CFO Awards: Omar Percich, Foley Family Wines
Chief financial officer, Foley Family Wines Inc.
10300 Chalk Hill Rd., Healdsburg 95448; 707-657-4876; foleyfoodandwinesociety.com
Employees: Around 350
Professional background: controller, Six Flags Discovery Kingdom; CFO, Foley Family Wines, Inc.
Education: B.S., finance, San Francisco State University
Age: 39
Role of a financial leader: As a fairly new CFO, it has been a learning process to be depended on as an authority on so many aspects of the organization. Networking is sometimes a less natural part of the job for individuals that have had such technical and analytical training, but it’s key in gaining a better understanding on subjects that fall outside one’s comfort zone and formal background. Managing relationships with our most important partners to make sure the organization is receiving the best products and services is also critical. Being able to balance short-term pressures while considering long term goals is something that must always be considered.
Biggest changes in your industry: Understanding how to market to a variety of demographics and connecting with consumers is changing at a rapid pace. Millennials are one of the fastest growing segments in the wine industry and their purchasing strategy has been shaped by instant feedback. Social media is a shift from push to pull marketing. It’s a long term investment to build relationships with real people through conversations rather than conversion.
Recent challenges and opportunities: It’s no secret that we have grown tremendously through a number of acquisitions over the past several years. All of that inorganic growth puts a serious strain on resources across the board and impacts personnel and system requirements to the max. Being able to manage your day to day responsibilities while building a foundation for the future of the organization has given me experience you can’t buy and I wouldn’t trade it for anything.
Advice for young emerging financial leaders: Be patient but don’t wait around. It’s easy to get in a routine since a lot of our work is cyclical so embrace new assignments. It’s your time to shine! Make sure to engage with other departments in the company to get a better understanding of anything and everything. Gain a deep understanding of the systems you are working with. Every craftsman needs to know their tools intimately in order to create something special. Leaders and managers want to surround themselves with problem solvers because those are the people that are adding value.
Weathering today’s economy: The environment is as good as I have seen it since the downturn of 2008. People are spending more - likely a result of better employment opportunities and equity gains via stocks and real estate. It will be interesting to see what happens if interest rates go up significantly in the next 24 months. That could be a game changer for both consumers and businesses that have been able to borrow money for next to nothing. It’s important to address and find the right mix of fixed and variable exposure you have.
Business change in five years: We have already had a tremendous amount of change in the past five years so it’s difficult to say. Acquisitions have been a big part of our growth but the area has become much more competitive and expensive in the past couple of years. I believe most of the growth will be from our existing portfolio of great wines as we constantly work to match supply with increasing demand. From an environmental perspective, we have become self-sustaining at some of our properties through solar energy in an effort to fix energy costs, and lessen fossil fuel usage.
Regretted decision: I think most people end up regretting the decisions they don’t make. If you sit still, and don’t explore new ideas in all areas of your business, you run the risk of being left behind by the competition. For the most part, I can live with the mistakes I have made because most of them can be reversed and they have also shaped some of my other, better decisions.
Memorable business experience: I would say the first year at Foley Family Wines would be hard to top. Bill Foley was building the portfolio faster than most could keep up with. We lost a lot of people at that time, with many not being able to accept the new landscape and larger scope of responsibility. I looked at it as an opportunity to get involved in processes and scenarios that might not be available in a more developed company and just rolled up my sleeves and did a lot of research if I didn’t have the answer. It was a long year but very rewarding.
Greatest business success: In 2012, we acquired three wineries in a six-month period. Each one is so different and as much as one would like to depend on other acquisition experience, you have to go in with an open mind since it’s a very delicate situation. It’s important to keep the uniqueness of the brand from winemaking to customer satisfaction. In acquisitions, the most time and energy is always spent communicating with the existing staff. It’s important to realize that they are the ones that have shaped the organization and an ownership change might only mean improving on the good work that has already taken place.
Toughest business decision: I’m very proud of the overall continuity we have had in our finance department. I have been blessed to be surrounded by great employees that have worked tirelessly to do their job well. It’s always tough when you have to let go of an employee. We have gone to great lengths to help employees that are in need of help but sometimes a fresh start is inevitable and always difficult.
Surprise about you: I have a small circle of very good friends and they probably know me better than I do.
Most admired businessperson: Joe Lacob and Peter Guber, because I am huge Warriors fan. What they did in 5 years was incredible from a business perspective. They took a subpar product and made it elite.
Current reading: Steve Jobs
Most want to meet: Jack Nicholson
Stress-relievers: Hiking, swimming and home improvement. My 3 dogs are always waiting to distract me.
Favorite activities outside work: Exploring the many activities available in Sonoma County with my family. It’s a great place to call home.
