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Turnaround Management: What it actually means?
Turnaround management is applied when a business is distressed — cash is tight, lenders are nervous, performance is declining or governance has weakened. The immediate focus is stabilisation: cash-control, rapid cost actions, receivables collection and communication with creditors. Consultants then diagnose structural issues (loss-making products, overheads, weak sales, poor pricing) and design a plan to return the company to profitability. Stakeholder management is key because owners, banks, employees and suppliers all need confidence in the plan. A successful turnaround creates time and credibility for longer-term strategic repositioning.
