Wednesday, August 18, 2010

Five Ways To Get In On the Deals in B2B Industry

Pitch Book News reports that
"Since the beginning of the year, PE investors have exited 129 companies through a sale to a corporation, according to the PitchBook Platform. The median deal size for corporate acquisition exits in 2010 YTD is $223.5 million with eight deals crossing the billion dollar mark, including Elevation Partner's sale of Palm to Hewlett-Packard (NYSEQ: HP) for $1.2 billion. Corporations appear to be most interested in B2B Products and Services this year, buying 34 PE-backed companies in the industry. Other industries attracting much interest are B2C Products and Services with 29 companies and Information Technology with 19."
Implications:  Companies are buying up healthy organizations from Private Equity Firms and that means opportunities for executives to lead these new SBUs.  How?
  1. Keep in touch with the money flow in your town/industry.
  2. Ask different questions of your network instead of the tired, old "who is hiring" question.
  3. Think first.  What is the most likely next step for a target company?  Will they be able to buy a company from a PE firm?
  4. Get connected to PE brokers.  Ask what B2B companies are on the market. Track these companies
  5. Stay connected to PE firms.  They need to re-invest. Find out what they are doing.

Monday, August 16, 2010

Executive Opportunities: Is "Green" a Fad or Fact?

According to McKinsey Quarterly,

Many governments have been actively trying to promote growth, competitiveness, and employment. But policy makers who hope that advanced “clean” technologies can create work on a large scale will probably be disappointed, because these sectors are just too small to make an economy-wide difference. The local-business and household-services sectors are a much better bet: from 1995 to 2005, services generated all net job growth in high-income economies. Low-tech “green” activities, such as improving the insulation of buildings and replacing obsolete heating and cooling equipment, could generate more jobs than renewable technologies can.
The chart is shared and was published in August 2009.













  • Is "green" a fad or fact? 
  • What have you found? Are there more opportunities in "clean" technologies where you live?

Tuesday, August 10, 2010

Go East, Not West, Young Man!

The Robert Walters Asia Job Index is a real eye opener.

Horace Greeley
The percent change in job advertisements for professional positions placed from Q1 to Q2 is 31.52% in Hong Kong, 13.7%% in Sinapore, 34.27% in Japan, and 36.68 % in China (with 10 million job openings) for a total of 11M jobs add in April through June of this year.

Amazing!

The famous quote by Horace Greeley, "Go West, Young Man!" has to be turned 180 degrees to find new employement opportunties.

But I think that in the United States or developed regions like Europe, opportunties abound.  They are just different than how we traditionally see employment.  As McKinsey reported in their ten trends (see previous post on July 27, 2010, Organization of Networks - Part I), employment as we know it has changed for the executive/professional. 

Options include outsourcing, close sourcing, interim executive roles, networked pools, and other "nonemployee" roles can be found through digging for opportunities, rather than trying to find the traditional 7am to 7pm job.

What are you seeing in your world?  Have opportunties taken a different form?  Let's share.

Friday, August 6, 2010

PE Deals in Consulting Industry May Provide Opportunities for Executives

Pitchbook News, a weekly eZine from PitchBook Data, Inc., recently reported that...

148 companies in the Consulting Services industry have been involved in PE deals since the beginning of 2007, according to the PitchBook Platform. Deal activity in the industry is on the rise this year with 19 completed or announced deals so far, already smashing last year's total count of 12. 160 service providers participated in the deals. Credit Suisse was the most active, participating in 6 deals, followed by Goodwin Procter , Kirkland & Ellis and Ropes & Gray , each of which participated in 5. The most active investors in the space during the same time period include The Riverside Company (5 deals), DC Capital Partners (4), The Blackstone Group (3) and Vista Equity Partners (3).
Implication: opportunities for those who are connected to these deals/contacts.

Executive Actions: 
  1. Use your network to connect to deal makers in the investor industry. 
  2. Follow the money flow in your city and you'll find opportunities happening under the radar screen. 
  3. Keep looking to your peers to give you information that you may not get online or in print.
  4. Observe the trends by keeping connected to a variety of thought-leader reporting, such as PitchBook News.

