Category Leadership | Jenifer Bartman

July 11, 2024 by Jenifer Bartman

MEDIA: CBC News Network Weekend Business Panel (June, 2024)

Throwback to a breaking news edition of the CBC News Network Weekend Business Panel, alongside Sherena Hussain and Marianne Dimain talking the Westjet strike; you can watch our segment here.

This week’s Business Advisor Highlight:

Customers should not be impacted by a company’s internal matters, such as managing its staff group; the fact that this strike occurred on a long weekend at the end of the school year makes it obvious that vacationers and families were likely the most hurt by the hundreds of cancelled flights and chaos that resulted from this work stoppage.

Leaders are responsible for managing numerous stakeholder relationships, which need to be addressed on a proactive and ongoing basis; this applies to both Westjet and the union, and collective bargaining should also be done in good faith. In a competitive business marketplace, customers that are treated poorly and not valued have the opportunity to take their business elsewhere, however, given that lack of competition in the Canadian air travel sector, they are too often relegated to a ”bit player” role in a company/union saga; this is unacceptable.

Customer loyalty should never be taken for granted, and their money has a direct impact to funding a company’s payroll. Staff members are obviously an important component of any business, but in the absence of a loyal customer base, companies don’t need staff, as they typically are not sustainable entities. In this scenario of limited competition, air travelers are left to keep their options open and transact with the business that serves them best, on a case by case basis, which is, effectively, the opposite of loyalty.

Thanks for watching!

January 16, 2023 by Jenifer Bartman

MEDIA: CBC News Network Weekend Business Panel (January, 2023)

A new year, another appearance on the CBC News Network Weekend Business Panel; this time, alongside Dennis Mitchell, Christian Bravo, and Chris Glover, talking inflation rates, possible changes to mortgage guidelines, and business succession (of particular relevance for small business owners!). You can watch our segment here.

Some thoughts on our conversation.

The rate of inflation announced this week in the US indicates a continued decline over the past six months; what does this mean? It’s important to remember the need to step back and consider in context, as this allows trends to be identified, even if only on a preliminary basis. Although six months of inflation rate declines can be reasonably considered as a trend, it is important to recognize that the timeframe is short term in nature (less than one year), and that rates may vary slightly from month to month (real life isn’t always a straight line). Further, much of the most recent decline can be attributed to falling gas prices, so it will be important to monitor movement in this regard in the coming months.

Further, as the US is expected to reach its debt ceiling this week, it remains to be seen how Congress will address this issue in the coming months. Failure to raise the debt ceiling could result in confidence issues, which can lead to economic and financial risk. While business lives in the practical world of the direct impact of rising prices, a tight labour market, and ongoing supply chain challenges, politics can get lost in the theatre of partisanship, holdouts, and tradeoffs; stay tuned.

As interest rates continue to rise, Canada’s top banking regulator is considering tightening mortgage rules. Although it makes sense to manage risk in areas where households in situations of significant debt and mortgage amounts, a balance is needed to ensure that those who should reasonably qualify for a mortgage are able to do so. It is not helpful to create additional stress on the rental market, or to slow reasonable home sales in a manner that could also impact the construction market. Rules can sometimes have unintended consequences, so understanding the practical realities is important, prior to development and implementation.

And, finally, a recent (and familiar) report from the Canadian Federation of Independent Business indicates that 76% of owners plan to exit their businesses within 10 years. As a business advisor and author of Defusing the Family Business Time Bomb, this headline is not surprising, as reports over the last decade or more have had similar findings. A few things to think about on this topic of critical importance to business owners and Canada’s economy:

Unless a business leader has bought and sold several companies, they tend to have little experience in the areas of succession and transition.
These studies tend to find that only a small percentage (in the single digits) have a formal, written succession plan. While some have an “informal plan”, the majority of business owners tend to indicate that they do not have a succession plan.
For numerous reasons, succession planning should commence years in advance of the time of transition (a minimum of three to five years) and it is critical to demonstrate a track record of “good to great” financial performance (over years, not months). Keep in mind that companies that are able to generate a strong exit value (i.e., sales price) have a track record well in excess of the norm.
Qualified successors/acquirers with the necessary capital to undertake a transaction are limited, which makes business succession competitive. This is something that business owners tend to underestimate.

