Tracking turnover in the executive ranks is important because most investors say that the quality of a management team is crucial to the success or failure of a business.
Naturally, the CEO hogs the spotlight. But I like to keep an eye on the office just down the hall from the Big Boss. That's the one for the chief financial officer.
If the CEO is the brain, consider the CFO the heart responsible for keeping the money pumping through an organization's arteries.
Yesterday, three companies named new CFOs, and each person faces a different financial challenge. One is joining a fast-growing medical device maker. Another is jumping into an ongoing turnaround, while the last is latching on to a company being built deal by deal.
Globus Medical Inc. appointed Wendy DiCicco as its top financial executive, succeeding Dave Demski, who'd been promoted to president and chief operating officer in August.
DiCicco had been CFO of Kensey Nash Corp., an Exton medical device maker, for the last 10 years. She left the publicly held company as of Nov. 15.
Globus Medical is a privately held maker of spinal implants in Audubon, Pa. Founded in 2003, it has gone from zero to $123 million in revenues for 2007.
Harold J. Earley moved from a privately held company to a public one. He was named executive vice president and CFO of Foamex International Inc., a publicly held maker of foam cushions and other products.
Earley had been CFO of Sonitrol Corp., a Berwyn-based provider of commercial security services, for the last two years. Sonitrol was acquired by Stanley Works Corp. in July for $275 million.
Media-based Foamex has struggled with heavy debt for much of this decade. It filed for bankruptcy protection in 2005 and emerged from Chapter 11 in 2007.
Lastly, an aerospace company that's new to the region hired Terence R. Montgomery as its CFO. Taurus Aerospace Group has been growing by acquisition, most recently buying Tank Devils, a provider of aircraft fuel tank maintenance and repair services in the United Kingdom.
Montgomery is the former CFO of InfraSource Services Inc., an engineering and construction firm that was based in Media before its 2007 acquisition by Quanta Services Inc., of Houston, in a transaction valued at $1.26 billion. Most recently, Montgomery worked for Smart Business Advisory & Consulting, of Devon.
Taurus, which says it's "sponsored" by the Australian conglomerate Macquarie Group, appears to be a company to watch. In a news release, Montgomery said one of his goals is make sure Taurus develops "into a respected public company."
Montgomery joins a team being built by Larry Resnick, who was hired as CEO last July after a decade at another local aerospace company, Triumph Group Inc.