Turnaround strategy components
Components of turnaround strategy
Managing the turnaround
The enabling components to manage the turnaround's stabilisation, funding, recapitalisation and fixing are turnaround leadership, stakeholder management, and turnaround project management.
Stabilising the business
The momentum of an underperforming or distressed business is down.
Such a business needs to be stabilised to ensure the short-term future of the business through cash management, cash generation and cash conservation, demonstrating control, re-introducing predictability and ensuring legal and fiduciary compliance.
Funding and recapitalisation
An underperforming or distressed business invariable needs to be funded and recapitalised to ensure that it can be fixed.
Fixing the distressed business
Finally, the underperforming or distressed business needs to be fixed in strategic, organisational and operational terms.
View the turnaround strategy components diagram