Advisors can help, and the sooner that business owners put a priority on succession planning, the better (a new year is a great time to start). Thanks for watching, and see you again soon.

in Business & Strategic Planning / Leadership / Media / News / Succession Planning 0 comments

September 28, 2020 by Jenifer Bartman

MEDIA: When the Stores Come to You (Winnipeg Free Press)

There’s no doubt that COVID19 has impacted the way that we live, be it what we do (less), where we go (not far), and perhaps, most apparent, how we do things (differently). Although there’s been a shift in how consumers procure goods and services that has been evolving for some time, the days of COVID19 have left many looking for solutions, some of which are not entirely new.

Consider shopping. The rise of companies like Amazon and improved online shopping and delivery services from a range of retailers have changed how consumers interact with the retail experience. We’ve come a long way from the nostalgic home delivery services of mid-last century, evolving through a time where mobility was all the rage (think malls, super malls, and the ultimate retail lifestyle experience) to arrive at a period when convenience is perhaps the most important consumer driver, closely followed by selection. Online and mobile technologies have made a lot of this possible, but improvements in the area of logistics might be an even more important piece, something that is still very much in progress.

Fast forward to a range of upstart companies seeking their space in this lucrative market; fueled by the gig economy of those who have capacity to sell, as we’ve seen in areas such as ride sharing and short term home rentals. I discussed one of these shopping/errand companies in a recent interview, where consumers can receive groceries and other items from various stores in their area, delivered in one convenient order

Although these services might bring important convenience in times of COVID19, will they last? The impact of demographics might allow at least some of these companies to survive into the future, with evident trends including aging Baby Boomers, older seniors living in their homes for longer, and some geographic areas where the availability of younger family members to help is limited.

Market opportunity, however, is only one side of the equation; consider the following keys to success:

Capacity. Delivery companies are only in business if they can attract and retain a sufficient number of drivers/contractors to provide services. In a competitive world with a limited pool of potential “gig” contractors, which companies will be in the best position to attract them? As a side note, beware of the potential for these workers to be deemed as employees for income tax and other purposes, which could represent a costly impact and need for business model revision.
Know the market/area where success is possible. As this type of service offering is local, the geographic area must be sufficient to draw contractors, customers, and be competitive. Those who do the math will realize that this isn’t so easy, especially on a sustainable basis.
Implementation. Some might say that the devil is in the details; those who have been business operators know that the devil is in implementation. Young companies can plan their service offering, but success is only realized by way of strong implementation on a sustainable basis, and with this type of logistical, “transaction heavy” business that utilizes a casual workforce, lots can go wrong.
Keeping up with the future. Recognize that these companies will have to evolve in order to be sustainable, in areas such as enhanced logistics (think autonomous vehicles) and providing a competitive offering, where customers see value over the service cost. This includes understanding costs, down to the last detail, as well managed and better capitalized companies will be in a stronger position to compete over the long term.

There’s no doubt that we will continue to see changes in how we live, including over what is expected to be another challenging season of COVID19 into the Fall and Winter. Companies considering their next steps would benefit from the advice of those who have experience in building and managing businesses; it’s an advantage to have strength in your corner.

in Business & Strategic Planning / Entrepreneurs / Leadership / Management / Media / News 0 comments

May 20, 2020 by Jenifer Bartman

Staring it Down: The Family Business Time Bomb Meets COVID-19

Blog Post published by Evelyn Jacks of Knowledge Bureau

We couldn’t have predicted the devastating economic effects of the pandemic on small businesses when we wrote the book, Defusing the Family Business Time Bomb. But if there was ever a time for families to address the issue of what to do next in guiding their business out of stormy waters, it’s now. This is the book to help you and your clients through it. Here’s how my co-author, Jenifer Bartman describes the opportunity:

“Remember all of those times when you thought (or your clients thought) that something that happens on the other side of the world can’t impact your company? The current COVID-19 crisis is a case in point that demonstrates that the exact opposite is true. While business leaders are challenged to manage their companies, determine if they qualify for relief programs, or simply survive, many are likely realizing that their systems, processes, and financial information need to be much stronger. Strategies to implement now and carry into the future are in demand and Defusing the Family Business Time Bomb was written to stare down challenges and win, even when we can’t always predict what the specific circumstances might be.”

It is clear the critical questions have intensified. What should owner-managers do now with the family business, mid-pandemic, and at a time when boomers are contemplating retirement? Will the business sell for the millions owners hope for, limp into bankruptcy, or just wind down? Worse still, will family relationships survive it all?

The answer lies in the family’s ability to embrace these unprecedented changes to re-imagine the purpose of the business beyond the pandemic, and then to drive that renewed purpose to build and transition a scalable company that has value beyond the original owner.

But at the same time, it is important to focus on the family relationships that will either suffer or thrive along the way. The reason? Even more damaging than the economic fallout of the pandemic is that the most promising and profitable company could perish when the investment in the family business is marred by family conflict.

