Martha Stewart's Susan Lyne Could Help Time Inc.

NEW YORK (MarketWatch) -- When Martha Stewart was convicted in March 2004 on charges relating to a stock sale, the business bearing her name experienced a huge challenge.

Susan Lyne became the leader who could tie the sprawling media and merchandising company together. She joined the board of Martha Stewart Living Omnimedia Inc. in June 2004 and became its president and chief executive five months later.

Naturally, employees, advertisers, shareholders and customers were uneasy. But while Stewart was in prison in West Virginia, Lyne remained composed in public. She confidently repeated the mantra: "We are an entrepreneurial company." Martha Stewart Living survived the crisis.

Since Lyne already has exhibited a flair for reviving one beleaguered operation, I can think of another proud franchise that sorely needs a boost: Time Warner Inc.'s hard-hit Time Inc. division.

When Time Warner, long billed as the world's largest media company, is ready to find a successor for Time Inc. Chairman Ann Moore, I'd nominate Lyne for the job.

Lyne could make a difference at Time Inc., which publishes titles such as Time, People and Sports Illustrated. Last January, Time Inc. announced plans to cut nearly 300 jobs and to focus on the media industry's digital explosion.

At Time Inc., the engine for growth has been its women-oriented titles, such as Real Simple and In Style. Lyne clearly understands the crucial female demographic.

Message

Lyne has emphasized that "the customer is king." Time Inc. could think of this from time to time, too. The message sounds simple enough, but many media companies forget it.

What separates Lyne from other executives, above all, is her can-do spirit. I've interviewed many media-industry figures who pay lip service to inspiring their colleagues. Plus, most of them don't have a clear or concise vision for growth.

"You need to be able to define your strategy and goals, and tell a story again and again," Lyne said.

Lyne loves the challenge of her current job. I interviewed her for an hour in her office a few weeks ago, and she never seemed restless or talked of pursuing any other jobs.

Take her objective for Martha Stewart Living's Internet businesses: "We want to be lifestyle site -- your first stop."

I wouldn't bet against her.

Lost

Lyne has the kind of multiplatform experience media companies crave these days.

In her previous incarnations, she was the president of ABC Entertainment as well as the editor of the Village Voice and Premiere. Lyne has received honors such as Advertising Age's Publishing Executive of the Year. This week, New York Women in Communications presented Lyne with a Matrix Award.

When she was a senior executive at the ABC television network, a unit of Walt Disney Co. , Lyne received credit for bringing to life successful shows like "Desperate Housewives," "Lost" and "Extreme Makeover, Home Edition."

Talk about the stars aligning. If there was ever a media entity that needed an extreme makeover, it would be Time Inc.

Looking ahead

Today, with its namesake back as a creative force, Martha Stewart Living remains as ambitious as ever.

On Wednesday, the Wall Street Journal said that on May 1 the company will introduce a line of more than 650 products for hobbyists who make elaborate scrapbooks. Then there is the plan for the "Martha Stewart Collection" of 1,500 bed and bath, tabletop and kitchen items to be sold beginning in late summer at Macy's 800 U.S. stores.

People note that Lyne bears a resemblance to Stewart. When I brought it up, Lyne nodded.

"I used to get that, oddly, in airports and stores," Lyne said. She added that she smiles patiently when strangers do a double take and ask, "Has anyone ever told you that you look like just like Martha Stewart?"

"I tell them, 'It's a great compliment. Thank you,'" Lyne reconted.

If Susan Lyne ran Time Inc., nobody would have any problem recognizing her.

MEDIA WEB QUESTION OF THE DAY: What would it take to turn around Time Inc.?

FRIDAY STORY OF THE WEEK: "Saying goodbye to a mentor and friend," by Steve Kelley (Seattle Times, April 24). Plenty of terrific journalists weighed in on the life and work of David Halberstam, the Pulitzer Prize-winning journalist who died on April 23 in a car crash in California. Kelley, who wrote the best piece of all, had a valuable perspective. During the 1979-80 pro basketball season, Kelley covered the Portland Trailblazers, the centerpiece for Halberstam's first sports book, "The Breaks of the Game." (For the record, it is also my favorite Halberstam book.)

THE READERS RESPOND to my column about Halberstam: "Halberstam disproved the old axiom about 'good guys finishing last!'" Thomas J. Lucier

(Media Web appears on Mondays, Wednesdays and Fridays.)

By Jon Friedman