In this clarifying episode, Richard Broo, Principal and Founder of True North PMP Consulting, shares how how stage 5 CEOs can diagnose and fix disconnects that derail projects and performance. If you feel overwhelmed by complexity, frustrated by information gaps between levels, or sense your team is not aligned despite your efforts, you won't want to miss it.
You will discover:
- Why breakdowns happen even with smart people and strong intentions
- How to assess the true current state by talking directly to people at every level
- What to do instead of blaming when things go wrong
This episode is ideal for for Founders, Owners, and CEOs in stage 5 of The Founder's Evolution. Not sure which stage you're in? Find out for free in less than 10 minutes at https://www.scalearchitects.com/founders/quiz
Richard Broo has spent more than 40 years helping organizations identify and correct project issues before they become costly failures. He has worked with Fortune 500 companies, mid-market firms, and private-equity-backed businesses across industries, including packaging, automotive, consumer goods, industrial manufacturing, and medical equipment. His expertise includes product management, project management, new product development, commercialization, and operations. He has also led businesses through major turnarounds, including stabilizing a failing medical packaging company and guiding it through bankruptcy to a successful $22.2 million sale.
Want to learn more about Richard Broo's work at True North PMP Consulting? Check out his website at https://truenorthpmpconsulting.com/
Connect with Richard through his LinkedIn at https://www.linkedin.com/in/richardbroo?
Hello, hello, and welcome. Welcome once again
Scott Ritzheimer:to the Start Scale and Succeed podcast, the only podcast that
Scott Ritzheimer:grows with you through all seven stages of your journey as a
Scott Ritzheimer:founder. I'm your host, Scott Retzheimer, and I still remember
Scott Ritzheimer:there was this distinct change that I couldn't describe at the
Scott Ritzheimer:time I was founder, CEO of a business. We moved from being
Scott Ritzheimer:this small entrepreneurial startup to one day kind of woke
Scott Ritzheimer:up and found like we're this full blown enterprise, and as
Scott Ritzheimer:nice as that sounds, and as much as I probably bragged about it
Scott Ritzheimer:quite a bit, if I'm honest, it seemed like on the inside it was
Scott Ritzheimer:a heck of a lot harder than I expected, because just about
Scott Ritzheimer:every day demanded a new skill or new way of thinking that I
Scott Ritzheimer:did not have at the time. Now, as a coach, I recognize this
Scott Ritzheimer:same challenge that catches almost every founder by surprise
Scott Ritzheimer:when they reach this CEO stage. There's so much to consider,
Scott Ritzheimer:there's so much to understand, and there's so much that has to
Scott Ritzheimer:get done, and you're so dependent on so many people for
Scott Ritzheimer:every step of that process that it can be very, very
Scott Ritzheimer:overwhelming. The simplest problems, like realizing you're
Scott Ritzheimer:paying $10 for a part that should only cost $1 somehow
Scott Ritzheimer:comes with so much complexity that you wonder if you ever, if
Scott Ritzheimer:you'll ever get anything done. Well, if that's you, I am
Scott Ritzheimer:thrilled to have you here. Because today's guest is Richard
Scott Ritzheimer:Broo, who spent more than 40 years helping organizations
Scott Ritzheimer:identify and correct project issues before they become costly
Scott Ritzheimer:failures. He has worked with Fortune 500 companies,
Scott Ritzheimer:mid-market firms, and private equity-backed businesses across
Scott Ritzheimer:industries, including packaging, automotive, consumer goods,
Scott Ritzheimer:industrial manufacturing, and medical equipment. His expertise
Scott Ritzheimer:includes product management, project management, new product
Scott Ritzheimer:development, commercialization, and operations. He's also led
Scott Ritzheimer:businesses through major turnarounds, including
Scott Ritzheimer:stabilizing a failing medical packaging company and guiding it
Scott Ritzheimer:through bankruptcy to a successful $22.2 million sale.
Scott Ritzheimer:He's here with us today. Richard, welcome to the show.
Scott Ritzheimer:I'm so glad to have you on today. I'm excited about this
Scott Ritzheimer:conversation. I want to jump in with a question here. You've
Scott Ritzheimer:spent a long time, over 40 years, of walking into rooms
Scott Ritzheimer:where projects or companies are bleeding out money, they're out
Scott Ritzheimer:of time, and that all happens under the watch of some really
Scott Ritzheimer:clever people, some really smart CEOs who've had a ton of success
Scott Ritzheimer:in the past. How does that happen? How do we let things get
Scott Ritzheimer:so out of control?