While it is normal for a typical family business to be inundated with challenge and change, we all know these are not normal times. Never have so many potential threats been evident at the same time:

The disruption of the pandemic: While some “re-imagined” companies will enjoy a successful rebirth in these times, many may not survive. It is critical that a Real Wealth Management™ team of specialists be engaged to do a 360-degree analysis of the short and long term “what if” factors. The family needs to understand tax, legal and financial circumstances and plan proactively to get through them.
Demographic factors: aging Baby Boomer owners have a limited number of potential successors, and now a shorter runway to revamp valuations within the tepid economic growth cycle they find themselves in.
Disruption of key industries: new and complex business models require a rapid pivot. It’s all virtual all the time, and like the internet and computer revolution before that, working from home and conducting Zoom meetings will not fade away. This is the mainstream way to conduct business and it is here to stay. The unprecedented speed that digital/technological advancement has been forced upon the globe requires an enormous rebuild for many businesses. This could reduce expected valuations and make transition to new owners either irrelevant or much more costly.
Dramatic change in the global economy: There is no doubt that the recession Canada now finds itself in is making strategic planning more In good times, the big worry is the escalation of the cost of doing business and shrinking profit margins. In these bad times, the enemy is the absence of revenue. It requires the remaking and repositioning of the value of the company in completely new pursuit, as forecasts will likely be more important than historical trends. Astute professional help from experienced accounting and business valuation specialists can save exit expectations.
Uncertain tax rules: There is no doubt that the complex new tax changes, restrictions to family income sprinkling, and a new clawback of the small business deduction all impact profitability, investment opportunities, and access to capital. This challenge could be especially difficult for young entrepreneurs or successors who want to scale up the business for the future. However, the various wage and rent subsidy programs have been complex. They have tax implications and more importantly, bring with them a higher probability of tax audit risk in multiple departments: GST/HST, payroll and personal/corporate income tax.
Typical family business problems: conflict, apathy, sudden or emerging illness, or control issues can affect relationships, decision-making, and ultimately the health of both entities: the family and the company. Exhausted business owners who have been working overtime just to hang on and meet their obligations are likely not endearing themselves to the families that resent their efforts to save the business.

Whether you or your clients are long-time business owners getting ready to transition out, or a sudden new entrant to the “gig economy” due to pandemic-induced unemployment, the good news is that you are likely poised to grow and expand, once the dust settles. You will appreciate this book for its contemporary and practical advice on how to get the next phase write, from the ground floor up.

It brings a common-sense approach to the challenges associated with building a company that has the potential to be sold to someone else in the future, despite the current crisis.

I know I speak with my co-author, Jenifer as I say this: we wrote Defusing the Family Business Time Bomb to help prepare for the most explosive challenge in a generation. Specifically, the retirement of the Baby Boomers and transition of their companies to a new guard, who face pitfalls and opportunities of their own, most especially now. We hope you will order it, gift it to your business owner friends and clients, and start numerous new discussions about the bright economic future ahead, once we get past these storm clouds.

Jenifer Bartman, CPA, CA, CMC, MFA™, is the Founder and Principal of Jenifer Bartman Business Advisory Services, assisting companies in transition (early, financing, growth, and succession stages) with growth strategies, financing readiness, strategic/business planning, and executive coaching. Jenifer is well known for her venture capital and early stage financing expertise, having been an executive in the industry and an advisor to many young companies. She appears on the CBC News Network Weekend Business Panel. She tweets @JeniferInc.

Evelyn Jacks, MFA™, DFA-Tax Services Specialist™, is one of Canada’s most prolific financial authors, having penned over 50 books on personal tax and family wealth management, many of them bestsellers. A well-known tax and financial commentator, she has twice been named one of Canada’s Top 25 Women of Influence. Evelyn is also President of Knowledge Bureau, a national educational institute focused on professional development of tax and financial advisors. Follow her on twitter @evelynjacks, and here in Knowledge Bureau Report.

Copies may be reserved online, or by calling 1.866.953.4769.

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January 29, 2020 by Jenifer Bartman

Creating Space for Life to Happen: We all have a role to play in changing the conversation

This article was published by the Canadian Venture Capital & Private Equity Association on January 29, 2020, Bell Let’s Talk Day, in support of mental health initiatives in Canada. We are grateful to have an opportunity to speak out on this important issue. If you need help, please call 911 or access resources here. Remember, you are not alone.

“How are you?”

