The Last Word- Good shouldn't mean "less bad"

It's easy to get depressed about the bad economic news in the media, but sometimes the news can be downright bizarre.

To wit: When did “good” start to mean “less bad”? I suppose we have been inching our way toward that for the past several months. But it hit especially hard recently, when I read that one company lost $1.4 billion in the first quarter–and that was considered OK.

No matter how often I hear about companies beating expectations with their losses, it still confounds me that losing “only” $1.4 billion in 3 months is good news.

The fact that we don't have to chase quarterly profit expectations is yet another reason why I'm grateful to be the CEO of a mid-sized independent business. If our firm wanted to go that route, we certainly could, and I have no doubt our people would achieve the goals laid out for them. But we don't chase quarterly profit expectations, because there's more to running our business than that.

I'm not alone in our distribution channel. Independent insurance agents and brokers of all sizes have a great deal to be thankful for. They are rewarded every day by their customers and stakeholders, and in return they give back to their communities and business partners. Never underestimate or take for granted your power as an independently owned business.

The agent/broker distribution channel is fiercely competitive. Small family-owned shops compete with multinational brand names. Mid-size players duke it out with public brokers. Many are contending with direct writers, and new specialty competitors and fresh capital seem to flow into our marketplace every year. Yet most great competitors I admire in this industry seem to know there's a bigger picture.

Sure, firms exist to make money. But there are many additional things that a business performs in the process:

o Provides jobs

o Creates opportunities for employees to grow professionally and personally

o Helps clients through difficult times

o Supports the communities where our families, friends and associates live

o Drives innovation through both products and services and people practices.

We can do these things because of our independence. Tremendous freedom comes from being a privately held company. We can pursue what's important to us as people, not just as business people. I believe–as do the rest of our shareholders–that as long as our company of fellow employees does the right thing by our clients, each other and the community, the business results will follow.

We want to build a great company that provides exceptional value for our clients and growth opportunities for our employees, instead of becoming just another large company required to achieve quarterly profit goals.

I have tremendous respect for public company executives who must balance and manage the conflicting demands of the internal company culture and the external shareholders. Satisfying both is a challenge that is often unrealistic and difficult to do well. This makes me even more appreciative that as a private company, our shareholders and employees share our vision. We do not measure ourselves on quarterly or annual profits alone–nor will one quarter or one year dictate our future. We are fortunate to have the freedom to focus on making the right decisions and investments for the long term, and in the best interest of our employees, clients and communities.

And you know what? We're doing good. And I don't mean less bad.