50 new companies join the ranks of powerhouse privately-owned Canadian companies
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 management.
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 business excellence.
"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 investors.
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 cost reduction.
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 differentiated products.
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
|Algoma Central Corporation||St. Catharines||ON||http://algonet.com|
|Arpi's Industries Ltd.||Calgary||AB||http://www.arpis.com|
|Boulangerie St-Méthode inc.||Adstock||QC||http://www.boulangeriestmethode.com|
|Burnco Manufacturing Inc||Concord||ON||http://www.burncomfg.com|
|Construction Control Inc.||Woodbridge||ON||http://www.constructioncontrol.com|
|Cougar Drilling Solutions||Edmonton||AB||http://www.CougarDS.com|
|Cowan Insurance Group||Cambridge||ON||http://www.cowangroup.ca|
|Durabuilt Windows and Doors||Edmonton||AB||http://www.durabuiltwindows.com|
|Les Emballages Carrousel Inc.||Boucherville||QC||http://www.carrousel.ca|
|Home Hardware Stores Limited||St. Jacobs||ON||http://www.homehardware.ca|
|Houle Electric Limited||Burnaby||BC||http://www.houle.ca|
|Industrial Thermo Polymers Ltd||Brampton||ON||http://www.tundrafoam.com|
|MDS Aero Support Corporation||Ottawa||ON||http://www.mdsaero.com|
|Mircom Group of Companies||Vaughan||ON||http://www.mircom.com|
|Mr. Lube Canada||Delta||BC||http://www.mrlube.com|
|OpenRoad Auto Group Limited||Richmond||BC||http://www.openroadautogroup.com|
|Oxford Frozen Foods Limited||Oxford||NS||http://www.oxfordfrozenfoods.com|
|Paladin Security Group Ltd||Burnaby||BC||http://www.paladinsecurity.com|
|PH Vitres d'Autos||Sainte-Perpétue||QC||http://www.ph.ca|
|Projex Technologies Ltd.||Calgary||AB||http://www.projex.ca/|
|RLG International Inc.||Burnaby||BC||http://www.rlginternational.com|
|Simpson Seeds Inc.||Moose Jaw||SK||http://www.simpsonseeds.com|
|Soucy Techno inc||Sherbrooke||QC||http://www.soucytechno.com/|
|South Country Equipment Ltd.||Moose Jaw||SK||http://www.southcountry.ca|
|Steele Auto Group||Dartmouth||NS||http://www.steeleauto.com|
|Techmation Electric & Controls Ltd.||Airdrie||AB||http://www.techmationelectric.com|
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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