I did a post on this show, which airs on CNBC at 8 pm Arizona time, midway through the last season, but I find the show fascinating. Basically, companies invite in Marcus Lemonis, a turnaround specialist and wealthy multi-time entrepreneur (best known for Camping World) to help them turn around their failing companies. Marcus usually takes control by investing in a controlling share of the company. How he gets his money back is a little mysterious.
As long as I’ve done management consulting, I always learn from the show:
1. Entrepreneur/owners can be amazingly pig headed. Marcus tries to be conciliatory, but sometimes, they just don’t listen, and he goes into authoritarian mode. These owners invite him in! Most of them need to take listening 101. Don’t be like these guys.
2. His mantra is people, process and products, and usually changes most of them to achieve the turnaround. He usually changes senior leadership; the owners are already out of control when they hire him.
3. Once he’s reached a deal, he always announces to the entire employee cadre who he is and why he’s there. With the former, now minority owners there. Good practice, I think. Good employee buyin.
4. Turnaround decisions are made rapidly….get rid of stale inventory, remodel showrooms and buildings, etc. It appears some of the turnarounds can take some time: he bought a controlling interest in a New York car brokerage company last season, and is licensing it all over the country this season.
5. It appears the show will feature updates on how past investments are doing. We have Solutions Forum licensees in a couple of the areas where companies are, and they’ve appreciated continuous feedback on The Profit’s recommendations.
So, check it out!