We are experts in dealing with all stakeholder groups.
Turnaround management is needed when a business challenge is so serious that it jeopardizes the viability of a company. Recognizing that a problem exists and accepting that a solution is outside the usual course of business is essential for implementing true turnaround management.
At RSI, our turnaround management consultants are specialists in assisting distressed companies. Our proven turnaround services are in demand now more than ever, because economic and competitive conditions demand increasing efficiency as well as maintenance/enhancement of margins. Distressed companies may be troubled by severe financial burdens – unable to meet payroll, while struggling to deal with high debts or the loss of an important client.
The value of a proven turnaround consultant lies primarily in his or her ability to make critical business decisions quickly. At RSI, our consultants possess a unique set of skills and the highest level of ethics and integrity. Both are needed to confront and manage a severe decline in a company's performance. It is a task only for an experienced turnaround consultant: To assume control of the decision-making process, and guide a company back to profitability and security.
The initial signs of a troubled company may include…
- Poor lender relationships
- Market lag
- Lack of operating controls
- Overly aggressive growth
- Operating without a business plan
- An unstable/precarious customer base
- Excess capacity
RSI's turnaround consultants analyze and attack a company's most pressing issues, working quickly to gather needed information, contain the damage and restore stability. We assess and immediately identify a company's critical financial and operating problems. Working with management, we develop an action plan that will give the enterprise stability and positive cash flow – the main ingredient for a successful turnaround.
Diplomacy, and the ability to listen and negotiate, are vital when dealing with a firm's demanding creditors, apprehensive stockholders, panicked employees and cautious customers. At RSI, we are (and have to be) experts at dealing with all stakeholder groups. We quickly make important decisions and provide the best possible chance for a business to have a successful recovery.
Successful turnarounds involve…
- Full repayment to the senior lenders of outstanding loans, while preventing a potential foreclosure
- Assessment of actual sources of problems and developing clear solutions
- Correcting problems with approaches that prevent recurrence
- Educating senior management and key staff to strengthen their management skills and enable them to meet current and anticipated conditions
- Assisting senior management in creating a framework and adopting policies that will detect and prevent problems from happening again
- Making immediate contributions toward positive resolutions