They’re among a group of mid-sized German manufacturers that all CEOs might want to know more about, according to the Harvard Business Review.
A recent analysis by the German Savings Bank Association shows these companies—known as Mittelstand—had an average profit margin in the last fiscal year of 7.3% – beating the 6.3% achieved by the 110 largest German companies.
And this outperformance is no coincidence. The Harvard Business Review says they share a host of common success factors, including a determination to offer the best product in any given field, coupled with an extreme focus on customers’ wishes.
At a company called Heidelberger Druckmaschinen, for example, customers can still order replacement parts for a 100-year-old printing machine.
Investment in innovation and research and development is especially strong among these companies, which somehow have five times more patents per employee than larger companies, but at a fifth of the cost per patent.
Other common characteristics include having a focus on long-term value, rather than short-term profits, and possessing managers who form very close relationships with their workers.
‘These companies understand that excellent products and services are the foundation of a long-term customer relationship, and that leading in technology and innovation builds sustainable strengths,” The Harvard Business Review says.
“Their core value is trust with both their workers and their customers. These unorthodox, innovative companies hold important lessons for the rest of us on how to survive in turbulent times.”
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1:00 - 5:00 pm
Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process
Executives expressed frustration with their current strategic planning process. Issues include:
Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns. They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning. Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process. This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented. If you are ready for a Strategic Planning tune-up, select this workshop in your registration form. The additional fee of $695 will be added to your total.
2:00 - 5:00 pm
Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations.
Limited space available.
10:30 - 5:00 pm
General’s Retreat at Hermitage Golf Course
Sponsored by UBS
General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.
The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.