Tuesday, July 27, 2010

Organizations of Networks -- Part I

McKinsey Quarterly's article Clouds, Big Data and Smart Assets: Ten Tech-Enabled Business Trends to Watch, published this month states:

"...Exploiting these trends typically doesn't fall to any one executive -- and as change accelerates, the odds of missing a beat rise significantly. For senior executives, therefore, merely understanding the ten trends outlined here isn't enough.  They also need to think strategically about how to adapt management and organizational structure to meet these new demands (emphasis mine)."
This is a powerful understatement!

With the rapidly changing world of technology and how it is impacting an executive's world is significant.  It is effecting how executives find new opportunities in their search to keep their careers meaningful, but it is also radically changing how customers and revenues are flowing to companies that are on top of the changes.

Think about how you have moved from using your laptop to using your cell phone as your primary communication tool.  Over 450 million people use their mobile device as their Web experience!

Trend #2 is "Making the network the organization."  Here McKinsey's authors Bughin, Chui and Manyika discuss how:
  1. To "..tap into a world of talent," which includes all forms of services -- outsourcing, entreprenuers, and "nonemployees" (their word).
  2. To utilize sociall networks and media to expand access to experts and "..set up new innovation communicities" to speed up delivery of services.
  3. To leverage talent to tackle complex challenges by using networks that focus on orchestration of tasks vs. workers.
Executive Action's recommendations:

  • Get familiar with social networking, social media and new technologies as they emerge because you are either going to get on board or get lost in the dust.
Call to Action:  What value has social networking/media been in your executive career?

Friday, May 14, 2010

Setting Yourself Up for Success

When we want to set goals for ourselves, we often start by describing something we lack or want in the future. Then we assess where we are right now, measure the difference between the two, and outline the steps to take to achieve that goal.

Every day, I meet with executives around the world who are either focused on getting a job, changing their career path, or looking for their next move up in their current company. Invariably, the discussion focuses on what steps to take to “get there” and often the discussion lacks focus beyond the next six months.

But “getting there” usually implies a perfect, step-by-step plan that doesn’t allow for contingencies, disruptions, emotions, or simple failures. The result is that eventually they missed an outlined step, tried to go back and make it happen, and get frustrated.
In my phone meetings, I can tell when someone is trying to dig out the hole they think they’ve created by looking how far away they are from their goals. Generally expending more and more energy hoping for better results, I can sense that they are close to giving up. Often, they’ve waited too long to reach out for help and have used precious energy, resources and finances and are at the end of their rope.
Thinking about what it takes to get direction and momentum in achieving any goal, I have some insights I want to share with you. I have a different perspective when I think about success and I want you to begin setting yourself up to succeed – not matter what’s happening to you.

Insight #1: Success isn’t about achievement; it is about learning something along the way.

Things are not linear today. Stability is out the window. Using linear thinking supposes that properly lined up steps will result in achievement. But, in reality, experimentation, risk, human relationships, serendipity, chance and being in the right place at the right time has a whole lot to do with seeing results today. We must be more willing to deal with ambiguity with respect to planning out executive careers.

Insight #2: Success is deeper than arrival; it is about character, perseverance, and courage to achieve any goal.

We are in a cycle of major change that will last decades. We’ve got to get a clue that our career success must be measured differently than in the past. Our potential – the future, our ability to be agile, and our identity – must be aligned with these major changes. Executives must do much more than focusing on landing a job in a company. We must make the leap, take the risk, and do something different to transition ¬with what’s happening today.

Insight #3: Success is about “becoming” what we want, not “doing” what we need. We are not human “doings”; we are human “beings.”

As someone said the other day, “It is not where you start that counts; it’s about how well you finish.” Who you are is always going to be more important that what you do.

We must really look at what’s going on around us and determine what our lives are all about. With upwards of 90% of executives looking to leave their company as soon as the economy turns around, collectively we are not defining what is important to our lives and are just “muddling around in the middle” waiting for something new to happen to us.

To move into your future, you must abandon the past and grab what’s ahead.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
The MarketOne Executive™ Bottom Line:
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
How do you set yourself up for success in your job search, career plans, or new business endeavor?

