Restructuring in distressed situations
- Restructuring is composed of fixing rapidly an emergency while at the same time maintaining the business capabilities. These are not contradictory actions, instead are a must.
- Any restructuring effort that we have managed, has always started with a thorough understanding on the dynamics and the direction end markets were taking, the positioning of the company towards those, the internal issues and the financial capabilities of the business.
- To understand those dynamics, it just needs discipline to quickly put things together, doing a thorough round of analytics and enter into the company rapidly by involving all stakeholders into profound dialogues on what went wrong, what went right and what are ideas to improve the situation. Fact-based validation of assumptions and solid business acumen lead to the next phase of the restructuring activity.
- Once the key issues are understood, moving quickly into realization mode is key to the successful implementation of the restructuring initiatives. The capability and experience to understand realistically what is really feasible and what the lowest hanging fruits are, are the keys to a fast and successful implementation. Securing the right financing, project management and implementation team and aligning the company behind the new vision via extensive communication are another important milestone.
- Change leadership is a very important part for the successful realization of the plan. Taking people by the hand and leading them in a situation which is full of unknowns is key, also in “unpleasant” situations. Being authentic and coherent are some of the key success factors of our team in approaching those issues. Celebrating success and recreating confidence in the organization are further important factors to stabilize the situation, once the key changes are implemented.
- We bring many years of leadership in restructuring and change situations, analytics that focus on identifying the right issues, an unbiased external view that doesn’t follow internal “politics” but only the best solution for the whole company. Just like you, our goal is to implement a robust and rapid change to save the future of your company and your employees.