Brewing a Turnaround at DAVIDsTEA

Think Customers

Only two years after going public, specialty tea retailer DAVIDsTEA announced at the end of 2017 that it was evaluating strategic alternatives, including a potential sale and store closures. At first glance, this is another example of a brick-and-mortar business struggling to stay afloat in a retail economy that is increasingly shifting toward e-commerce and digital experiences. In the U.S., more than 12,000 stores are expected to close in 2018, up from about 9,000 in 2017, according to commerc

Desperate Times Call for Effective Turnarounds

BCG

We refer to these as turnaround and restructuring efforts. At this point, the company starts burning through cash reserves and needs to launch a turnaround. . Turnaround and restructuring programs involve applying all three components: * Funding the Journey. A turnaround or restructuring program should include all three elements, but the relative importance of each changes at various points in the process. Article Friday, November 11, 2016.

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Getting capital projects back on track: Six elements of a successful turnaround

McKinsey

Leaders don’t want their projects to be in a turnaround situation, but that often happens. Here are some tactics for resolving problems quickly. Insights on Capital Projects & Infrastructure

Management Lessons from One Hospital's Dramatic Turnaround

Strategy+Business

The dramatic turnaround engineered by Grossman -- from $120 million in annual losses to consistent profits -- offers important lessons for any manager seeking to overcome chronic underperformance, and lessons are also to be found in the rapid growth in its physician network, a top 10 ranking from U.S.

How Agile Teams Can Help Turnarounds Succeed

Harvard Business

It is most definitely not for big, old-line companies that are facing an existential crisis and require a full-scale turnaround. None of these conditions exists in extreme events such as natural disasters, terrorist attacks, major military battles — or large-scale business turnarounds. The agile approach injected a level of speed and accountability not found in many business turnarounds. In a turnaround, teams may work unsustainable hours for several months at a time.

Turnaround artists: How companies can catch up to the digital revolution

McKinsey

Latecomers can succeed at digitization if they take these five steps. Our Insights

The Key to Campbell Soup’s Turnaround? Civility.

Harvard Business

In the early years of the turnaround initiative, hundreds of the top 350 senior leaders who could not, or would not, demonstrate their willingness to adapt their approach were let go or transitioned to other roles.

Surviving in a Procyclical Industry

Tom Spencer

Consultants and consulting firms can go some way towards reducing the effect of economic downturns by offering a range of services including some which are counter cyclical, that is, services which are more in demand during downturns such as restructuring and turnaround support services. Management Consulting consulting restructuring turnaround services(Source: Flickr ).

Using people analytics to drive business performance: A case study

McKinsey

A quick-service restaurant chain with thousands of outlets around the world is using data to drive a successful turnaround, increase customer satisfaction, and grow revenues. Our Insights

How an oil and gas giant outmaneuvered low oil prices

McKinsey

Italian oil and gas company Eni has transformed under a leader determined to reduce costs without cutting jobs—instead including employees in the turnaround mission. Our Insights

Transformation and resilience: An interview with Best Buy’s executive chairman Hubert Joly

McKinsey

Hubert Joly shares lessons from leading the turnaround of the retail and technology giant and how it prepared him and the company for the current crisis. Strategy & Corporate Finance Insights

Why a Long-time Microsoft Exec Believes in Strategy First - Interview with Brad Chase

Strategic Planning and Management Insights

Brad was a part of several major project at Microsoft, including the complete turnaround of MSN.com, leading the marketing effort for Windows 2000, Windows 98 and Internet Explorer, as well as developing and executing the award winning marketing strategy for Windows 95.

A Bread and Butter Method for Identifying the Right Organizational Structure

Steve Shu Consulting

Suppose you are trying to design a company whose strategy is to provide broadly accessible, lower-cost, optical glasses to customers within quick turnaround times of one hour. Turnaround times might be much longer. A common approach is to identify different options for organizational structure and then analyze tradeoffs (e.g., pros and cons or degree attractiveness by objective). That said, I wanted to share another perspective that has carried me a long way.

At LEGO, Growth and Culture Are Not Kid Stuff

BCG

The turnaround of the LEGO Group is one of the famous business stories of this century. He was a 35-year-old former academic and consultant who quickly gained a reputation as a turnaround artist. Prior to the turnaround, Knudstorp acknowledges, LEGO had taken this loyalty for granted by stretching the brand too thin. Video Thursday, January 19, 2017.

