This month’s leadership quote:
“If your actions inspire others to dream more, learn more, do more and become more, you are a leader.”
—John Quincy Adams
Q3 2017 Vistage CEO Confidence Index Results
The Q3 Vistage CEO Confidence Index was nearly equal to the second and third quarters of 2017, suggesting that optimism among small business CEOs has stabilized.
Q2 2017 Vistage CEO Confidence Index highlights include:
- 52% of CEOs said the economy had recently improved, slightly below last quarter’s 55% but more than twice last year’s 25%.
- 32% of CEOs expect the economy to post additional gains during the year ahead, down from 38% last quarter.
- 62% of CEOs plan to expand their workforce in the year ahead.
- 77% of CEOs expect increased revenues in the year ahead.
- 62% of CEOs expect increased profits in the year ahead.
- 47% of CEOs expect to increase investment expenditures in the next year.
Chicago Area Survey Highlights:
- 28% of CEOs expect the economy to improve in the year ahead (vs. 32% nationally)
- 38% of CEOs expect to increase investments in the year ahead (vs. 47% nationally)
- 64% of CEOs expect to increase revenue in the year ahead (vs. 77% nationally)
- 54% of CEOs plan to expand their workforce in the next year (vs. 62% nationally)
- 50% of CEOs thought the national economy had improved in the past year (vs. 52% nationally)
- 55% of CEOs expect rising profits in the year ahead (vs. 62% nationally)
Leadership Quote: The Concept of ‘Value Added’…
This month’s leadership quote:
“The concept of ‘value added’ will drive more companies bankrupt than any other.”
—Sam Bowers
What???, you say. Value added is how we differentiate; value added is how we compete; it’s how we win. Yes and..
- How much is it costing to add that extra value?
- Are you giving away services that you can legitimately charge for?
- When you assign a team to help a customer beyond your normal service, do you know how much it is costing you?
- Does your price reflect the true value of your product and/or service?
Leadership Quote: You Need to Get to the Future…
This month’s leadership quote:
“You need to get to the future, ahead of your customers, and be ready to greet them when they arrive.”
—Mark Beniodd, CEO Salesforce.com
Leadership Quote: You Never See A Conductor…
This month’s leadership quote:
“You never see a conductor play an instrument.”
—Larry Steinhauer
The intended leadership lesson here is leaders need to do less and lead more. And, like everything else, it depends.
Sometimes the exact right thing to do is back off and let other folks lead. And sometimes, the right thing to do is get in the trenches and work side by side with your team, letting them know you get it, you care and you aren’t hanging out in your ivory tower. The conductor, after all, is right there in the pit with the orchestra.
I heard two stories recently that support each option. One of my Vistage CEO members shared a story of offering to brainstorm with a key executive; the executive politely replied, “I’ve got it”.
On the other hand, another member after sharing a story of frustration on the part of the team, due to staff shortages, heard fellow members suggest, “you are spending too much time in your office, get out there, participate, show them you know you get it and that you care.”
The secret is in knowing when to pick up an instrument, even if ever so briefly, and when not to.
Q2 2017 Vistage CEO Confidence Index Results
The Vistage Confidence Index was 103.1 in the second quarter, down from 106.9 in the 1st quarter but still well above last year’s 88.0.
Q2 2017 Vistage CEO Confidence Index highlights include:
- 55% of CEOs reported that economy had recently improved, slightly below last quarter’s 59% but more than twice last year’s 21%.
- Only 38% expected continued improvement, down from 57% last quarter and 58% in Q4 2016, but higher than 20% in Q2 2016.
- 60% of CEOs plan to expand their workforce in the year ahead. The majority 62% indicate that they were having trouble finding and hiring workers.
- 48% of CEOs are planning for increased investments in plant and equipment.
- 73% of expect increased revenue, down from 77% in Q1 and 78% in Q4 2016.
Chicago Area Survey Highlights:
- 28% of CEOs expect the economy to improve in the year ahead (vs. 38% nationally)
- 44% of CEOs expect to increase investments in the year ahead (vs. 48% nationally)
- 63% of CEOs expect to increase revenue in the year ahead (vs. 73% nationally)
- 57% of CEOs plan to expand their workforce in the next year (vs. 61% nationally)
- 51% of CEOs thought the national economy had improved in the past year (vs. 55% nationally)
- 57% of CEOs expect rising profits in the year ahead (vs. 60% nationally)
Leadership Quote: Great Leaders…
This month’s leadership quote:
“Great leaders delegate success, not tasks.”
—Anonymous
Frequently the leaders I work with tell me they are willing to delegate, as long as they trust the person to whom they are delegating. Makes sense. And yet, what happens when the person they delegate to doesn’t deliver?
For many leaders the answer is, I step in, because the risk of failure is too great.
In my experience, it’s when the leader won’t or can’t step in, that true delegation happens. The corollary to this quote is really, “great leaders delegate success and failure”. Hard to do, sometimes costly to do, and is there another way that will allow for scale?
Q2 2017 Vistage CEO Confidence Index Results: Strong and Steady
CEOs of small and mid-sized companies remain confident in the economy and their business prospects, according to the latest reading of the Vistage CEO Confidence Index. The index measured 106.9 in the first quarter of 2017, a slight increase from the 105.2 measured last quarter (Q4 2016) but well above the 91.4 reading from the previous quarter (Q3 2016).
Other highlights from the quarterly survey include the following:
CEOs predict continued economic growth
According to the majority of CEOs surveyed, the economy has started to rebound and shows signs of continued growth in the year ahead.
Q2 2017 Vistage CEO Confidence Index highlights include:
- Fifty-nine percent of CEOs reported that the economy had recently improved, compared to 42% last quarter and 27% one year ago. The outlook for the economy was the same as last quarter, with 57% of CEOs stating that they expect the economy to continue to grow in the next 12 months.
- Forty-seven percent of firms said they expected to increase their investment spending in the next year. “There is no clearer indication of an improved economic outlook than the fact that CEOs have become more willing to invest in new productive capacity in anticipation of greater future sales increases,” said Dr. Richard Curtin of the University of Michigan.
- Sixty percent of CEOs said they planned to expand their total number of employees in the next 12 months. About 32% said they would increase their hiring steadily over the year. The survey respondents also expressed the most positive net-employment intentions in the past 10 years.
- Similar to last quarter, 77% of CEOs say that they expect revenue gains this year. Coupled with last quarter’s 78%, this represents the most positive revenue expectation in the past 10 years.
The initial results of my Pivot are excellent. I feel I have much greater clarity regarding the next 3-5 years.. 