Three simple words that we hear or read most days, so familiar that we don’t always consider the question. We respond: “I’m fine”, “OK”, or “not bad”, with slight impatience, moving on to whatever is next. There are times when we are the furthest thing from fine, but we say that we are, anyway. Perhaps, we believe that how we are feeling is not relevant to the conversation, that others are not interested enough to care, or that it is a sign of weakness or embarrassment to admit to being anything other than top-shelf. Maybe, it was that one time we were honest about our feelings, on a particularly bad day. Watching another person’s face fall, then look away and awkwardly move to another topic was enough to make us vow that feelings are best kept inside (and certainly out of business talk).

So, every day, many of us tell others that we are fine when we are not, when the reality is “I am hurting”, “I am tired”, “I need help”, or “I am lost”. These are feelings that we are reluctant to share and just because we keep them inside doesn’t mean that they go away. Instead, we carry them and they become part of us, and doing so can be exhausting.

The ability to move forward through whatever ails us is a trait that is revered, one that tends to be associated with leaders and trailblazers who generate success and get things done. Entrepreneurs and business leaders are prime examples; carrying the stress of both their role and the challenge of moving a company forward in an increasingly competitive world. Add the needs of employees, customers, investors, and others into the mix and there is often no time to be anything other than “fine”; at least, on the outside.

But there is more to the business leader role than its exterior. On the inside, it can be a very lonely place; sometimes, to a point that it hurts. Entrepreneurs often say that they love their work, are passionate about it, and would not do anything else, given the choice. They work around the clock, day, after week, after year, without fully realizing that they are running on empty. It can take someone in a position of trust to give a business leader permission to step off the treadmill, before they fall. Do we see the signs? Do we make the effort often enough?

When it comes to building a successful company, sustainability is critical, as there is tremendous benefit to be realized when a business thrives over the long term. Sustainability is equally important at the entrepreneur/business leader level, setting the stage to add significant value over time. Financial partners and those in governance positions can play an impactful role in identifying and supporting strategies that create the foundation for a sustainable company. Fundamental to this is making wellness a priority; here are some ways to help:

Listen. Deeply, compassionately, and quietly. Asking “how’s it going?” means being prepared for a variety of responses and taking the time to be understanding and supportive when difficulties arise. This includes being fully present in the moment, comfortable in silence, and resisting the reflex to “fix” things. Remember that the person across the table has a family and others who depend upon them; they could also be dealing with a challenging life situation that all of us encounter at some point. Create space for life to happen.
Make depth a priority. Business leaders tend to carry the ball for much more than their share of the game; this is particularly true for young and high growth companies. With sustainability in mind, ensure that corporate objectives and financial resources include a tangible plan for creating depth, starting with the CEO and other senior roles. While entrepreneurs might claim “it’s easier if I do things myself”, this approach does not support growth, nor will it get the company to where it needs to go. Pay careful attention to the CFO or senior finance role, as these tend to be overburdened positions. Bottom line: a company cannot afford to have its key people become casualties of burnout (and they cannot afford it either).
Identify resources that can help. Young companies do not always have the financial resources or need for a full complement of senior level roles; however, this is not a reason to bypass doing so. Experienced advisors have the ability to step into contract or part-time roles and make an immediate impact, taking on responsibilities from overwhelmed founders and bringing a level of expertise that the company might not be able to afford at its current stage of development (keep in mind that it is often the administrative and finance areas that get overlooked, becoming lagging problem areas). Financial and governance partners should have a deep network of resources that can fill these roles, be it on a short term or ongoing basis, providing options to help companies move forward more quickly and competently.
Check in often; mind, body, and spirit. Business meetings need not be solely about dollars and cents. Successful implementation of a growth plan relies heavily on the quality of a company’s team, so it is important to recognize that strength comes from more than just the mind; the body and spirit also matter. Encourage entrepreneurs and business leaders to spend time interacting where wellness is the priority; events on a regular basis can be particularly helpful. Financial partners can play a leadership role, giving the all-important green light to take a more holistic and sustainable approach.

We all have people who have passed through our lives, who we would give any amount of time to see again. To sit, talk, laugh, and savour the moment; to be generous with our time. This perspective reminds us that life is fleeting and that the time that we spend together is more important than we know; not just to us, but to others as well.

We can change the conversation, and there is nothing but benefit in doing so. Our dialogue might begin with “How are you?”, but it can continue with the power and presence of saying “I am here for you. Let’s talk”.

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August 19, 2019 by Jenifer Bartman

Giving up on the 1-Yard Line: Finding triumph over mistakes that companies make

This article was published by CMC Canada in the Summer 2019 issue of Consult.

