“Consider the good times of your business as a bonus!”
I was genuinely surprised when Mr. Richard Forson, CEO of Cargolux Airlines, shared this thought.
Since arriving in Luxembourg, this has been the single most intriguing concept that I’ve encountered. Although I attended this CEO Talk at Luxembourg School of Business 5 to 6 weeks ago, this idea kept resonating with me. 💭
It has been well-documented that when Richard Forson took the helm in 2012, Cargolux was facing financial challenges. Since then, he has effectively led Cargolux to prosper in a fiercely competitive market; thanks to his pragmatic yet forward-thinking approach. Cargolux is now one of the top players in the global air freight industry. ✈️ 📈
Forson’s comment underscores his pragmatic nature. He emphasized how financial resilience and caution against overextending during prosperous times were central to his strategic vision.
Whilst doing some personal research I came across an insightful journal by Soufi et al. (2021). It puts forward how financial resilience cannot be understated as this enables companies to absorb short-term financial shocks and maintain performance through long-term economic changes; highlighting the importance of consistency, redundancy, rapid recovery, and resource adequacy.
This was again a concept that came up in our corporate valuation class, led by Prof. Zoltan Horvath, where we explored the art or failure of decision-making through various case studies. It has been fascinating as a Master’s student to explore how various pathways to success can be reached through vastly different strategic choices; truly highlighting the subtle complexity of the business world.
#BusinessLeadership #MasterStudent #LuxembourgSchoolOfBusiness
Reference: Soufi, H. R., Esfahanipour, A., & Shirazi, M. A. (2021). A quantitative measure for financial resilience of firms: evidence from tehran stock exchange. Scientia Iranica, 0(0), 0-0. https://lnkd.in/dMi2emkP
Chief Executive Officer at Skytrans Airlines
2moGreat story mate!!