Leadership Lessons From a Recreation Business Larry Waddell

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Larry Waddell was a relief pitcher in Little League. He still remembers when his coach, also his father, sent him into a game with bases loaded and a razor thin lead at the bottom of the last inning. Already prone to thorough analysis of a situation, Larry was keenly aware of the exceptional stakes. He over thought his strategy, got nervous, and called a time out to talk to his coach. His father, who employed a more black-and-white approach, swiftly instructed,
“Get your butt back in the game!”

Larry won that game. And learned to work through intense pressure.

Today, as CEO of Hitcharama RV in Turnersville, New Jersey, Larry relies on that ability. He accepts that every day brings a crisis of some kind and his job requires “rolling from one mitigated or unmitigated disaster to the next.” The trick, he says, is keeping a positive perspective.

Larry and his business partner, Ted Le Bow, bought Hitcharama RV in November, 2005. Established in 1970, Hitcharama RV is New Jersey’s largest RV center and offers comprehensive sales, rentals, and service of recreational vehicles.

Having searched for the right business opportunity together, Larry and Ted were attracted by the company’s track record, business model and potential for growth, not necessarily its products. Now, however, Larry loves the RV industry. “It’s about fun, rest and relaxation. I see families and (know) we’re helping people.”

Eye to the Horizon
That’s the marketer in Larry. As CEO, he concentrates on marketing/branding, finance, and strategy (or, as Larry describes it, “over the horizon stuff”), whereas Ted, as President and General Manager, handles operations and people. Larry believes the CEO must function as chief finance and/or marketing officer, rather than delegate the high-level functions, since finance, marketing and strategy are three parts of the same puzzle -- any decision about one affects them all. His role is to create – or at least meaningfully shape -- how the three fit together, which sets the company’s direction.

Transparent Approach to Business Larry and Ted, a seemingly unlikely pair, function as a tag team in jointly showing their employees what’s possible. Larry, a 35-year-old African-American from South Brunswick, NJ, points to what folks can achieve, while Ted, a 39-year old Jew who grew up near Boise, Idaho, helps them discover how to execute. Larry acknowledges that many employees still don’t know what to make of them or their management style, which pushes some beyond their comfort zones. Nonetheless, he adds, “In only nine months we’ve basically created a new company.”

For starters, he and Ted initiated an all-hands meeting early on the first Monday of each month. At one such session recently, he publicly addressed the issue of rumors. The company’s former owners held information close to the vest, so rumors were ingrained in the corporate culture. In contrast, Larry employs a more transparent approach to business, intended to empower managers to “own” the day-to- day – and employees throughout the company to own their responsibilities – so that Larry and Ted can focus on what’s next.

“It’s important to tell people what you’re doing,” explains Larry, “so we asked managers to be prepared to address seven or eight key topics.” For instance, based on a strategic decision to combine the service and parts departments, the rumor mill announced that Hitcharama RV was getting out of the parts business. To diffuse the tale, Larry and Ted asked the service manager to introduce the new structure of his combined department. Based on results, observations, and feedback, his strategy seems to be working.

Don’t take things personally Nine months into his new venture, Larry recognizes the irony of his decision to assume his first CEO position. “I got into this because I wanted control and the (fact) is that I have none.” He explains there are countless variables in running a company, yet the board – and, by proxy, all investors – want to know the CEO has control. Like most CEO’s, Larry accepts, “I have it, but not directly.”

A former Accenture consultant and venture capitalist with an MBA from Wharton, Larry had always worked independently. His role as entrepreneur has heightened his already well-developed self- awareness. “Apparently, I had a tendency to take things personally... I thought I would be able to give instruction to folks to do something and have it be done. Instead, it’s more like spinning a plate – when you look away, it wobbles.” As Larry has learned, it’s not personal, which is an important lesson for any business person – and one of which it’s always good to be reminded.

Reporting to a board of directors has also helped Larry concentrate on leaving less to chance. Though subordinates sometimes resist the obligation to check and double-check finances, for instance, Larry knows that the increased accountability can help his managers grow. Furthermore, if something goes wrong, he’ll know why.

Focus on the Big Picture When a colleague in Larry’s CEO Think Tank® group voiced a realization that he wished he’d learned twenty years ago, Larry stopped to ponder what he wants to integrate now for himself. Upon buying an RV business, Larry knew that RV sales would not drive the bottom line as much as parts, services, insurance and other amenities. At the same time, he couldn’t have known the intricacies of their interplay until he stepped into the leadership role. He initially thought he had to manage every cog in the wheel to be effective, but soon knew that would be unnecessary – and impossible.

“I had to admit that being able to perform multiple functions was different from needing, or even wanting, to do so,” acknowledges Larry. Besides, he adds, “Sinking into the details prevents you from focusing on the big picture and what to do next.” And the big picture is, after all is said and done, Larry’s job.

Seek Outside Perspective Throughout his life, Larry has made it a practice to observe and seek advice from others. Cheryl Beth Kuchler, Founder and Managing Principal of CEO Think Tank®, was the first in whom he confided that he wanted to buy a business. Later, after he had bought his business, he remembered Cheryl’s unique business model of bringing together CEO’s for confidential peer support. At her suggestion, Larry spoke with Chris Burkhard, a member of Cheryl’s CEO Think Tank®, who touted one of the group’s most valuable assets -- access to creative problem solvers who understand, first-hand, what it means to be CEO. Determined to benefit from the experiences and concerns of others in his position, Larry joined.

After only a few months in a CEO Think Tank®, he feels an increased sense of empowerment as a leader. “We represent different industries and describe different situations, but we share similar stresses. I see my colleagues’ reactions and can better gage my own. I’m learning tremendously by listening to them discuss their challenges and opportunities and by participating in helping them to develop solutions and actions.”

Larry consistently demonstrates a lifelong desire to tackle difficult things. In fact, he made numerous career moves because someone thought he couldn’t. The materials engineer with a Master’s degree in Economics who found his way through consulting and venture funding to run his own company knows he can withstand intense stress. “It’ll always be this way; maybe with more complexity or zeros in the numbers, but at any instant, it can fly in a billion different directions.” The trick is maintaining a positive outlook. And keeping your butt in the game.

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