Corporate Turnaround

When firms are doing so badly that failure seems imminent, only turnaround management can restore performance and profitability. Chief executives, directors, 'company doctors', consultants and merchant bankers (as well as investors tracking the progress of ailing businesses) can all transform their effectiveness by understanding the basic principles.
The key to recovery lies in a rigorous diagnostic review followed by a stabilization programme designed to take control, overcome the immediate crisis and create cash (and a breathing-space) for building long-term success.

Stuart Slatter is a partner in Slatter Timperley Associates, a management consultancy. He is also a Visiting Professor at London Business School. David Lovett is the partner in charge of Arthur Andersen's worldwide turnaround management practice.