?? BUSINESS TURNAROUND PROCESS: 6 Steps

? Thanks for Reading my LinkedIn Newsletter. It's FREE to "subscribe".

?? #BUSINESS #TURNAROUND #PROCESS: 6 Steps

??? Turnarounds save troubled companies and restore solvency and profitability.

??? If your business has been hit hard -- by COVID, supply chain issues, the switch to eCommerce, hybrid working, the Great resignation, and inflation, plus a pending recession -- you need to take swift action to save and reinvent your business.

??? You can't "wait and see." There is no going back to the "old" normal. Those days are over. Every business needs to adapt, change, and position itself for the "next" normal.

??? No, you don’t need to spend $450k on a big consulting firm to take a year to tell you how to turnaround your struggling business. You just need an Interim CEO and Strategist with a proven track record (hint, hint).

??? In my personal experience -- originally as a bank corporate lending executive, and since as a consulting Business Strategist -- in quickly achieving several Fortune 300 and other successful turnarounds, I treat the troubled company much like a severely injured person taken to the Emergency Department at a hospital.

??? As with an emergency hospital patient, you need to take urgent action and plan a road to recovery. A systematic, strategic, and agile approach is essential. Rally everyone with a wake-up call and a clear sense of urgency.

??? The first few days are crucial. Step 1 is to "stop the bleeding" (cash being the lifeblood) and take all the vital signs in order to diagnose the situation and determine appropriate prognosis strategies for a full and healthy recovery.

?? 6 STEPS

??? Below are only the main key points that need to be addressed. (My full Turnaround Workbook has 3 times as many items to address. And the details of doing a thorough job requires much more space to explain than I have here.)

?? 1. EMERGENCY: (Day 1) Stop the bleeding

• Cash is king; the lifeblood of the business and the key to recovery.
• Emphasize the urgency; you need triage, screening, diagnosis.
• Retrench by immediately preserving cash and reducing losses.
• Collect receivables rapidly, try to extend payables and credit.
• Develop a realistic new cash forecast; monitor and manage it daily.

?? 2. DIAGNOSIS: (Days 2-3) What went wrong?

• Ask CSuite what are 3 biggest issues that need fixing.
• Assess product/service marketing and sales situation.
• Assess state of R&D, innovation, and digital operations.
• Assess other vital signs: management, culture, customer experience.
• Identify root causes of failure via SWOT analysis of each function.

?? 3. PROGNOSIS: (Days 4-5) How to treat it?

• Reconsider everything and be decisive; Replace CEO and/or others.
• Establish an emergency response team to address critical functions.
• Determine worst case scenarios for supply chain, operations, and sales.
• Assess future potential based on strategy, operations, and finances.
• Set stringent KPIs -- your "vital signs."

?? 4. STABILIZE: (Days 6-7) Bring things under control

• Track pulse and key "vital sign" metrics in real-time.
• Ensure care of vital organs: CSuite, DNA culture, brand, purpose, partners.
• Ensure employee culture aligned with recovery goals and performance.
• Build a positive mindset; implement employee care and development plan.
• Create an AI DigiTransform pilot project for full recovery plan.

?? 5. REALIGN: (Days 8-10) Refocus on future wellbeing

• Identify 3 things which offer the greatest full turnaround leverage.
• Determine future consumer trends, needs, market shifts, and supply chain.
• Launch pilot AI DigiTransform and restructuring plan; secure quick wins.
• Set 30-day and 90-day goals that will show an upward trend in key metrics.
• Establish a “new normal” that is productive, healthy, designed for recovery.

?? 6. REVITALIZE: (Starts on Day 11) Re-energize and recover stronger

• Actively drive the plan, energized with change management.
• Watch for triggers that may signal a need to reconsider; remove obstacles.
• Continue controlling costs and secure new long-term capital as needed.
• Ramp up people skills; talk up what's going well and exceeding expectations.
• Give credit to those who helped; reward and celebrate success!

?? IN SUM

??? As listed, successful turnarounds involve tough decisions, with deliberate actions across multiple areas.

??? With concerted and decisive team action, enthusiastic recovery can rapidly be achieved.

??? If you need a successful revitalization or turnaround, let's talk. I'm your guy. :-)

?? Please #SHARE my #LinkedIn #Newsletter with your Network so that they too might benefit.

??? It's #FREE to "subscribe".

??? Every issue is available here:

https://lnkd.in/dYCfkD73

?

???#CONTACT me for #Strategic #Consulting, #Keynote #Speaking, and Seminars.

??? I offer a 20% #Referral #Fee.

??? Message me:

https://lnkd.in/eXZDWxZ

?

???#THINK #FUTURE ...

??? To #Succeed in #Life and #Business, you MUST "Think Future."

??? Get your copy today!

https://lnkd.in/g_SVVBV

#innovation #technology #future #trends #Quantum #Metaverse #AI #QAI #AiFuture #AiFuturist #futurism #Business #strategist #futurist #Keynote #Speaker #Seminars #ThinkFuture #leadership #management #CEO #CxO #IT #Ecosystem #HR #employees #culture #EX #skills #upskilling #customers #marketing #sales #advertising #branding #retailing?#CX #Digital #DigiTransform #transformation #infographic