{"id":135,"date":"2015-12-25T10:25:45","date_gmt":"2015-12-25T10:25:45","guid":{"rendered":"http:\/\/consulting.stylemixthemes.com\/demo\/?p=135"},"modified":"2023-06-07T14:17:07","modified_gmt":"2023-06-07T14:17:07","slug":"harvest-great-ideas-from-your-companys-best-assets","status":"publish","type":"post","link":"https:\/\/tlfirst.com\/executiveeducation\/harvest-great-ideas-from-your-companys-best-assets\/","title":{"rendered":"FINISHING STRONG: HOW TO SEIZE GOLDEN OPPORTUNITIES"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"135\" class=\"elementor elementor-135\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-082e93a elementor-section-full_width elementor-section-height-min-height elementor-section-height-default elementor-section-items-middle\" data-id=\"082e93a\" data-element_type=\"section\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t\t\t\t<div class=\"elementor-background-overlay\"><\/div>\n\t\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-819df6c\" data-id=\"819df6c\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-550f7bb elementor-widget elementor-widget-vc_custom_heading\" data-id=\"550f7bb\" data-element_type=\"widget\" data-widget_type=\"vc_custom_heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\" vc_custom_heading  consulting_heading_font  text_align_center has_subtitle\" ><h3 style=\"color: #FEFEFE;text-align: center\" class=\"consulting-custom-title\">FINISHING STRONG: HOW TO SEIZE GOLDEN OPPORTUNITIES<span class=\"subtitle\" style=\"color:#13E128\">Insight<\/span><\/h3><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-872b8af elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"872b8af\" data-element_type=\"section\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-56f17af\" data-id=\"56f17af\" data-element_type=\"column\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-cd08603 elementor-widget elementor-widget-vc_custom_heading\" data-id=\"cd08603\" data-element_type=\"widget\" data-widget_type=\"vc_custom_heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\" vc_custom_heading no_stripe consulting_heading_font  text_align_left\" ><h3 style=\"text-align: left;font-weight:700\" class=\"consulting-custom-title\">FINISHING STRONG: HOW TO SEIZE GOLDEN OPPORTUNITIES<\/h3><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6391dff elementor-widget elementor-widget-stm_post_details\" data-id=\"6391dff\" data-element_type=\"widget\" data-widget_type=\"stm_post_details.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"post_details_wr  consulting_elementor_post_details\">\n    \n<div class=\"stm_post_info\">\n\t<div class=\"stm_post_details clearfix\">\n\t\t<ul class=\"clearfix\">\n\t\t\t<li class=\"post_date\">\n\t\t\t\t<i class=\"fa fa fa-clock-o\"><\/i>\n\t\t\t\tDecember 25, 2015\t\t\t<\/li>\n\t\t\t<li class=\"post_by\">Posted by:\t\t\t\t<span>ExecutiveEdu@2020<\/span>\n\t\t\t<\/li>\n\t\t\t<li class=\"post_cat\">Categories:\t\t\t\t<span>Competitive research, Uncategorized<\/span>\n\t\t\t<\/li>\n\t\t<\/ul>\n\t\t<div class=\"comments_num\">\n\t\t\t<a href=\"https:\/\/tlfirst.com\/executiveeducation\/harvest-great-ideas-from-your-companys-best-assets\/#respond\"><i class=\"fa fa-comment-o\"><\/i>No Comments <\/a>\n\t\t<\/div>\n\t<\/div>\n\t\t\t<div class=\"post_thumbnail\">\n\t\t\t<img fetchpriority=\"high\" decoding=\"async\" width=\"1110\" height=\"550\" src=\"https:\/\/tlfirst.com\/executiveeducation\/wp-content\/uploads\/2023\/05\/study-group-learning-library-1110x550.jpg\" class=\"attachment-consulting-image-1110x550-croped size-consulting-image-1110x550-croped wp-post-image\" alt=\"\" \/>\t\t<\/div>\n\t<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ae29440 elementor-widget elementor-widget-text-editor\" data-id=\"ae29440\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Identifying opportunities early is necessary, but not sufficient, to seize them. A company must also be able to strike decisively when the time is right. Managers at Brazil\u2019s Banco Ita\u00fa recognized that the privatization of state banks freed a new set of valuable resources \u2013 customer relationships and locations which had not been obtainable previously, and Ita\u00fa spotted the value in these banks before its peers. Equally important was top executives\u2019 willingness to declare the acquisitions as the main effort and redeploy whatever human and financial resources were required to seize the moment. Below some key insights:<\/p>\n<p>Mobilize best people for golden opportunity: As with experiments, it is critical to put the best people on the best opportunities. Itau\u2019s CEO commissioned one of the most senior members of his team, a Senior Vice-President and Board Member, to spearhead the analysis of opportunities created by the privatization process. And this SVP, in turn, quickly appointed some of the bank\u2019s most promising executives to form a fifty-person task force to evaluate the opportunity and create a post-acquisition plan in case Ita\u00fa decided to make an acquisition. Make no mistake, the managers appointed to lead this initiative were not corporate rejects whose careers were stagnated, rather they were among the most promising managers in the company, responsible for running its most profitable lines of business. Assigning them to this opportunity represented a real commitment on the part of Ita\u00fa executives.<\/p>\n<p>Rapid approval processes: Sometimes, seizing a golden opportunity comes down to signing a deal faster than competitors can act. Efficient decision- making and capital approval processes provide the reaction speed to respond quickly when a fleeting opportunity arises. In our study of successful Brazilian firms, most of the companies had a small group of investors and senior executives who could make large decisions quickly without cumbersome approval processes. Contrast this with multinationals working in Brazil, which must often send proposals through multiple layers for approval before reaching headquarters for final agreement. Banco Ita\u00fa\u2019s family ownership facilitated quick decision-making.