This series on business euthanization was originally inspired by two colleagues who as CEOs of two separate non-profits, had the courage to close them down. Both happened independently of each other, one in Melbourne and one in Sydney, and for different reasons.
The first case came about through a realisation that the purpose of the organisation, while noble, was not making the impact it set out to achieve. It had been working project to project and producing fine work. There were by all reports wonderful achievements, and a lot of goodwill surrounding this organisation. Despite that, when impact is the main game and resourcing that is essential, there comes a time when one wonders whether something else could be done with those same resources to achieve impact (and resources mean more than money here).
The decision was perhaps a surprise to some stakeholders. Why close a business that essentially is doing some good? If it was a commercial business, there would have been little evidence to close it. In fact if profit was the main game, this business could potentially have moved into markets that exploited staff capabilities and maximized return. But this was not a commercial organisation, and the drivers were elsewhere. The people wanted to make an impact.
The second case was in many ways more surprising. It was a market leader in its industry or target group. They had been around for a long time, Read more
