CEOs Forecast Increased Sales, Capital Spending
CEOs in central Virginia have an optimistic view of business and the economy for the next six months, according to the 2010 CEO Economic Outlook Survey.
The area’s top executives anticipate an increase in sales and forecast an increase in capital spending, 3rd quarter survey results show.
The Virginia Council of CEOs and University of Richmond’s Robins School of Business jointly conduct the quarterly economic outlook survey, which helps central Virginia companies plan for growth. Additional findings reveal that only 8% of CEOs surveyed expect to reduce employment.
“These findings echo what I have been hearing from Richmond area CEOs. They are moving out of a period of risk-avoidance and into a time of opportunity,” said Scot McRoberts, executive director of the Virginia Council of CEOs. “Small and mid-sized businesses will bounce back faster because they are nimble. However, many are constrained by the difficulty of obtaining financing for growth.”
The results from last month’s 3rd quarter survey and the 2nd quarter survey show CEOs’ sales, spending and employment projections for the next six months.
| 2010 Q3 | 2010 Q2 | ||||||
| Increase | No
Change |
Decrease | Increase | No
Change |
Decrease | ||
| How do you expect your company’s sales to change in the next six months? | 72.0% | 18.7% | 9.3% | 54.4% | 38.9% | 6.7% | |
| How do you expect your company’s U.S. capital spending to change in the next six months? | 46.7% | 33.3% | 20.0% | 35.6% | 42.2% | 22.2% | |
| How do you expect your company’s U.S. employment to change in the next six months? | 52.0% | 40.0% | 8.0% | 41.1% | 52.2% | 6.7% | |
The council and Robins School surveyed 73 area business owners and CEOs of companies with more than $1 million revenue in central Virginia. Results were calculated by Jeff Pollack, assistant professor of management at the Robins School, who adapted the survey from the Business Roundtable. The economic index is based on businesses’ projected six-month sales, spending and employment figures.
Economic Outlook Index
| Survey Date | CEO Economic Outlook Index |
| 2010 Q3 | 94.47 |
| 2010 Q2 | 81.33 |
“We are excited about these data. If the trend upward in the CEO Economic Outlook Index continues, it could represent positive economic news for the Richmond area and surrounding region,” said Pollack.
Business owners and CEOs who would like to participate in the next survey should contact McRoberts at smcroberts@vaceos.org.
Ukrop brothers tip #8 — luck
I was fortunate to be included in a gathering of business leaders last week at Luck Stone’s beautiful headquarters in Goochland. We were there to listen to Jim and Bobby Ukrop share some of what they learned in their remarkable business careers with Ukrop’s Supermarkets (now Martin’s), First Market Bank (now Union First Market Bank), Ukrop’s Dress Express, Ukrop’s Homestyle Foods, and other ventures.
Jim and Bobby are both very humble, yet intensely competitive. They are also committed to the Richmond community. We are fortunate to have them.
This may not do their comments justice, but here is a summary of some of the points the Ukrop brothers made.
1. Curiosity fuels innovation: constantly learn from peers and outside advisors
2. Constantly reinvent the business
3. You have to have a passion to be the best
4. Brand is delivering promises through people
5. Clear Vision, Mission, and Values guide decisions
6. Everyone is in the customer service business
7. Differentiate: if everyone goes one way, consider the opposite direction
. . . and 8. Luck!
Inc. 500|5000 Winners Gather
The Inc. 500|5000 Conference is next week up in D.C., and we are proud to recognize the companies from the Richmond area who will be honored among the fastest growing privately held businesses in America!
It seems that CEOs of fast growing companies tend to be a part of the Virginia Council of CEOs! Ten of the sixteen companies are led by VACEOs member CEOs. The Council will honor all sixteen at a luncheon in Richmond this week. Bravo and congratulations to all!
Apex Systems
Astyra Corporation*
Capital TechSearch*
CapTech Ventures
Dominion Payroll Services*
Hunton & Williams
McGuire Woods
Meadows Urquhart*
Morton Consulting*
Rainbow Station*
Robinson Radio*
Taradel*
TECHEAD*
Wheat Systems Integration
Williams Mullen
Zooom Printing*
* indicates that company CEO is VACEOs member
An Economic Index for Richmond
Last month, the Robins School of Business and the VA Council of CEOs announced a partnership to produce a quarterly economic outlook index based on a survey of small and mid-sized business (SMB) CEOs. “We are filling a void”, said Scot McRoberts, executive director of the Council. “There is a lot of data that is either geographically too broad or focused on big business. We believe this survey will give SMB CEOs valuable insight for business planning.”
The survey asks CEOs just a few questions, seeking their outlook on employment, revenue and capital investment in the next two quarters. Those data are compelling and useful, giving business people a sense of what our SMB’s expect in the next six months. The index is a combination of those data that will give a general trend quarter to quarter.
VA Council of CEOs members form the original group of respondents, but any SMB CEO is invited to participate. Participants will receive the quarterly report and analysis. To be a part of the survey, and receive our Q2 Report, contact Scot McRoberts at info@vaceos.org.
New Brand Identity for VACEOs
Follow the leaders
It’s the new tag line that helps us explain the key benefits of membership in the Virginia Council of CEOs: helping small business leaders grow and profit through the shared wisdom of peers.
At today’s quarterly luncheon, Chairman Ray Lepper introduced a new brand identity for the Council, including a refreshed logo, tag line, colors and style.
The centerpiece of the presentation was the premiere of a 5 minute video that tells the story of the Council, using the words of our members. Thanks to the “fearless fifteen” for going in front of the camera for us! The video can be viewed at our web site. The web site is being built out over the next few weeks, so check back often!
Earlier this year, focus groups and informal conversations were conducted with our members and a common theme emerged — the person at the helm of a small firm frequently has no one to confide in and bounce ideas off of. The Council has filled that role by providing venues like the Roundtables, Quarterly Luncheons and an Annual Retreat where experiences and ideas are shared in a setting of confidentiality and respect. As we like to say, it doesn’t have to be lonely at the top.
Special thanks to:
Susan Hogg and the team at Circle S Studio for developing our new brand identity and leading the team.
Mike Meyer and the team at NetSearch Direct for their work on the website and SEO.
Fred Moore and the team at Big River Advertising for conducting focus groups.
Rob Collins Productions for shooting and editing our video.
Red Amp Studios for music in the video.
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