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Egret Consulting eNewsletter
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April 2009

Vol. 10  Issue 4

Show me the Money
By Ted Konnerth

We all have our political beliefs. I know with certainty that mine are 100% correct and that everyone else's are somewhere on a continuum of slightly off to 'what is she thinking?' The current political debates about our government's ability to print somewhere over $1 TRILLION (and that may be closer to $2 T) is mind-numbing. As we all wax political about the absurdity of spending that much money 'we' don't have, at the end of the day, 'we' have little immediate control over that spending. 'We' do have the ability though to face facts; the money is going to be spent. It won't be spent where any one individual thinks it should be, but spending will happen. The last time I checked, there were rumors of a recession happening and allegations of companies downsizing their staffs, pulling out of markets and reducing expenses. Maybe it's time to stop talking about all of that wasted spending and go grab some of it for yourself. (and then pay taxes on it in a reverse Ponzi scheme of reducing the deficit?)

It's pretty clear to me that there will be a lot of money spent on 'infrastructure'. Our industry is directly tied to infrastructure, from major civil works of roads, bridges and utility infrastructure to money spent for municipalities; which includes new capital projects of municipal buildings, airports, hospitals, etc.  And of course, your local Senator's pet projects.

The other area is 'green'. Green is loosely defined as energy conservation or new technologies to develop alternative energy solutions (wind, solar, biofuels, etc) or energy conservation products such as LED lighting, smart building controls, factory automation products such as variable speed drives and a host of wireless solutions to the controls industry.

At the last NAED conference in Orlando, NAED sponsored a Green technologies forum and presented a white
paper (which was actually green) to the attendees. The white paper is excellent. It's 60 pages of definitions, markets served, market size and potential, end-user market definitions and the terms and lingo to actually develop your own cogent business plan to enter or grow your business in the Green market. The attendance at the forum was 12 people, at least one of whom was a co-author to the white paper. While the other 200+ attendees were outside grumbling about cutting expenses, laying off people, demanding price concessions and playing golf; 12 people actually attended a professional, succinct presentation on how to diversify their business into new markets where our government has decided to invest some part of $1 TRILLION.

In the week preceding the NAED conference, I also attended Strategies in Light.  Strategies in Light is a conference of LED lighting people; manufacturers, distributors, exhibitors, etc. That conference was similarly attended by 200+ people and the big difference was that these people were talking about... growth. How fast they're growing, the markets they're serving, the tools and resources they require. No one was golfing and no one was talking about expense control and staff reductions. LED technology is one of the most disruptive new technologies that I've seen in my 25 years of lighting. Which makes it exciting. And profitable to those who invest the time to learn.

In short, the money is there to grow your business if you just choose to do what Willie Sutton did when asked why he robbed banks...'because that's where the money is'. We've had a handful of clients ask us to help them attract talent specific to Green markets; technical salespeople who know solar, engineers who know LED technology, and people who understand the complexity of wire/cabling for solar and wind. Can't figure out how to enter this new market? Ask someone who can help you.

The money is there... follow the money, you'll sail through 2009 and find yourself on the forefront of a market trend that will propel you into the future.

 


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 Read the answer to this month's question about:

Salary Negotiations

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Egret Survey of the Month:
 
This month's question:
Please take 8 seconds to tell us which emerging markets your company will be participating in for 2009. 
 
Click Here to take survey

Last month's survey results:
Question
How many people in your company have been downsized in the past 3-4 months?
 
RESPONSES:

36.4%   0-5%
30.3%   6-10%
15.2 %  11-15%
18.2%   more than 15%
  0.0%   We've added people
 
Population:
 
39.4%  Manufacturers
48.5%  Distributors
 12.1% Others

Industry Events

The Egret team welcomes an opportunity to meet!

Windpower 2009
May 4-7  Chicago

LightFair International
May 5-7  NYC

Electric Power Conference
May 12 - 14  Chicago

NAED National Summit
May 16 -20  Ft. Lauderdale

Let's set up a day and time to meet.

Email to schedule a meeting with Ted Konnerth

Email to schedule a meeting with Brooke Ziolo

Email to schedule a meeting with Prudence Thompson

 Industry Specialties:

· Electrical Manufacturing
· Electrical Distribution
· Industrial Distribution 
· Life Safety & Security
· Design & MEP Firms

Mergers & Acquisitions

We offer confidential consulting services to help you sell, or recapitalize your company.  Our 25 years of industry relationships offer a unique process of confidentially identifying the 'right fit' buyers.

Contact Ted Konnerth, tk@egretconsulting.com, for a consultation on marketing or recapitalizing your company.