Best Business Books 2015: Narratives

Strategy+Business

Some of this year's best business books are narratives that cover the divergent fortunes of three hot technology companies -- one that crashed to earth, one in the midst of a wrenching turnaround, and one that is soaring into the stratosphere

Saving RadioShack

Tom Spencer

When the business landscape changes, how can you turnaround a failing company? Assuming this leads to successful refinancing, what should the strategy be to turnaround and save this iconic company? When faced with a broad turnaround question, it is important to ask a variety of questions to determine the source of the problem. Marc Consentino in his book Case In Point suggests the following possible actions for a company turnaround.

The Perils of Internal Disruption (Part 2)

Markovitz Consulting

The former president of Wiremold, Art Byrne, explains in his book The Lean Turnaround that he eliminated volume discounts and incentives for sales to book the largest possible orders. With more level demand, the warranty department was able to keep its turnaround time to under a week, even during the peak summer season. “Disruption” has become another business buzzword that obviates the need for prudent, careful thought and consideration.

Alvarez & Marsal Interviews and Culture

Management Consulted

This Firm Profile started as an email from Sean, asking if we could write on Alvarez & Marsal, “The Turnaround Guys”. Combining their industry experience, the pair were forerunners in what became a specialty area in professional services: turnaround management, corporate restructuring and operational performance improvement for companies and stakeholders. The firm’s first turnaround client was the household brand, Timex Corporation. Turnaround and Restructuring.

AlixPartners Interviews and Culture

Management Consulted

AlixPartners is an international business advisory firm based in Southfield, MI known for its work in corporate turnarounds, bankruptcy assignments and restructuring. Generally regarded as turnaround market leaders, AlixPartners is doing a killer job at taking up more room in the consulting space by strategically hiring a plethora of gurus. Among these are turnaround teams, the role of Chief Restructuring Officer (CRO) and incentive-based success fees.

4 Types of Consulting Firms

Tom Spencer

Some of the most notable specialisations include healthcare, IT or tech, and turnaround consulting. Although IT consulting firms can be big shops such as Gartner and Infosys, healthcare and turnaround consulting firms tend to be more boutique in nature. Turnaround firms, like FTI Consulting , will typically value quantitative skills as the work typically requires rigorous financial analysis.

Don’t do everything yourself

Jacq Hackett Consulting

It’s quick – the turnaround time on jobs is impressive. Being a solo consultant doesn’t mean you have to do everything yourself. In fact, you shouldn’t. Of course, you need to take responsibility for all the core consulting tasks – those tasks that require your high-level expertise, your thinking, your credibility. But for a host of other things, get help.

Your Consulting Niche vs Jack-of-All-Trades Myth

Successful Independent Consulting

Transformation and turnaround leader specialized in building teams, measurement systems, and driving results at distressed and growth companies alike, with a focus on the middle market. Translation: turnaround expert. Many people who embark on the independent professional path think they should define their services broadly so they will look like a good fit for many projects. The exact opposite is true.

How to Change a Bad Thinking Habit

The More Clients Blog

The final question is, “What is the turnaround to that thought and is it just as true or even truer?” The turnaround thought would be, ‘They just might be interested in meeting with me.’ You asked if it was true, what the consequences were of thinking it, what might happen if you couldn’t think it anymore, and if the turnaround thought was just as true or truer.

Don’t do everything yourself

Jacq Hackett Consulting

It’s quick – the turnaround time on jobs is impressive. Being a solo consultant doesn’t mean you have to do everything yourself. In fact, you shouldn’t. Of course, you need to take responsibility for all the core consulting tasks – those tasks that require your high-level expertise, your thinking, your credibility. But for a host of other things, get help.

Renewed Customer Focus Boosts McDonald's Bottom Line

Think Customers

But buoyed by a strong fourth quarter that beat analysts' expectations, McDonald's recent customer-focused turnaround appears to be putting some luster back in the golden arches. As one of the world's most iconic brands, McDonald's has fallen on some hard times in recent years. The world's largest restaurant company has suffered disappointing sales growth and declining margins.

Vaping and other Naïve Actions

Martinka Consulting

I (buyer) can fix this business (turnarounds make headlines for a reason, they’re rare). There was a recent news story about a Seattle area law enforcement officer suing for about $11 million because of a health condition caused by vaping (a CBD product and something else to relieve his stress and pain). Am I missing something? He heated a chemical concoction, inhaled it, and figured all was good? He couldn’t imagine burning chemicals could cause bodily damage.