In my many years as a business advisor and venture capitalist, I have seen companies make a lot of mistakes. There have certainly been successes, but mistakes, unfortunately, are a lot more common. Some of the ones that are the most damaging are those that are analogous to “giving up on the 1-yard line”, where after a prolonged period of time of working, pushing forward, and focusing on their game, a company’s leadership throws up its collective hands and says, “I’m done”. Why is this so harmful?

First, this situation tends to occur when facing challenging tasks that are integral to the success of a company; examples include areas such as properly conducted business planning, implementation of fundamental systems and processes, and successfully attracting financial and strategic partners. Appropriately addressing these areas tends to take far more work than business leaders anticipate; they also represent initiatives that might be entirely new. As a result, the keen enthusiasm that is apparent when a project begins tends to fade to an attitude of “we don’t need to work this hard”.

Second, companies sometimes have difficulty focusing on priorities, as key areas tend to be far less glamorous that the “fun” aspects of being in business, such as designing a new logo, touring office space options, or chatting up prospective partners that the company has little potential of actually attracting. Days get filled with these activities, that are more about busy-ness and less about results, decreasing the amount of available time to focus on the real work that needs to get done. This is a hard lesson that business leaders tend to discover far too late, and can be as damaging as losing key customers or running out of money. Full stop.

A better approach is recognizing that advisors who have “been there” and “done that” are in a unique position to provide the important leverage that companies need, to ensure that they are focusing on the right things, conducting their work at a quality level, and not running out of steam. How can this be achieved?

Priorities are not always obvious. Amazing, but true. Business leaders can get so caught up in the challenges of running the company on a day-to-day basis, dealing with staff members, and responding to customer needs that they are unsure (or unaware) about the steps that should be taken to make meaningful progress on a corporate level and might lack the experience of what is required in order to do so. Advisors can play a key role by identifying and prioritizing task items and keeping the implementation process on track. All of these areas are common pitfalls and represent the difference between starting something and actually getting it done (activity does not equate to meaningful progress).
Experienced advisors are the “acid test”. Advisors with a strong experience and qualification base understand where important initiatives need to “get to”, such as what financial partners need to know in order to make a decision. Companies tend to take the view that “what we provide to them will be good enough”, failing to understand the woeful inadequacy of this approach. Using raising capital or financing as an example, experienced financial partners have typically reviewed more opportunities than they can count and operate in an environment of limited money and an investment mandate that guides selection. They very quickly slot opportunities into a category, and chances are, it won’t be the “yes” file. Experienced advisors have a skillset that is extremely valuable; one that can help a company put its best foot forward and anticipate what is required in order to get to a successful outcome. Be sure to probe an advisor’s qualifications to ensure that they are the right fit for the particular initiative at hand.
Utilize skill to get there, faster and better. Teams who spend the whole game running around on the field, for the sake of running around, don’t win very many games. Coaches of successful teams know how and when to utilize resources in a manner where they can make the best contribution, including recognizing that there are times when specialized help is needed. This is where an experienced advisor can play an important role, providing the necessary expertise to quarterback complicated plays and get to the endzone more quickly. Business leaders sometimes do not appreciate the value of resources with the right experience; this fact tends to get reinforced in times of poor advice, from those who are not qualified to help, or when receiving no assistance at all. A company might not recognize the weaknesses that result, but the external party that they are trying to impress likely does.

These lessons might seem relatively straightforward, but reality reflects something quite different, as fumbles and mishaps in all of these areas, and numerous others, are quite common. What can make a big difference is perspective; stepping back to see how far an initiative has come, the relatively short journey that remains, its level of priority, and what success requires. If business leaders did this more often, there would be far fewer companies walking off the field with only one yard left to go.

in Business & Strategic Planning / Business Transactions / Early Stage Financing / Entrepreneurs / Financing / General / Insights / Leadership / Management / Management Consulting / Succession Planning 0 comments

July 22, 2019 by Jenifer Bartman

They Used to Call it “Sexist”: Taking action against systemic gender bias

I’ve been in the business world long enough to remember the days when a person or organization that didn’t treat women fairly was referred to as “sexist”. This term took a wide path; be it a lack of promoting women to more senior roles, paying them fairly, making inappropriate comments, or worse. Although the terminology has advanced from this simple reference, the journey to reaching gender parity has made far less progress.

Statistics and research findings are readily available to support a lack of gender parity; be it the inequity of women in senior roles, Board of Directors positions, equal pay, or investment capital for female led companies. While some have approached the issue with a musing of “we must do more” or claim that “mentoring young women and girls is the answer”, such commentary is woefully inadequate and off the mark.

