May 22, 2024

Resolving Conflict on the Management Team: Why it Starts and How to Fix It

Resolving Conflict on the Management Team: Why it Starts and How to Fix It

Not long ago, InterimExecs was approached by a human resources professional who was concerned about the level of conflict among the members of the management team. The clashes had reached a point where they were, she said, ready to kill one another.

That got us thinking: Is conflict simply the nature of the beast these days?

Turns out the answer is no, according to Alicia Fortinberry and Bob Murray. Their company, Fortinberry Murray, is “committed to arming people and businesses with the knowledge and practical skills to build the organizations, communities, families and relationships that are compatible with our ‘design specs’ and enable people to be healthy and fulfilled.”

InterimExecs CEO Robert Jordan sat down with the duo to talk about conflict on management teams and how to handle it. This is an edited transcript of their conversation.

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March 26, 2024

The Six Times PE Funds Use Interim Executives

The Six Times PE Funds Use Interim Executives

Many private equity funds hear the words “interim executive” and think the only application is an Interim CEO or CFO for turnaround or short-term fill-in of a portfolio company. But PE funds seeking a great return look to interims for their unique abilities to build and transform companies.

An Interim CEO brought on to lead a recently acquired private equity portfolio company, for example, may match the hold period of the fund. That could mean several years of working to build, grow, and ultimately exit the company, hitting big returns for everyone involved.

Here are six major use cases for an Interim CEO, Interim CFO, or other interim executive in PE-backed portfolio companies:

1. Interim Executives in Diligence

Most funds hope to spread their wings and work beyond industries where they’ve already had success. In looking at new industries where acquisitions may cost less and produce higher returns, a little more diligence is often needed. The further afield a fund goes, the more they need expert leadership removed from prior operating teams.

We recently matched a $5B+ fund with an Interim CEO expert in e-commerce and consumer goods to help determine if a potential acquisition made sense. While the fund had deep experience in the manufacturing space, understanding the current challenges and opportunities to expand go-to-market strategy was essential. Once the deal closed, the executive transitioned into an ongoing advisor role to ensure the acquisition would be a success.

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February 27, 2024

The 6 Biggest Business Mistakes and How to Fix Them

The 6 Biggest Business Mistakes and How to Fix Them

Interim executives, by definition, come into difficult situations, assess them quickly, and create a plan for success. That means they have a front-row seat to the most common business mistakes companies make in the areas of leadership, operations, human capital, strategy, business finances, and change initiatives.

Focusing on these fundamental business needs is a good starting point for any struggling business.

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January 18, 2023

How a Turnaround Now Can Help You Avoid Business Bankruptcy Later

How a Turnaround Now Can Help You Avoid Business Bankruptcy Later

First, the good news: Corporate bankruptcies in 2022 have been running below average. Now, the bad: That is about to change. Big time.

Government stimulus, post-pandemic demand, and historically low interest rates combined to give companies the edge during the first half of 2022. Organizations that survived the pandemic shutdowns thrived as the world recovered.

In fact, Cornerstone Research, which tracks business bankruptcy trends in Chapter 7 and Chapter 11 bankruptcy filings by companies with assets of $100 million or more, says in its midyear 2022 update report that there were only 20 bankruptcies filed by companies with $100 million plus in asset during the first six months of the year. It’s the lowest midyear total since the second half of 2014.

But the US Federal Reserve is waging war on inflation with historically fast increases in interest rates – more than 3 percentage points in just six months. That, coupled with the threat of a global economic recession, is spelling trouble for highly leveraged companies and underperforming firms.

We asked two turnaround specialists to walk us through the highly charged bankruptcy landscape as 2023 looms.

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August 29, 2022
Robert Jordan

Venture Capital 101: How to Survive and Thrive When VC Funds Dry Up

Robert Jordan | CEO, InterimExecs
Venture Capital 101: How to Survive and Thrive When VC Funds Dry Up

Way back in 2009, the Great Recession hit America. And it didn’t pass me by.

In case you don’t remember how bad things were, let me refresh your memory: Bear Stearns failed. Lehman Brothers failed. Merrill Lynch sold for next to nothing. Countrywide Mortgage sold for pennies on the dollar. AIG had to be propped up by the federal government. General Motors went bust, was put on life support thanks to the federal government. People were worried. They wondered whether they would go to the ATM one day and no cash would come out because their bank had failed.