Richard Broo:But first of all, thanks for having me, Scott. And
Richard Broo:that's a very good question. And from my experience, it gets out
Richard Broo:of control because the different levels within the organization,
Richard Broo:either have different expectations about what you're,
Richard Broo:what they're trying to do, what they're trying to achieve, and
Richard Broo:they're not communicating with one another on all cylinders, if
Richard Broo:you will. So I have found that that's one of the critical
Richard Broo:reasons why some of the brightest and best minds get
Richard Broo:derailed, because those that they depend on always don't
Richard Broo:provide all the information or the right information at the
Richard Broo:right time.
Scott Ritzheimer:Yeah, yeah, it's this like game of telephone
Scott Ritzheimer:times hundreds and 1000s, and and I think the challenge of it
Scott Ritzheimer:is for founders who you've kind of been growing up through all
Scott Ritzheimer:of these different levels and stages, they've got a pretty
Scott Ritzheimer:keen sense on the feel for the organization. They know it needs
Scott Ritzheimer:to get done, and I think we actually misinterpret the fact
Scott Ritzheimer:that our executives have that same level of intuition. We kind
Scott Ritzheimer:of think that they know exactly what's happening at any given
Scott Ritzheimer:point in time, when sometimes they're just as in the dark as
Scott Ritzheimer:us, where in this game of phone, when we realize that it's
Scott Ritzheimer:breaking down? What are some of the first steps to start to
Scott Ritzheimer:clarify things?
Richard Broo:Well, having done several turnarounds and helped
Richard Broo:some of the General Electric divisions become more profitable
Richard Broo:and operationally efficient, you know, the first thing that that
Richard Broo:I look for is current state. What is what is the current
Richard Broo:state? What if you're the CEO? I want to know what do you know?
Richard Broo:What do you think? What do you feel? You know what's your
Richard Broo:impression about what's going on here. But I don't want to stop
Richard Broo:there. I want to go down below you. I want to talk to your
Richard Broo:staff. I want to talk to the people within the organization
Richard Broo:to see, are they are they seen and thinking the same things
Richard Broo:that you are, because what I find is there is some degree of
Richard Broo:disconnect, you know. The boots on the ground are trying to make
Richard Broo:something happen, right? I mean, that's why I'm a boot on the
Richard Broo:ground. I'm here to help advance the company, but I may not.. I'm
Richard Broo:live, I'm actually living on the ground, doing the work where the
Richard Broo:CEO is up several levels, or some of the management might be,
Richard Broo:and they may not really understand what's going on down
Richard Broo:at the boots level, or they may have what they think is an
Richard Broo:understanding by gathering points of information, but that
Richard Broo:information, it's not been put together properly, it's not been
Richard Broo:connected properly, so that you know by the time it gets. Way up
Richard Broo:to the top, you know that person says, "Well, wait a minute,
Richard Broo:what's going on here? And you say, "Well, this is what's
Richard Broo:really going on, and this has not been elevated enough to our
Richard Broo:levels. So, you first, I first look for is what you told me, as
Richard Broo:this founder and a CEO, the same as what I'm hearing on the
Richard Broo:floor, where the people are doing the work. If not, there's
Richard Broo:a disconnect, and we have to figure out why that disconnect
Richard Broo:exists.
Scott Ritzheimer:Yeah, yeah, with that disconnect, oftentimes
Scott Ritzheimer:it can be really painful, and and there's this feeling that
Scott Ritzheimer:we've kind of got to jump in and find someone to blame. We don't
Scott Ritzheimer:necessarily say it that way, but we feel it that way, it's like
Scott Ritzheimer:we have there's this almost visceral reaction to point
Scott Ritzheimer:fingers. Is that helpful? Is it not helpful? What is an
Scott Ritzheimer:appropriate response when we find out that there's been a
Scott Ritzheimer:disconnect?
Richard Broo:It's not helpful to blame. I mean, when we, when
Richard Broo:you boil it all down, we're all people, we're all trying to do
Richard Broo:what we think is the right thing, and the only way you're
Richard Broo:going to come through, like what I put Headwind Corporation
Richard Broo:through before I sold it, or helping turn around GE
Richard Broo:silicones, is you have to have some degree of empathy and
Richard Broo:open-mindedness to talk to the people about the situation,
Richard Broo:gather exactly what they feel that is, look for the
Richard Broo:connections and the disconnects, and then employ them, employ
Richard Broo:them to help close these disconnects. But for me to say
Richard Broo:to you, well, you know, Scott, this is all your division's
Richard Broo:fault. That's not going to solve anything. I'm going to alienate
Richard Broo:you, and I'm disrespecting you and the people that work for
Richard Broo:you. So it's all about getting the people moving in the same
Richard Broo:direction, understanding the same objectives and goals, and
Richard Broo:making sure that there's that accountability and ownership
Richard Broo:that they want to go that way. And the only way you're going to
Richard Broo:get there is with your people, so don't blame them, engage
Richard Broo:them.