As a former executive and venture capitalist still active in the industry, I have spent more time than most working in traditionally male dominated fields and certainly know what it’s like to be the only woman in the room; doing so has never bothered me. I am bothered, however, by the relative lack of progress that has been made in advancing women to a point of parity in a range of senior areas over the last quarter of a century. I recall unequal pay and the “glass ceiling” being regular topics of conversation when I was completing my university degree, which was some time ago. In 2019, these issues are still very much a reality.

Given that there is an abundance of women who are qualified to hold executive roles, run companies, serve on Boards, and seek investment capital, the lack of progress is not due to insufficient supply; something else is at play. Although there are certainly exceptions, this suggests the presence of a “systemic bias” that has not allowed women to progress as equally as men in some areas. An example is as simple as filling a Board or senior executive vacancy by utilizing a “who do we know?” approach to identify possible candidates, drawn from the current members of the group and their network; we know that the majority of these are men. The result, too often, is a disproportionate candidate pool that under-represents some groups, as well as inclusion of those who are less than ideally qualified.

Changing this reality requires more than wishing it away or “giving it time”; tangible action is needed on various levels. Whatever the vantage point, there’s a role to be played in eradicating systemic gender bias:

If you are a member of a Board of Directors:
- Refrain from relying solely on the “who do we know?” approach to fill senior roles and cast a wider net when seeking candidates. Ensure that the network that is approached has a balanced gender mix and engage an experienced advisor to draw candidates more broadly (don’t forget to request information about their diversity mandate).
- Ask the business leader for a copy of the Company’s diversity policy (if this is met with a blank stare, engage a qualified advisor to help), set milestones, and monitor progress.
- Ensure that Board and Committee meetings are kept at a professional level and that proceedings are respectful and comfortable for all. Diverse perspectives actually improve a group; studies have shown that the presence of women in corporate leadership generates better results.
- If you see gender or any other type of bias, call it out. A Board represents an important part of an organization’s leadership, and if this represents an area of discomfort, think twice about holding the role.
If you are a CEO or Senior Executive:
- Ensure that the Company has a diversity policy in place and that equity is present, in terms of compensation and access to senior roles. If this is not the case and/or “we can’t find qualified women” seems to be a common complaint, seek advisory assistance.
- When implementing strategies to enhance diversity, ensure that the approach that is being taken isn’t “tone deaf” to those that it is meant to help. Too often, poor or less than thoughtful implementation results in the process backfiring, leaving a situation worse than it was in the first place. Seek feedback from those who are skilled in the area of diversity initiatives and/or a sample of the target group, in advance, to avoid costly and embarrassing mistakes.
- Track diversity progress and recognize that an organization that is gender balanced, viewed as “fair”, and comprised of diverse views will lead to better performance and be more appealing in the marketplace. Companies that achieve this in a meaningful way can showcase their accomplishments, while others face the prospect of being unfavourably labeled and less attractive to qualified candidates.
- Remember that a company’s diversity reflects on its leadership in the Executive office. Ask the hard questions: are you proud of what has been achieved in this regard during your tenure?
If you are responsible for managing the human resources function:
- It is incumbent upon you to ensure that this functional area is managed fairly, regardless of whether you are a human resources professional or a manager who has been assigned this responsibility (such as a CFO). Where additional knowledge or expertise is required in order to do so, request it.
- If the Company lacks a diversity policy, equitable compensation, workplace respect, or has other problems, it is not acceptable to stay the course and relegate the situation to a talk track of “it’s always been this way”. Meet with the business leader to discuss these areas and make an assessment of where progress can be made. Be sure to seek professional guidance in situations that are truly unacceptable.
If you are a human resources advisor or consultant:
- Have a diversity policy that guides recruitment and selection activities and be prepared to educate those who view this approach as “giving unqualified people jobs”. In many, if not most cases, there is a diverse range of qualified candidates.
- “Walk the talk” with candidates and ensure that a diverse range is contacted on a regular basis. Situations where women, for example, are added to a candidate database so that it can be promoted as “diverse”, only to never be contacted or put forward for a role, is a legitimate complaint. Rest assured that word travels quickly through the very network that is being sought.
If you are a business association or organization:
- Although it might seem dated to make this statement, associations and organizations that have traditionally been targeted at men also need to walk the talk when it comes to diversity. Adopting a “we need to find more women” mantra, without doing the work to make a service offering diverse or to actively engage female participants is unacceptable.
- In this type of situation, women are left with the perception of “being on a list” or having been “hoodwinked” to demonstrate an organization’s progressiveness, with no real intention of engaging them in a meaningful way. Not only does this represent a service delivery failure, it is also unprofessional and biased.
If you are a staff member:
- In the event of inequitable treatment of others, speak up. Initial referral points can include a human resources officer, through a corporate “whistleblower” or code of conduct policy, or an employee assistance program. A lack of respect or professionalism should not be tolerated.