<\/p>\n<p>Operational excellence: Operational superiority positions firms better to execute when golden opportunities arise, be they acquisitions, new product development, foreign expansion, or new businesses. Ita\u00fa, for example, built the foundations for its growth through acquisition by focusing on operational efficiency between 1986 and 1995. During this period, top executives rationalized costs, invested heavily in information technology and restructured key processes. Such investments allowed the bank to reach record efficiency levels and integrate its acquisitions.<\/p>\n<p>Slack financial resources: Part of the reason Ita\u00fa was able to execute so quickly on its acquisitions was the company\u2019s strong balance sheet. The company reinvested most of its retained earnings in the business throughout the 1990\u2019s, in contrast to other family-run banks that made large dividend payments to owners. Between 1990 and 2003, the net worth of Ita\u00fa grew five-fold, largely through re-investments of retained earnings. Much of current financial theory relies on the assumption that capital is always available to finance good opportunities, but managers in unpredictable markets like Brazil know that this is far from true. Capital is often unavailable when the most attractive opportunities arise.<\/p>\n<p>Cadre of general managers Access to financial capital is critical, but human resources are equally important to seize golden opportunities. In order to keep a pool of talented executives to capitalize on opportunities, Ita\u00fa began to train a new generation of managers after 1986, rotating them among business units and funding two-year MBAs degrees in international business schools. Between 1990 and 1998 more than 70 managers were sponsored by the bank to study abroad, and more than 300 participated in a local in-company MBA. Ita\u00fa\u2019s pool of talented managers helped the bank capitalize on the privatization of the state-owned regional banks.<\/p>\n<p>Structure deals to manage downside risk inherent in golden opportunity Even the most attractive opportunity entail risk. Clever managers recognize there is no reward without risk, and take steps to manage the downside while pursuing the upside. Ita\u00fa, for example, structured sophisticated contractual guarantees when acquiring banks to avoid assuming risks from hidden liabilities, or disruptions from potential strikes which could interrupt the acquired bank\u2019s operations after the deal closed. Ita\u00fa negotiated a series of guarantees with the government when structuring the privatization of the Banerj bank. In order to minimize chances of political tampering, Ita\u00fa insisted that Brazil\u2019s Central Bank, and not the local Government, insured the buyer against undisclosed liabilities. Moreover, Ita\u00fa negotiated an indemnification in case strikes at the acquired banks after the privatization caused losses.<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-8c5f7e2 elementor-widget elementor-widget-stm_post_comments\" data-id=\"8c5f7e2\" data-element_type=\"widget\" data-widget_type=\"stm_post_comments.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t    <div class=\"stm_post_comments consulting_elementor_post_comments\">\n            <\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-25 elementor-top-column elementor-element elementor-element-1a4aaac elementor-hidden-tablet elementor-hidden-phone\" data-id=\"1a4aaac\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-8f22a85 third_bg_color elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"8f22a85\" data-element_type=\"section\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-7452a72\" data-id=\"7452a72\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4c190d6 elementor-widget elementor-widget-vc_cta\" data-id=\"4c190d6\" data-element_type=\"widget\" data-widget_type=\"vc_cta.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\n<div class=\"ce_cta ce_cta_a516798601dcdfa7ce99154103e0eb80 ce_text_left third_bg_color add_button_right btn_align_right btn_button_block_true btn_has_icon btn_has_icon_on_the_right\" id=\"\">\n\t<div class=\"ce_cta__content\">\n\t\t<div class=\"ce_cta__content__header\">\n\t\t\t<h2  class='ce_cta__content__title '>Looking for a First-Class Business Plan Consultant?<\/h2>\t\t<\/div>\n\t\t\t<\/div>\n\n\t\t<div class=\"ce_cta__action\">\n\t\t<a\n\t\t\thref=\"#\"\n\t\t\t\t\t\ttarget=\"_self\"\n\t\t\tclass=\"button\n\t\t\t\t\t\">\n\t\t\t<span>get a quote<\/span>\n\t\t\t\t\t\t<i class=\"fa fa-chevron-right\"><\/i>\n\t\t\t\t\t<\/a>\n\t<\/div>\n\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>In particular, the initial state of the company\u2019s sales and operations planning capabilities limited their ability to account for demand variability or raw material lead times in production and distribution. Improve sales and operations and production planning.<\/p>\n","protected":false},"author":1,"featured_media":7035,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[17,1],"tags":[24,33,37],"class_list":["post-135","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-competitive-research-analysis","category-uncategorized","tag-401k","tag-online-services","tag-portfolios"],"_links":{"self":[{"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/posts\/135","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/comments?post=135"}],"version-history":[{"count":6,"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/posts\/135\/revisions"}],"predecessor-version":[{"id":9831,"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/posts\/135\/revisions\/9831"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/media\/7035"}],"wp:attachment":[{"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/media?parent=135"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/categories?post=135"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tlfirst.com\/executiveeducation\/wp-json\/wp\/v2\/tags?post=135"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}