Scott Ritzheimer:Yeah, when there's been a big mistake, or
Scott Ritzheimer:there's been a pattern of mistakes, and maybe you want to
Scott Ritzheimer:handle those two separately. You're more than welcome to, but
Scott Ritzheimer:how do we separate when it, when it is the person versus when
Scott Ritzheimer:it's more of a process or systemic challenge?
Richard Broo:Well, I've been through that at Headwind. There
Richard Broo:were there were some groups within that company that were
Richard Broo:not performing as expected, and some of it was the person, but
Richard Broo:when he's, when you talk about the person and the situation,
Richard Broo:you first have to ask yourself, as a leader, is that person the
Richard Broo:right person for that job? Do they, do they really have the
Richard Broo:skill sets to do that? And, and ahead, when I, I had a
Richard Broo:manufacturing manager that was thrust in, in the job that
Richard Broo:didn't have that experience, he did not have the experience of
Richard Broo:running, you know, three different buildings, all this
Richard Broo:different equipment, and he was just miscast, so I put someone
Richard Broo:in there that knew the operation, that knew how to run
Richard Broo:it, but that didn't mean the person that was miscast was a
Richard Broo:bad person, he had a great rapport with the customers, so I
Richard Broo:put him into sales, and he flourished. So, you first look
Richard Broo:at the people, I ask myself, is this person miscast in the role?
Richard Broo:Is this person really trying hard? I mean, do they have the
Richard Broo:heart for what, for the company, what they're trying to do? If I
Richard Broo:see that, I'm going to try to help that person get to where
Richard Broo:they need to be, and find someone else to take over where
Richard Broo:they were that can do the job. Yeah, yeah, and it's all about
Richard Broo:people understanding the skill sets required. And do you have
Richard Broo:the right people?
Scott Ritzheimer:One of the things that makes that
Scott Ritzheimer:challenging for founders, especially when they've had team
Scott Ritzheimer:members and leaders and executives who've kind of grown
Scott Ritzheimer:up in the business with them, is that at one point in time that
Scott Ritzheimer:may have been true, they were the right person in the right
Scott Ritzheimer:seat, doing the right thing, but those roles aren't static,
Scott Ritzheimer:they're growing with the organization. And how do you
Scott Ritzheimer:help someone figure out whether or not that's changed? Like, how
Scott Ritzheimer:do you stop when they've had so much success in the past and you
Scott Ritzheimer:see them as a successful leader? How do we, how do we stop in the
Scott Ritzheimer:current moment and reassess.
Richard Broo:Well, my style, what I did at headwind, and when
Richard Broo:I did a GE is I actually met with the person, I said, you
Richard Broo:know, you've, you've had success up to this point, you're
Richard Broo:obviously struggling. Some admitted to the struggle, some
Richard Broo:had to be, I guess, coached to understand the struggle, but
Richard Broo:eventually understand they're struggling. Okay, why are you
Richard Broo:struggling? What is it about what you do on a day-to-day
Richard Broo:basis for this job that's preventing you to have a
Richard Broo:continued success that will come out in those conversations? And
Richard Broo:then the next question I would say, well, if that's the case,
Richard Broo:Scott, do you really want to continue in this role that
Richard Broo:you're in and risk more failure, or can we work together to find
Richard Broo:a spot for you where you can flourish again? Because if you
Richard Broo:do, I can help you with that. But even though you've grown up
Richard Broo:in this business, so you and I grew up together, it's not
Richard Broo:working anymore, and it's all perhaps not your fault. There's
Richard Broo:circumstances involved. But again, you have value. Where can
Richard Broo:I use that value now to get you back on track and get the
Richard Broo:company back on track?
Scott Ritzheimer:Yeah, yeah, it's such a hard conversation,
Scott Ritzheimer:but approaching it through that lens, I think, is so powerful,
Scott Ritzheimer:and I'm regularly surprised at how well that works. I've seen
Scott Ritzheimer:folks even offered to have themself demoted to another
Scott Ritzheimer:role, demoted, but into a role that's a better fit, and really
Scott Ritzheimer:thrive in it. So, from a people standpoint, I love that input
Scott Ritzheimer:and advice. It's a great conversation to have. The other
Scott Ritzheimer:thing that you talked about, and kind of opened the episode with,
Scott Ritzheimer:is that the people are saying and seeing different things,
Scott Ritzheimer:and, and so one of the challenges, or one of the ways
Scott Ritzheimer:I've seen companies try to overcome this, is they just
Scott Ritzheimer:share everything with everyone, not literally, but almost, and
Scott Ritzheimer:it's just it's emails and emails and meetings and meetings, and
Scott Ritzheimer:there's a, there's a too much that's just as bad as too
Scott Ritzheimer:little. How do you figure out what the right information is,
Scott Ritzheimer:and the right channels to share it?
