Posts Tagged ‘board’

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Four Elon Leaders Meet at LaRose Digital Theater

February 25, 2009

by Kevin Clang

Even though they have been at odds with each other at times throughout their careers, there was one thing that four significant leaders from Elon’s history could all agree on: optimism.  “It is important upon leaders to convey a positive image,” said current Elon President Leo Lambert.

Four Executives Meet at LaRose Digital Theater

Four Executives Meet at LaRose Digital Theater

Lambert, the eighth president in Elon’s history, was joined Tuesday night by Earl Danieley, Elon’s sixth president, Noel Allen, president of the Student Government Association (SGA) from 1968 to 1969, and current SGA president Chase Rumley for a discussion titled “Leadership, a Presidential Perspective.”  The talk was a part of Elon’s LEADstrong 2009 campaign and sponsored by Elon’s Center for Leadership.  The four executives discussed different aspects of leadership and what leadership meant to them during their time at Elon.

“Leadership is a team phenomena,” said panel moderator John Sullivan in his opening remarks, “it is embedded in time and circumstance.”  It was clear that some aspects of leadership, among them discipline, integrity and a sense of priorities have remained constant throughout Elon’s history.

Danieley fondly recalled his first few years as President.  “I didn’t want to be a dictator,” he explained, saying he likened himself more to an autocrat.  “Collegiality and transparency had not been invented.”  Even though he appointed his own board, Danieley encouraged them to discuss matters and not go by everything he said.  He was the first to organize the board into separate committees and delegate tasks to them.

The tradition has since carried on.  Lambert offered the name change from “Elon College” to “Elon University” as a defining moment in his presidency.  “Elon was on the cusp of doing wonderful things,” he said, but some worried that a change in name would also trigger a change in values and communities.  His determination eventually succeeded.  Lambert advised students to “stick to your guns,” especially when they really believe in somthing.

On the opposite side of the spectrum was Allen, who claimed his greatest failure during his time as SGA president was “never pissing Danieley off.”  Allen encouraged students to look at matters from a perspective different than their own, something he learned to do after being elected.  As an example Allen offered his approach to having mandatory Chapel abolished.  Rather than hold a huge protest and walk out, SGA went to several ministers in the community and had them sign letters condemning the practice.

Rumley offered the creation of the Acorn Society, Elon’s student giving community, as his greatest achievement.  The set-up was important, but Rumley also stressed his commitment to the project as principal to its success or failure.  He is unsure of what will happen when he leaves Elon this spring, but is confident that the project will continue to thrive thanks to its leaders.

The best advice the four could give was to trust the team around you.  “Identify talent, delegate ta ks, and take advice,” said Allen, now a practicing lawyer.  Rumley told his peers to “respect your mentors and build up a set of leaders.”  Danieley offered praise to Elon students.  “I tend to get discouraged by the media,” he said, but that is often alleviated by student’s “ability and commitment to do what is good and right.”

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Thomas Mac Mahon Speaks About Recessions, Bailouts, and the Economy at Elon University

February 12, 2009

by Kevin Clang

Thomas Mac Mahon, Chairman of the Board and former CEO of Laboratory America (LabCorp) came to Elon University’s Love School of Business on Thursday, February 12, to discuss how to manage a public company during the current economic downturn with Elon business students and faculty.

Mac Mahon

Thomas Mac Mahon

Recession-Proof

LabCorp is a medical testing facility with over 40 offices across the country, but mainly based in North Carolina.  They are the largest Cancer testing facility in the world and the largest employer in the Piedmont Region of North Carolina with over 4,000 workers.  This makes them one of the top five employers in the state.

The corporation runs thousands of tests every hour and about two million a day.  About 90 percent of these tests are returned to doctors offices within 24 hours of completion.  LabCorp posted $850 million in earnings in 2008.

“Recessions are very good for the health care industry,” said Mac Mahon, adding that increased stress during economically trying times often leads to more visits to the doctor.  Mac Mahon went as far to say that the health care industry is “recession-proof.”

Cash Is King

But not every industry is so lucky.  The best way to survive, according to Mac Mahon, is to “have a lot of cash on hand.”  Obsessively crunching numbers and using the standby ‘revenue minus expenses equals profit’ equation will never go away.  “Manage your company by the metrics,” Mac Mahon stated, “there is value in appreciating numbers.”

With cash, Mac Mahon stated a midsized company can then show strength in a down market by investing in growth by buying out smaller companies or repurchasing shares.   “By buying back your own shares, there are then less shares in the market, making their value rise.”  he explained.

Mac Mahon particularly stressed the need for the process of risk management, a technique used manage a company’s uncertainties and threats.  “Anticipate the negative, believe the worst will happen,”  he stressed.  “The concept of risk management is more important than ever.”  Mac Mahon believed that a greater attention to risk management may have saved the banking industry from their collapse in late 2008.

Plenty of Blame to Go Around

In the late 1990s, people were signing up for loans “equal to more than the value of their home,” said Mac Mahon, a drastic change from the past process.  Everything is fine until people can not afford to pay their bills, which Mac Mahon says “really hurts us.”

Mac Mahon stressed that we need to loosen up the markets in Washington, and that President Barack Obama’s plan to regulate CEO pay was a “serious mistake.”  If someone does a good job, he explained, they should be rewarded.  If they fail they should be fired.  Under his philosophy, there is no need to regulate pay: “Compensation should be linked to appreciation of stock, with no maximums.”

It is up to CEOs and Chairmen to make sure stock appreciation increases.  Mac Mahon encouraged Elon students to work hard and be ambitious, and in the end they would be rewarded for their efforts.  “People look for confidence in their leaders,” he said,  “communicate to the people who need to hear your story.”

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