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We offer such a roadmap here, the outcome of a research project , at the Center for Higher Ambition Leadership, with 25 CEOs and their practices for mastering short-term pressures and creating long-term social and economic value, even in the toughest conditions. This value-based leadership paid off.
And the number of business coaches worldwide has zoomed more than 60% since 2007, according to one coaching association. One CEO we worked with was known for his smart turnarounds of a large media company. Ultimately, he was passed over for a permanent role on the parent company’s leadership team, and left the organization.
Plenty of theories have been put forth to explain Yahoo’s failures, as the company seeks a buyer following a failed turnaround attempt. Did Yahoo’s leadership really miss the importance of smartphones? One of the most prominent is that Yahoo was late to mobile. Perhaps by 2012 it was already too late. That makes sense.
That’s nearly double the rate from 2004 to 2007. Outsiders, in effect, have become more of an intentional leadership choice than a stereotypical hire in a turnaround or crisis situation. (Planned successions exclude mergers and acquisitions, as well as situations when CEOs are abruptly forced out.)
A private equity group led by TPG bought the company in 2007; at the time SCA had suffered more than four straight quarters of declining profits. Hall and OSI’s leadership team have coinvested with Jordan and will continue with the company. That year TPG hired a new CEO, Andrew Hayek, to rebuild SCA.
After studying and working with hundreds of companies in free fall, we’ve identified concrete steps that leadership teams can take to engineer successful turnarounds and transformations. Kaufmann proceeded to engineer a turnaround of the company by focusing on the top end of the market. Other companies can do the same.
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