Richard Broo:Well, when it comes down to a personal
Richard Broo:conversation, to me it's person to person. I'm not going to air
Richard Broo:laundry that doesn't have to be air, if you will. So, if I have
Richard Broo:a people issue, I'm going to go to the people involved and have
Richard Broo:a direct one on one, understand where their head's at,
Richard Broo:understand, you know where their choking points are, and to talk
Richard Broo:to them about we can come through this if we want to work
Richard Broo:together through it, if it's a process-related thing, and we
Richard Broo:had, we, you know, at GE at Silicones, it was, it was, it
Richard Broo:was struggling fairly much, and basically we had a product
Richard Broo:issue, and we were trying to compete against companies like
Richard Broo:Dow and Varga Chemical, and everybody thinks she's this
Richard Broo:great company with all these products, but we had products
Richard Broo:that couldn't compete with them, so I had to go back to the
Richard Broo:product development people and say this is where we're really
Richard Broo:strong in this kind of chemistry, not that kind of
Richard Broo:chemistry, you've been trying to fight that kind of chemistry,
Richard Broo:where we're losing for the last 10 years on the automotive side,
Richard Broo:we're already beat, but let's go over here, where we can have a
Richard Broo:new market or market segment and win again. So, I think you have
Richard Broo:to, I think you have to find a way to divide it. If it's
Richard Broo:people, it's one on one, it's figuring out where the choke
Richard Broo:points are, how to get them back on track, not and use their
Richard Broo:value if it's, if it's process or product wise, you've got to
Richard Broo:go back within, within the organization with the facts,
Richard Broo:obviously, and say we're not winning here, and we're not
Richard Broo:winning here because of our people, we're not winning here
Richard Broo:because we don't have products that can compete in the
Richard Broo:marketplace, but we have strengths over here where the
Richard Broo:competitors don't, that's what we need to exploit.
Scott Ritzheimer:Got it, got it. So, good, Richard. There's
Scott Ritzheimer:this question that I have. I ask all my guests. I'm interested to
Scott Ritzheimer:ask it of you as well. And the question is this: What is the
Scott Ritzheimer:biggest secret that you wish wasn't a secret at all? What's
Scott Ritzheimer:that one thing you wish everybody watching or listening
Scott Ritzheimer:today knew?
Richard Broo:I wouldn't call it a secret, I would call it point
Richard Broo:of concern. There's no issue, there's no problem that you
Richard Broo:cannot overcome if you just have the gumption, the desire to have
Richard Broo:the hard conversations with the people that you're trying to
Richard Broo:nurture to grow your company or to turn your company around. You
Richard Broo:know, I grew up in GE before it became Welsh's real GE of
Richard Broo:empowerment, where people were afraid to talk. I'm afraid to
Richard Broo:talk to Scott, because I'm afraid if Scott takes what I say
Richard Broo:wrong, politically I could be killing myself. Or I don't
Richard Broo:really want to admit this to Scott, because if I do, I'm
Richard Broo:showing a sign of weakness. The big secret is don't be that way.
Richard Broo:Admit to what you don't know, admit to what you can't do, and
Richard Broo:ask for the help. That's strength, that's not weakness.
Richard Broo:But I think a lot of people feel within themselves, I don't want
Richard Broo:to expose myself to that. It's no big secret, you know. And I
Richard Broo:think you get more respect and more help and more runway if you
Richard Broo:do that with with the people you work for and the people you work
Richard Broo:with.
Scott Ritzheimer:Absolutely, absolutely, Richard. There are
Scott Ritzheimer:some folks who are listening and hanging on everywhere. You said
Scott Ritzheimer:just completely describe the situation they're in, and they'd
Scott Ritzheimer:love to have help navigating through some of these turbulent
Scott Ritzheimer:waters. Where can folks find more out about you and the work
Scott Ritzheimer:that you do. Where can they reach out to connect with you?
Richard Broo:They can find me on LinkedIn. I'm Richard Broo, B
Richard Broo:R O O. My company has a website, ww dot true north pmp
Richard Broo:consulting.com And I'll be more than happy if one of your
Richard Broo:listeners would like to talk with me. It would be my
Richard Broo:privilege.
Scott Ritzheimer:Fantastic, fantastic. Well, Richard, thank
Scott Ritzheimer:you so much for coming on and sharing the wealth of experience
Scott Ritzheimer:that you had. I know we've only scratched the surface of the
Scott Ritzheimer:surface, and for those of you listening, you know that your
Scott Ritzheimer:time and attention mean the world to us. I hope you got as
Scott Ritzheimer:much out of this conversation as I know I did, and I. Cannot wait
Scott Ritzheimer:to see you next time. Take care.