And me? I was at a startup called PV Powered. We were developing the next generation of commercial and utility grade solar inverters. We had about 100 angel investors and we were burning $750,000 a month when the Great Recession hit despite as much bootstrapping as possible. The next thing we knew, 98 percent of the investors had backed out, equity stake be damned, announcing they would no longer support the company. And who could blame them?

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July 25, 2022

How to Overcome Barriers to Organizational Change Fast

How to Overcome Barriers to Organizational Change Fast

Humans are hard-wired to resist change that we don’t like or fear. Our brain interprets that sort of unwelcome change as a threat and readies us for “fight or flight.” 

Given that, it’s easy to see why companies find implementing change management initiatives so challenging. When evolution is desperately needed, employees dig in their heels and cling to inefficient systems and outdated technology. 

This weakens the company’s competitive edge, slows its go-to-market opportunities, and wreaks havoc internally. The end result is that these organizations remain stagnant, fueled by a lack of internal alignment and frustration among employees who are not empowered to make decisions.

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February 16, 2021

The 4 Ways COVID-19 Has Transformed Sales

The 4 Ways COVID-19 Has Transformed Sales

Engaging in person may have been the go-to sales tactic for decades, but COVID-19 has amplified what many in the industry have felt for years: Buyers and sellers want a digital and remote experience. No office drop-by, conference room pitch, or long dinner necessary. But it doesn’t just check the social distancing box. Adapting to an online sales structure makes for easier scheduling, cuts travel expenses, and can often be more efficient. And there’s no looking back.

According to an October 2020 McKinsey survey, more than 90% of buyers expect to continue with a remote or digital model even after COVID-19, and only 20–30% of buyers want to “ever interact with reps.”

Those kinds of numbers prove just how disconnected much of the industry is from the zeitgeist, explains InterimExecs RED Team executive, Philippe Lavie, who specializes in sales transformation and helps high growth companies more effectively plan, accelerate, and manage their revenue growth.

According to Lavie, selling in 2021 (and beyond) calls for a deeper understanding of the buyer, the seller, and just how drastically the marketplace has evolved.

Here, he dissects the four critical ways inside sales teams need to change in order to stay afloat and succeed in our new normal.

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August 31, 2020

When Should You Bring in a CFO?

When Should You Bring in a CFO?

In every business there comes a tipping point when change is needed to get to the next stage of growth. While as a company owner or CEO, you may be adept at running the day-to-day, at some point you may start to feel that you need to be more tuned into your finances.

Maybe you have a Controller or bookkeeper keeping transactions up-to-date so you can run reports for your banker from time to time. But what happens when transactions start to get more difficult to deal with or you need more insight into financial metrics that will drive strategic decisions? If the following situations sound familiar, it may be time to start thinking about hiring a Chief Financial Officer (CFO):

  • You are growing fast and looking to acquire or attract new capital
  • Investors or financiers are requesting more sophistication in reporting
  • The company doesn’t have the internal capabilities to consistently (and accurately) close out the books every month
  • The business is facing declining revenues, stagnant growth, or rising market competition that calls for someone to provide more strategic leadership and set out a direction and action plan
  • You feel like you don’ have a full handle on the metrics and KPIs that ultimately drive the business and measure your progress
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April 29, 2020

How Companies Can Stay Ahead of Rising Cyber Security Threats

How Companies Can Stay Ahead of Rising Cyber Security Threats

There are plenty of new challenges to keeping a company afloat while the world endures the 2020 coronavirus pandemic. Here are just a few: 

  • Applying for government assistance to keep paying payroll. 
  • Developing a work-from-home system for employees following stay-at-home orders. 
  • Working out accommodations and new digital venues with customers and suppliers that will help everyone come through a cataclysmic crisis still in business. 

Add to the list a new one: Cyber security threats to business.  

InterimExecs RED Team executive and CISO, Zeeshan Kazmi, says times like these are prime for opportunistic hackers. 

Just look at financial technology company, Finastra, to see a cyber security nightmare in action. After coronavirus hit, the company was in the middle of developing an emergency plan to operate when hackers found a backdoor into their servers. Malware quickly spread locking down server after server on their network, taking down many of their customers which include 90 of the world’s top 100 banks.   

“We haven’t taken cyber security threats as seriously as they should be taken,” says Kazmi, who has spent 15 years working in the cyber security space. “Companies have been reactive. They protected their business transactions and their reputation. It became a corporate risk management function.” 

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