And, if you are a qualified woman (and there are many of you!), the last word is for you:

If you are not being treated fairly, speak up; If you are qualified, but not given an opportunity, show up; When an organization proves to be a “dead end”, move along. There are places that will value your contribution, progressive leaders that you can learn from, organizations that will promote your talent and ability, equally. Seek them out and pursue what they have to offer.

Recognize that the problem is not you and those who are stuck in the days of “sexism” don’t (and won’t) appreciate your ability. For so many years, the future has been regarded as distant and aspirational, but in many aspects of our world, it is now. Never forget that you are not alone; numbers brings comfort, perspective, strength, and a better path forward.

in Career / Insights / Leadership / Management / The Diversity Files 1 comments

March 28, 2019 by Jenifer Bartman

MEDIA: Appearance on Moolala (Sirius XM)

Pleased to appear on Moolala (Sirius XM radio), joining host Bruce Sellery to talk about my new book, Defusing the Family Business Time Bomb. You can listen to our chat here.

This discussion is a great reminder that what’s good for companies in general is also good for family businesses! Too often, family businesses tend to have the view that catering to what’s best or most convenient for the family is an acceptable priority (and sometimes, the main priority!). In our highly competitive, rapidly evolving, technology fueled world, this approach can be particularly dangerous. Consider the following realities:

Consumers favour flexibility and convenience, in terms of how they procure goods and services. With a world of options at their fingertips, consumers have never had more choices, and companies that do not perform well or fail to meet expectations are quickly replaced by more savvy competitors. Getting a customer back once they have been lost is difficult, if not impossible, in many cases.
An abundance of things that used to be done “manually” are now driven by technology, think shopping, logistics, communications, manufacturing, and even depositing a cheque. Companies who have not kept up with the technologies that impact their industry or have failed to invest in these areas are unlikely to have a future (they barely have a “present”). Family business leaders who consider succession to be as simple as handing over the keys to the next generation need to think again.
A well managed company leads to good outcomes, including financial performance, customer loyalty, and longterm employees; these are some of the building blocks of establishing a brand. When a company is guided by what is most convenient for itself, shuns the systems and processes that generate good performance, and fails to seek advice to bring valuable perspective and expertise, it is not in a position to establish a brand presence that represents meaningful value to a potential successor or acquirer down the road.

Think about what this means. When family businesses fail to operate in a manner that is based on fundamental business practices and the needs of the marketplace, they put the future of everyone involved at risk; this reality has never been more true. Business leaders must take action, now, to ensure viability over the longterm, to the benefit of the company and the family (and those in the Baby Boomer generation, who have led companies for a while and are now facing retirement are a particularly important group, when it comes to succession considerations).

Get started by reading Defusing the Family Business Time Bomb, helping business leaders face the most explosive challenge in a generation. Your business and your family’s wealth generation should have a future, right?

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March 25, 2019 by Jenifer Bartman

A World Away from Yesterday

This article was published by CMC Canada.

There was a time when it was a given that a family business would be passed from one generation to the next; in many cases, it was just a matter of time. Over the course of 20 or 30 years in business, things changed, but not at the pace or in the manner that has been the case over the past few years.

We have certainly seen the impact of demographics and technological disruption on business succession, but there’s also considerations that relate to changes in the global economy and the financial uncertainty that continues to evolve. Consider the following factors, in terms of their impact on both the current operations and future viability of family businesses:

Trade relations. Recent years have brought numerous trade developments, including tariffs, disputes, and negotiation of new agreements, such as the USMCA (to replace NAFTA). This agreement not only includes new clauses, it has also created uncertainty, given the lengthy negotiation timeframe and the fact that it is yet to be formally enacted. In addition, ongoing trade discussions between the US and China and the friction associated with the detainment of a Huawei executive have left many countries wondering what the outcome will be, along with uncertainty associated with Brexit, the European Union, and turmoil in Venezuela. This state of flux impacts critical areas such as business investment and growth strategies, as well as financial performance, when unexpected tariffs and trade bans come into play (the case of Canadian canola imports being halted by China is a recent example).

