Warren Buffett and Secrets of Management - 55
One thing that Buffett will never do when buying a company through Berkshire Hathaway (BRK-A) is to acquire a company in need a a major overhaul. It's not worth it to him and isn't within his parameters.
Now if he won't buy a company that way, he's basically saying that he won't buy the management. If a company is in the position of needing a major overhaul, the management obviously hasn't been doing their job.
This goes against his purpose of buying companies with only great management in 
place.
Consider this when looking at promoting or hiring managers for your company or division. You don't want a 'project' when looking for someone to step in or step up and do the job. They need to have their act together.
Some people may thing this is harsh, but I've seen the devastating results of someone in leadership that is an individual wreck, that have been promoted out of what was considered compassion for them. This is a huge mistake. A business isn't a charity. Decisions that are made have a profound effect on everyone involved.
Now when saying this, I'm not saying that someone in difficult circumstances couldn't be great candidates, what I'm saying is that they're managing themselves while in the difficult circumstance.
Those who are disasters are those that can't manage themselves. If a person can't manage themselves, they certainly can't manage others.
Other Buffett Resources:
Investment Whiz Kid: Buffett Amasses a Fortune
Management Styles - The Buffett Way: Learn from the maestro himself
Brand names Commodity companies
THE REAL GENIUS OF WARREN BUFFETT
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