Here are some things to think about:

1. Determine daily what is most important for your life. Make this an activity or task that you look at every morning. Ask yourself what provides you with the greatest reward, personally. Direction leads to movement when you enjoy your life.

2. Align all other “must dos” as secondary. Organize your “must dos” from most important to least important as a result of what is most important to you today.

3. Create boundaries that cannot be crossed by you or your loved ones. Design your day using the criteria of what’s most important, what must be done and what boundaries can’t crossed. It is the step-by-step, day-by-day efforts that get you to where you want to go.

4. Know that what you learn is more important than what you do. Tasks completed, or not, are not definitions of success or failure. What you learn through each task you tackle is much more important. What you learn about yourself, why you completed or didn’t complete a task, and what motivates you in either direction tells something about your goals. And what you learn is how you should measure success.

5. Reflect, revise and renew. For every task or activity that didn’t get done, ask yourself:

• Why didn’t it get done?
• Why did I not do it?
• What are my emotions around this task?
• What’s the lesson?

  
The measure of success isn’t whether or not things get done. The measure of success is being aware of who you are and what you’ve learned today – about yourself, your true goals, and how you want to live as a human being.

What do you think?  Love to hear what you have to say.

Thursday, March 4, 2010

Why “Passion” May Be a Problem When Looking for New Opportunities

Anna is a client of mine who, after 25 years in her field, is tired of her career. She says it is boring and just doesn’t get her juices going. She wants to strike out onto a new path or she wants to do something important and make a contribution. “Karen, I just want to be passionate about what I do. I am so tired of working so hard and not getting any recognition,” she exclaimed.

Can you relate?

Often we use the word “passion” to describe what we want in our next position. Usually we use it as a code word to say we want to do something interesting in our next role.

And that’s where I begin to have a problem.

Since 2002, I conduct close to 300 free, no obligation, 30-minute Strategy Sessions in a single year. I really enjoy doing them because each situation is unique and different. Together, we brainstorm about how to approach a career or job search with fresh and insightful ideas, always looking to significantly improve results right away.

But when someone, like Anna, says that they now want to pursue their passion in life, I get knots in my stomach.

Why?

Well, to be honest, pursuing your passion is NOT presenting your potential! Here what I’ve found:

1) Passion is not something you pursue; it is something that you have.

Passion is applied to something that you are interested in. It is not a beacon of light in the darkness that will tell you that you’ve arrived at your destiny. When I talk to someone who is trying to find their passion – out there somewhere – I know that it will be a long time before they find what they are looking for.

2) Passion is a result of success; not something you get when everything lines up right.

Passion is basically a follow-up emotion created when you are doing something you are good at. I never thought I would start and run an executive coaching firm. But as I got really successful at it, my passion came and now I love what I do.

3) Passion is the energy to perserve whenever we are challenged; it is not the momentum that propels you to a destination.

One of the reasons why, after landing, 80% or more of executives become discouraged and disheartened within six months is because they are thinking incorrectly about “passion!” Many are looking for the employer to give them “passion” while doing their job. Within weeks of starting a new job, most realize that the new employer only wants a lot of hard work, doesn’t appreciate their experience and gives them very little recognition for what they know.

The MarketOne Executive™ Bottom Line:
 
Passion can be a “dangerous delusion.” It sounds right, but it is oh, so, wrong.

Opportunities are being fought for vigorously by many, many others who want that job as much as you do. Making an emotional decision as to whether a position is right for you by using “passion” as the barometer, is a great way to extend your search, stay confused and/or get more stuck than before!

Rather, I suggest that you look at the pursuit of you next position by identifying your economic “potential.”

Your potential is identified by answering these tough:
  • how you are meeting what the market demands today (not yesterday),
  • why would someone want you as opposed to someone else,
  • when will you provide a return on investment for the company,
  • what latent potential do you have that is of value to the employer, and
  • how are you presenting yourself – as a luxury, top-end item or a commodity?
If a potential employer sees some of these elements in you, then you have an opportunity to plug into your passion. And once success is yours, it is a-m-a-z-i-n-g how this fuel called “passion” shows up on the scene.

What are your thought?  Love to hear what you think.