Ally uncertainty. For those of us who have been on this Earth for a while, there has been relative consistency in terms of who are considered to be global allies and those who are foes to be regarded with caution. In challenging times, it has been a given that countries such as Canada and the United States would work together with allies in Europe and the rest of the Commonwealth to protect interests and combat potential harm. In recent years, traditional alliances have become less certain, with US leadership effectively reducing its global profile and “making nice” with questionable regimes. Besides the obvious “headline” appeal, the reality is that economic circumstances tend to follow relationships, and when uncertainty occurs, it could translate into business risks, and sometimes, opportunities, if the situation is approached effectively. Regardless, companies are impacted by these developments, even if they occur in faraway places (think about the realities faced by farmers and everyone who counts them as customers, when Canadian canola shipments are turned away by China).

Financial matters. In addition to how trade, alliance, and global economic factors could impact a company, there are also matters closer to home that contribute to changing times. Consider areas such as increasing interest rates, changes in tax legislation, and the challenges associated with access to capital. Canadian businesses have seen significant tax changes in recent years, some proposed, some enacted. In addition to the real life implications, business leaders have had to seek specialized advice to understand areas such as income splitting and potential clawback of the small business deduction. Potential successors are challenged to procure the necessary capital in order to undertake a business transaction, in an investment and financing environment that has become increasingly competitive and complex, as financial partners also monitor global developments.

The bottom line is that a company must have the ability to demonstrate marketplace relevance well into the future; in the absence of doing so, there is no basis to achieve ongoing successful operations, making transition irrelevant. Leaders of tomorrow must be able to demonstrate a viable business model, strategy, and plan to make their time at the helm worthwhile, but also to secure the necessary capital to complete a succession transaction. Current and future family business leaders can (and should) take action now by reading Defusing the Family Business Time Bomb. A world of opportunity (and risk) awaits!

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February 19, 2019 by Jenifer Bartman

At the Speed of Fright (I Mean, Light)

This article was published by CMC Canada.

The pace at which our world is evolving is one of those things that has become so common, we don’t always take the time to think about its impact. Phones that are used to watch broadcast media, cars that don’t need gas or a driver to operate, personal “assistants” that can place orders on command, rockets that can essentially land themselves, mapping applications that make logistics a snap; these are phenomenal developments. While these technologies and many others have made our lives easier, they have also presented significant challenges to the business community. Consider the following:

Business model blow up. The manner in which companies make money has changed dramatically in many cases, which cuts to the very heart of business; this is easily illustrated by the retail industry. While stores used to be the primary shopping option, consumers now have access to a range of methods, including online, rapid delivery, subscription models, and mass media e-tailers. Consumers have, in fact, come to demand these options, leaving companies to struggle to meet the pace of change, with many finding themselves in a too little, too late situation, unable to survive. This disruption scenario is true in almost any industry.
Strategy break down. In order to migrate a company through significant change, a key requirement is having a strategy that is proactive, comprehensive, and relevant. These attributes are driven by having a thorough and timely understanding of the changes that are occurring in the external environment, including industry trends, technologies, and marketplace developments. Too often, business leaders focus primarily on what’s occurring inside of their company, with a “they need us” mentality when it comes to customers. This mindset is one that greatly jeopardizes the future of a company.
Resource reckoning. New business models utilize resources differently; examples include the need for fewer people, different skillsets, roles that are held by technology, and utilizing strategic partnerships. Each of these bring changes in workflow design, systems, processes, and costs (remember that costs directly impact pricing!). Companies that do not proactively pursue the need to change how they work tend to get left behind at the worst of times, when more savvy competitors have implemented these methods, making it impossible for others to catch up and compete; which leads to this last point.
Financial shortfall. Integral to a successful business is the ability to generate at least good financial performance (strong results are, of course, better), thereby creating the fuel to invest, grow, and sustain over the long term. When a company does not have the right business model, it isn’t in a position to build the appropriate strategies to utilize resources well and be competitive over the long term, which leads to poor financial results; it’s all connected. Companies in this situation lack market relevance and are, too often, left without a future. Think about what this means to a business leader who is depending on the transition of their company to someone else, as the basis to fund their retirement.

The reality is that many of the advancements that we live with today represent technologies that much of society could not have imagined even five years ago. What will the next five years bring? The next 10 years? As technological advancement continues to accelerate, even the next two to three years will be highly significant. Is your company ready to face this challenge?

Remember that challenge also brings opportunity, but only for those who are well positioned to approach it. Learn more about the profound impact of disruption in the external environment, as well as how to take control and benefit from it by reading Defusing the Family Business Time Bomb. The future of any company is based on its ability to continue to be relevant to the marketplace over the long term. In today’s world, this is anything but a given.

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