“What’s the worst conceivable thing that could happen to this company externally?” This is one of the “magic questions” that Warren Miller (Beckmill Research) believes is “vital” to ask during management interviews. And of course, there’s the immediate follow-up: What’s the worst thing that could happen to the company internally.

Miller’s comments were part of his most recent BVR telephone conference on “Joined at the Hip: Combining Valuation and Strategy to Enhance Value for Clients.” To purchase a transcript and/or CD, click here. And to download a free copy of Beckmill’s tri-level framework for assessing unsystematic risk—or “SPARC” (Strategy, People, Architecture, Routines, Culture), go to www.beckmill.com, and click on the “Resources” and “Public Library” links.