Perspective: Executive Desiderata

The axe has fallen on many CEOs this past summer of Wall Street discontent. A few others have been served notice. It’s about time, if you ask me. A lot of companies have spent too much time lately puffing up their chests and strutting around and not enough time doing their jobs. I place blame for corporate attitude squarely at the feet of the head honcho.

In the recently decedent age of high-tech, wireless and dot-com euphoria, no company could go wrong. Just blithely toss any message out there and wait for the party hats and streamers. But now the bubble has burst. And there are a lot of companies left standing around in the afterglow and hangover of the party glory, sheepishly wondering what they said and did, and why. To the CEO, I say, you better have a pretty good story, mister.

Take a look at AT&T and its $100 billion attempt to become the largest cable TV company. Has anyone, besides John Malone, ever been able to communicate the value of that move? Has anyone been able to make cable work for them in the wireless space? With new technologies such as DSL, fiber, optical and wireless broadband entering that space, what’s so sexy about cable?

Then there’s this entire concept of bundled services. That was a whopper, wasn’t it? In theory, I suppose it made sense. But successful companies are able to turn theories into realities. Only one problem on the way to the disconnect line: AT&T didn’t aggressively illustrate how it would and could deliver on that promise. Then it committed the cardinal sin – it didn’t listen to its customers.

After watching a number of these CEO dismantlings and pondering my own company’s venture into the land of new media, I have assembled some rules of engagement for CEOs and companies. Sort of my Desiderata for today’s executive.

1. Go placidly as you evaluate your core business. If it’s still a strong vehicle for the future, continue to focus your energy on it. If it isn’t, get rid of it. If you complement that business with other acquisitions, don’t forget who "brung" you to the dance.

2. If you eject a business category that once served you well, make sure you trade up to something with legs. Pray that your forward vision is as good as your 20/20 hindsight.

3. If you aren’t a leader in the marketplace, be a fast follower. However, know what and who you are following and why, otherwise you’ll know how those rats felt after following the Pied Piper.

4. If you add new technology, services or companies to your portfolios, can you communicate why in 100 words or less? That’s the attention span of your employees, customers and the Wall Street vultures. Keep in mind that you have to explain it and get everybody charged up about it as well.

5. After you have shared your vision and wisdom, shut up and listen. If there are questions or glazed looks regarding your vision, you need to rewrite those 100 words.

6. Compulsive shopping and buying can strangle your company’s need to be nimble. After buying, make sure your house is in order before layering on more acquisitions.

7. Get rid of the layers of bureaucracy. Empower employees. Make sure employees are on board with No. 4, otherwise they’ll unwittingly work at counter-purposes with you and the new deal.

8. The one maxim that hasn’t changed since the Stone Age is, the customer is always right. Not sometimes. Always. Are you and your organization listening to your customer?

9. What size are your britches? Sometimes companies that achieve the No. 1 spot become arrogant, overbearing or a handful of other similarly sinful qualities that usually turn off customers. In other words, you start believing all of those expansive praises your writers put in your press releases. Even though you may be No. 1, you have to think and act like you are No. 2.

If this doesn’t work, I understand that Jack Welch, GE head honcho and modern-day CEO saint, will be looking for work at the end of 2001. Maybe you could hold out until then. Not.