In this video, Motley Fool analysts Blake Bos and Austin Smith are talking about Waste Management, (WM 0.76%), and analyzing its top management. In every investment, it's important to focus on the company's management team because, ultimately, they are the ones who drive the company.
Waste Management's new CEO, David P. Steiner, and his new team seem to be promising, as their restructuring plan is designed to bring down the selling, general and administrative expenses (SG&A) over time. This strategy, which has been deployed by other companies like Procter and Gamble (PG 0.56%) is suitable for cash rich and domestically focused companies with limited growth opportunities, and has the potential to improve earnings by reducing costs.
Three important management performance measures that the company uses are responsible capital expenditures, SG&A reduction, and three year's share price performance metrics. These seem reasonable.
