50 new companies join the ranks of powerhouse privately-owned Canadian
TORONTO, Feb. 26, 2013 /CNW/ - Today, 50 Canadian companies are being
recognized as the 2012 winners of Canada's Best Managed Companies program for having demonstrated outstanding business performance and innovative
Growth was at the top of the agenda for Canada's Best Managed Companies
in 2012. Best Managed winners made strategic investments in their
companies, platforms, their systems and in their people and in turn,
revenue and income grew substantially. Best Managed winners' revenue
grew by 14% to approximately $5.4 billion and more impressively, income
grew by approximately 24%.
"During the program's 20-year history, thousands of private companies
have competed for this designation," says John Hughes, Deloitte
partner, national leader for Canada's Best Managed Companies program
and leader of the Toronto Growth Enterprises practice. "This year's
winners have proven that even during a global financial crisis, they
are still optimistic about the future, focusing on key operating
metrics and accountability."
Now in its 20th year, the Canada's Best Managed Companies designation
remains an emblem of pride for private Canadian organizations with
revenues over $10 million. Fifty new companies have now joined the
ranks of other powerhouse Canadian companies that have achieved
"Not only are these businesses demonstrating excellence in Canada, but
from coast-to-coast we are seeing more private companies expand beyond
our borders," says Dino Medves, senior vice-president, CIBC Commercial
Banking. "By harnessing their strong management team, a robust business
plan and a solid balance sheet, these companies have created the
support necessary for strategic international investment."
In the current soft economy, Best Managed Companies are focused on a few
vital priorities to ensure their business thrives:
Mergers and acquisitions drive growth.
Best Managed Companies see the current economy as a buying opportunity.
They expect mergers and acquisitions (M&A) activity to increase
cautiously over the next two to five years. Best Managed Companies
continue to look to strategic-alliance and joint venture activities as
the initial steps to a transaction commitment and "tuck-in"
acquisitions as a means to build a platform company.
Best Managed Companies are also looking to build acquisition pipelines.
Since these companies have limited resources they need to be very
strategic and selective about acquisitions and look for opportunities
that are accretive to their businesses. In addition, there has been
significant increased interest in M&As from private equity firms, not
just in Canada but also in the US and UK as Best managed Companies
represent significant growth opportunities for Canada's largest
The attraction of key talent is at the top of CEOs agendas
As Best Managed Companies mature, they offer more sophisticated
"onboarding programs" for key leadership positions. A few years ago,
onboarding of key executives usually consisted of a tour of the
company's operating facilities and meetings with certain customers.
Best Managed companies have been much more sophisticated in ensuring
new executives and employees understand their company's vision, its
operations and key strategic plans. They also engage new folks in peer
learning that builds them up for success in their new roles.
This year, Best Managed companies are reporting more women in the
executive ranks and an increase in the number of newcomers to Canada.
Product Service Innovation continues to drive revenue through growth and
Many of Canada's Best Managed Companies are looking to new products and
services as a means to increase revenue and income. Innovation has been
taken to new levels to create disruptive technologies and clearly
Succession planning starts to move to the front burner.
Succession planning has now become a more all-encompassing exercise that
moves from family discussions around the next generation of management
to a broader discussion including family transition, private equity
investment, sales to strategic buyers and IPOs.
A significant number of owners plan to exit their businesses within the
next five years and are starting to take a more holistic view of
business succession and transition. Owners will engage in conversations
to build sustainable businesses and continue to focus on creating value
and protecting that value.
2012 Best Managed Companies program winners
About Canada's Best Managed Companies
The Canada's Best Managed Companies designation continues to be the mark
of excellence for those Canadian-owned and managed private companies
with revenues over $10 million. Every year since the launch of the
program in 1993, hundreds of entrepreneurial companies have competed
for this designation in a rigorous and independent process that
evaluates their management skills and practices. The awards are granted
on four levels:
1.Best Managed winner (one of the 50 new winners selected each year).
2.Requalified member (repeat winners that have retained the Best Managed
Companies designation for two additional years, subject to annual
operational and financial review).
3.Gold Standard member (winners that have maintained the Best Managed
Companies designation for 4-6 consecutive years).
4.Platinum Club member (winners that have maintained Best Managed
Companies status for a minimum of six consecutive years).
Program sponsors are Deloitte, CIBC, National Post, Queen's School of
Business and MacKay CEO Forums. Learn more.
Deloitte, one of Canada's leading professional services firms, provides
audit, tax, consulting, and financial advisory services. Deloitte LLP,
an Ontario limited liability partnership, is the Canadian member firm
of Deloitte Touche Tohmatsu Limited. Deloitte operates in Quebec as
Deloitte s.e.n.c.r.l., a Quebec limited liability partnership.
Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK
private company limited by guarantee, and its network of member firms,
each of which is a legally separate and independent entity. Please see www.deloitte.com/about for a detailed description of the legal structure of Deloitte Touche
Tohmatsu Limited and its member firms.
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