Problems as Value Creation Assets

"Problems are an asset—not something to avoid but something to run toward. Big ambitions often beget even bigger problems. If your initial reaction to a major setback is overwhelming frustration, that’s understandable, but it’s also counterproductive. Once you’re over that moment, pivot toward success: “Great! This is an opportunity for me to create a lot of value. If I can just figure out how to solve this problem, I’ll be much closer to my goal.”"

"The fact is, you’re not going to create a huge amount of value unless you’re courageous, and problems are the by-product of risk. As long as you’re honest with yourself, recognize mistakes as soon as they surface, and course-correct with no ego, the things about your business that aren’t good can become great. Tackle it head-on: Where are the inefficiencies in the process that created this problem? Where can my team reduce operational defects with Lean Six Sigma? Do I have the right people in place in key positions?"

"“Think of M&A as having four quadrants defined by size and risk,” he said. “Big, low-risk deals are the ones everyone wants, but they don’t exist. Small, low-risk deals do exist, but you can’t make much money from them because of their size. Small, hairy deals are the worst quadrant, because the reward is limited and the odds are stacked against you, so why bother? The bingo quadrant is the big, hairy deals. If you can find a big, hairy deal with solvable problems, that’s where the real money is.”"