice for top decision makers Each edition includes feature articles on management strategies of CEOs of leading local companies In addition we partner with leading service providers to deliver expert advice to our senior management audience SMART BUSINESS FLORIDA 835 Sharon Drive Suite 200 Cleveland OH 44145 8669989201 PUBLISHER VICE PRESIDENT OF OPERATIONS Dustin S Klein VICE PRESIDENT OF BUSINESS DEVELOPMENT Suzy Djilas DIRECTOR OF CONTENT EDITORIAL DIRECTOR Todd Shryock INSIGHTS MANAGING EDITOR Sue Ostrowski SENIOR ASSOCIATE EDITOR Mark Scott ASSOCIATE EDITOR Laura Green DIRECTOR OF AUDIENCE DEVELOPMENT John Lotenero SMART BUSINESS MAGAZINE IS A DIVISION OF SMART BUSINESS NETWORK INC PRESIDENT CEO Fred Koury PRESIDENT CHIEF REVENUE OFFICER Lee Koury PRESIDENT CHIEF STRATEGY OFFICER Michael Marzec VICE PRESIDENT OF DIGITAL MARKETING David Fazekas CONTROLLER Kathy Deutsch CUSTOMER SERVICE MANAGER Colleen Fichter DESIGN DIRECTOR Jim Mericsko PRODUCTION MANAGER Mary Kay Bukowski GRAPHIC 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