Description
Wiley Encyclopedia Of Management Strategic Management Volume 12, 2nd Edition 2014 Turnaround Strategy
Wiley Encyclopedia of Management Strategic Management Volume 12, 2
nd
Edition 2014
TURNAROUND STRATEGY
Author/s
Original article by Angwin D., McGee J.
Updated by Tanya Sammut-Bonnici
Reference this article
Angwin D., McGee J., Sammut-Bonnici T., 2014. Turnaround Strategy. In Wiley Encyclopedia of Management, Strategic
Management Volume 12, Sammut-Bonnici T. and McGee J. (eds). Wiley: New Jersey, NJ.
Abstract / Definition
Turnaround strategy is about doing different things and attempting to change companies’ fortunes by fundamental adjustments to
in strategy, such as acquisition and divestment. Operating turnarounds are about doing things differently in terms of processes
such as manufacturing, so that the firm’s efficiency can be improved.
Three categories of turnarounds are proposed: traditional asset cost surgery, product-market pruning, and piecemeal strategies.
The characteristics identified in successful turnaround strategies involve good management, which is seen to be critical to a
sustained recovery. An appropriate organizational structure often means a much leaner one, with fewer layers in the hierarchy.
Tightly controlled costs mean better controls, rather than cutting costs.
Turnaround strategies typically go through three stages. In the first stage leadership and
organisational culture face a restructuring. In the second stage costs are reduces, assets
redeployed, and product and market strategies become more selective. As a result the
company moves to a third stage where it repositions itself in the market and industry.
Keywords
Turnaround strategy, operational turnaround, restructuring, repositioning
Link to publication
http://www.amazon.com/Wiley-Encyclopedia-Management-Cary-Cooper/dp/1119972515
doc_869700500.pdf
Wiley Encyclopedia Of Management Strategic Management Volume 12, 2nd Edition 2014 Turnaround Strategy
Wiley Encyclopedia of Management Strategic Management Volume 12, 2
nd
Edition 2014
TURNAROUND STRATEGY
Author/s
Original article by Angwin D., McGee J.
Updated by Tanya Sammut-Bonnici
Reference this article
Angwin D., McGee J., Sammut-Bonnici T., 2014. Turnaround Strategy. In Wiley Encyclopedia of Management, Strategic
Management Volume 12, Sammut-Bonnici T. and McGee J. (eds). Wiley: New Jersey, NJ.
Abstract / Definition
Turnaround strategy is about doing different things and attempting to change companies’ fortunes by fundamental adjustments to
in strategy, such as acquisition and divestment. Operating turnarounds are about doing things differently in terms of processes
such as manufacturing, so that the firm’s efficiency can be improved.
Three categories of turnarounds are proposed: traditional asset cost surgery, product-market pruning, and piecemeal strategies.
The characteristics identified in successful turnaround strategies involve good management, which is seen to be critical to a
sustained recovery. An appropriate organizational structure often means a much leaner one, with fewer layers in the hierarchy.
Tightly controlled costs mean better controls, rather than cutting costs.
Turnaround strategies typically go through three stages. In the first stage leadership and
organisational culture face a restructuring. In the second stage costs are reduces, assets
redeployed, and product and market strategies become more selective. As a result the
company moves to a third stage where it repositions itself in the market and industry.
Keywords
Turnaround strategy, operational turnaround, restructuring, repositioning
Link to publication
http://www.amazon.com/Wiley-Encyclopedia-Management-Cary-Cooper/dp/1119972515
doc_869700500.pdf