The worst problem used to be dealing with the bureacracy common to larger corporations but when the economic hit of 2008 after a leveraged buyout at a premium price put them in chapter 11 the management hired to bring them out has become the greatest threat to the long-term viability of the company (and certainly a short-term bane to anyone still employed there). There is little ability for or focus on building or innovation, but instead increasing profits by operational discipline as close to the point of starvation as possible. Margins increase. Special dividends are paid out. Share prices go up. Large share holders of the short term investor/stock option insider variety are thrilled but the company is being sucked dry of talent, energy and drive to succeed. Unfortunately the company is less and less staffed by people who love what they do and problems such as safety issues, poor stability of processes, flagging customer focus, loss of flexibility and creativity are an ever increasing threat. This takes time to work start showing up in lost contracts and flagging revenue, however. If this direction is not changed before too much downward momentum develops, eventually this will leave a dry husk of a company and a poorly served market as the legacy of current management (though the blame could be laid at the feet of their successors if the helm is changed too late but before bottom is hit). There is much talk about rewarding performance but staff is continually cut, R&D spending slashed, benefits culled, and morale plummets internally while the company is currently more profitable than ever. To management "performance" means buying stock and getting your reward as a dividend not working towards ensuring the company maintains leadership in the industry.
