• A Distinctive Illumination of Business
What business problems are you not seeing

I heard this story the other day.

A company is closing a manufacturing plant due to poor performance. Not anything we haven’t read about or seen on the news.  But, in this case the CEO visited the plant for an inspection six months earlier and announced it to be a “beautiful, well run plant”.

So what happened in six months?

In actuality, the plant was not a “beautiful, well run” plant.  It was a sloppy mess that had been losing money. Inventory disappeared, product errors were high, management was either inept or in over their heads for the inmates were running the asylum.

So how did this CEO see a “beautiful, well run” plant.

Here’s how.

Smoke and Mirrors

Two weeks before his visit, the CEO announces his planned inspection.

You don’t have to be a mental genius to figure out what happened.  The people at the plant went “Oh my God! The CEO’s coming.” We have to make everything perfect.”   So the plant is cleaned and shined, the crap and mess is hidden away, his favorite beverages and food are put out and the dog and pony show is put on.

And the CEO sees a “beautiful, well run plant”.

Wanna know something? This scenario happens more often than not.  And not just in corporate America. Just watch any presidential press conference or town hall meeting.  He always seems to know the answers. Quick on the comebacks.  Did you know all the questions asked to the President are pre-approved so he can prepare answers?  Because you don’t want the President to look bad.

Face the Music

Now if it were up to me and I want to see how things are really run, I don’t announce I’m coming for a visit. I show up.  If the place is a mess and the people aren’t prepared, oh well.  At least then I can see there’s a problem and do something about it.

I just don’t understand the reasoning for preparing for a visit.  Ego?  Control? Superiority?

Reality Can Bite … Sometimes Big Time

In reality, for some time there had been signs that this plant was in trouble. Customer complaints, poor financials. I find it hard to fathom that the CEO or those under him didn’t see this coming.  Then again, I have seen many business owners who see the freight train coming at ’em but choose the strategy of closing their eyes and hoping it goes away.

But in this case the CEO saw his bright, shiny plant so there must’ve been something else “wrong”.  Or…  he wanted to believe it was something else.

Are you seeing things as they are or as you believe they are?

Bringing in someone who has no vested interest in your company can help open your eyes to issues you aren’t seeing or are closing your eyes to.


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