AR,
I understand your points, but it's really difficult to find qualified top executives who would work for anything less. As you noted, Bob Silzer knows bingo as well as anyone in the business. When I met him in Vancouver, he absolutely radiated energy and enthusiasm about AGTI. He was also very passionate, even eloquent, in his vision for the company and in his conviction that we're finally in the home stretch. Unless he is also a skilled actor, I have to believe his sincerity. Each of the above qualities is absolutely essential for an effective CEO. As I read this description to myself, I could just as easily substitute the name of my own CEO for that of Silzer. Very, very similar qualities in each (and I hope my boss doesn't read this)...but requiring a good supporting cast to be truly effective. On second thought, I think my boss would agree!!
Firoz Lakhani, the president, displayed an unexpected depth of knowledge regarding business matters and the financial side of AGTI. He was quick to admit, and very upset by, the travesty of Reg S. He also said this was the biggest mistake made by AGTI, and IMHO, the same mistake which has driven our share prices to the current level. Looks like we have found the bottom, though. Firoz was far wiser in these matters than anyone I have personally ever met, and he opines (geesh, where did I pull that word from?) that a "natural" cycle will occur which will begin to swing the pendulum in the opposite direction. Good news for us. But like Bob Silzer, I suspect that Firoz with all his financial wisdom could not function well without a good supporting cast. Also like my own company.
The gist of what I'm trying to say is that, no matter how good the generals are, most of the strategies are really formulated at lower levels and are then "blessed" by the generals. Admittedly, they can always vote "no" and have ultimate responsibility for the decisions. But they typically do not possess the detailed knowledge of their subordinates who developed the plan. I observe that AGTI has made some personnel changes/additions in the last year or so which will undoubtedly impact and improve the performance of the "generals". For example, Darren Little is doing an unbelievable, Madison Avenue job of marketing and promotion. Bob Hunziker and Chris Sargent are refreshing additions on the investor relations side. Bob Silzer, Jr. has seasoned and is now performing well over the operations (and sales, if memory serves) side of the business.
To continue the comparison with my own company, our annual revenues were approximately $4M when I joined three years ago. I left a long career with Bell Atlantic Corp. to accept this position, so I was pretty well "seasoned". We then recruited a few more key personnel in our procurement side, in marketing and in sales. Result:
the company's revenues have quintupled and we are looking toward a huge year in 1998. Employees have increased from 30 to nearly 100, quality measurements are the best in the industry, etc, etc. Same CEO, same president, but radically improved results.
The troops, to a large degree, determine the success of the generals. Truly successful leaders know how to build strong teams. I think Silzer and Lakhani realize and have done that. |
