Turnaround Management
Turnaround Your Stagnant or Declining Company by Methodically Designing and Co-implementing Your Turnaround Plan
When faced with strategic and tactical challenges, companies can adapt faster by augmenting internal resources with additional experience and talent. We co-design and and implement practical, customized solutions that not only turnaround business performance but establish a strong foundation for sustainable growth.
We’ll include an actionable financing plan to give your lenders, investors, and stakeholders the confidence they need to be patient while your turnaround happens.
Early Warning Signs of Distress
Too many companies wait until it’s too late to engage a turnaround manager. The earlier stagnation or decline can be identified, the easier a return to growth will be and the higher the chances of success. Early warning signs are often difficult to detect and even more challenging to decipher.
Emerge Dynamics’ detailed organization analysis identifies and solves:
- Declining margins and a diagnosis of cost changes or reduced pricing power
- Declining market share and a diagnosis of internal or external causes
- Declining capital expenditures or reinvestment in the company
- Indicators of poor organization health or management
- Broken company processes
- Broken customer service experiences
- External, macroeconomic factors
- Bankruptcy prediction indicators
- Working capital mismanagement
Requirements of a Successful Turnaround
Emerge Dynamics will help you identify and utilize the requirements of a successful turnaround and then work with you hand-in-hand to guide your return to profitability:
One or More Viable Core Businesses
We will conduct a detailed company analysis to identify the profitable core upon which a turnaround plan can be built. This core business is sometimes not readily evident and sometimes not the primary product of service the company sells.
Adequate Bridge Financing
Many turnaround plans require financing. Emerge Dynamics will work with you to package and prepare for financing, which will allow your turnaround plan to be executed. This financing can be external or, often at the surprise of business owners, can be created internally through working capital adjustments, AR collections, or vendor negotiations.
Adequate Resources and Skills
We often find that companies get themselves into trouble not as much because they aren’t capable of fixing their problems, but because they aren’t capable of seeing their problems. Emerge Dynamics will put into place the dashboards and systems that will allow you make informed management decisions. In addition we will build for you and your lenders a rigorous, high-fidelity 13-week financial forecast along with a monthly and annual pro forma projections that clearly demonstrate your road map to growth.
An Effective Turnaround Manager
A turnaround manager with the proper skills may already be in place in your organization and be able to work with Emerge Dynamics to create and implement a turnaround plan. If not, a member of Emerge Dynamics can play this role.