Jenny Dearborn Data Driven Strategies

LSA Global

This book tells the story of a successful sales executive who, after leading an analytics-driven turnaround (in Data Driven, this book’s predecessor), faces a new turnaround challenge as chief human resources officer. Jenny Dearborn Data Driven: How Performance Analytics Delivers Extraordinary Sales Results.

First, You’ve Got to Show That You Care

Markovitz Consulting

John Shook describes how within the constellation of GM plants, the Fremont plant went from worst to first in quality in one year, with a 180-degree turnaround in culture, all while keeping the same workers. (In The overhead light in aisle two has been burned out for three months. It’s hard for the workers in that row to see the small parts they handle and repair.

Improving Airlines’ On-Time Performance

BCG

OTP is also affected by decisions made in multiple areas, including fleet size and composition, flight crew composition, and flight turnaround times. Article Wednesday, September 21, 2016. Sometimes it pays to sweat the small stuff. Take on-time performance (OTP). In the airline business, one late aircraft early in the morning can lead to more than 70 delayed planes later in the day.

Business Buy-Sell and the Business’s Status – #3

Martinka Consulting

I like to say (especially to business buyers with stars in their eyes) that, “turnarounds make headlines because they are rare.” These five things present in a company make that company as rare as a successful turnaround and cause headlines to be written about them in business journals and magazines. To continue from the last two posts, here are my comments on situation number three. Losing money. Recent upward trend or reduction of expenses. Is it a spike or a trend?

Management Process: Small Clues with Big Consequences

Kates Kesler

Recently, The Wall Street Journal reported on how Procter & Gamble’s CEO is under scrutiny by investors and the board for a stalling turnaround effort. P&G’s Stumbles Put CEO On Hot Seat for Turnaround. Most painfully, but all too common, this is occurring in the middle of a very difficult turnaround. For me, one of the most thought-provoking parts of this story was reported nearly at its end.

How to Evaluate Your Marketing Leader’s Performance

Prudent Pedal

Ask questions about production efficiency, turnaround times, collateral organization/dissemination, and costs. If you’re a managing partner, practice leader, sales leader, or chief administrative officer in a professional services firm, you probably have responsibility for “managing” marketing. If this is you, you may be feeling a little uneasy as we approach that dreaded time of the year for most managers—annual reviews.

Small Steps or Big Steps: What’s the Right Way to Begin Improvement?

Markovitz Consulting

He describes his “shock and awe” approach (my terminology) in his excellent book The Lean Turnaround , where he takes the company through several week-long kaizen events. I’ve been struggling to resolve two conflicting facts: Science has shown that incremental change is both easier for people and more sustainable than dramatic change. Art Byrne has had undeniable business success by starting with dramatic change.

Sample Consulting Case Questions

Tom Spencer

Turnarounds. Assuming RadioShack averts bankruptcy and achieves a successful refinancing, what should the strategy be to turnaround and save this iconic company? (Source: Flickr ). Below we provide a selection of sample consulting case questions. The questions are broken down into seven (7) question types to make them easier to digest. Declining Profitability. Our client is eBay. Its share price fell from $310 to $200 per share on reports of declining profits.

Student Consulting ? Does it deliver?

Tom Spencer

This may include discrete projects completed at arms length, such as due diligence on a transaction, or turnaround projects where consultants are embedded within an organisation. Student consultants certainly mean well: for their CVs if not the organisations they consult to. But whether student consulting organisations deliver for clients or the students who take part is questionable.

Are you outsourcing?

Rod Burkert

They gushed about the quality of the work, the quick turnaround, and of course, the extraordinary pricing. In case you missed last week: Thinking of hosting your own webinars? Here are 7 things you must consider. If you have a group you want to educate and market to or a product or service you want to promote and sell to, webinars are the best way to reach them. But there are some things you need to know to get started.

Best Practices Survey

Women in Consulting

Whether your business continues to expand, has experienced a slowdown or turnaround, or is consistent with last year, we want to hear about your experiences. By: Jen Berkley Jackson. It’s back and we want to hear from you. Our 15 th Annual WIC Best Practices Survey is open March 14-April 17. A comprehensive analysis of the state of consulting businesses in the Bay Area. It’s hard to believe but this is the 15 th year WIC has run our best practices survey.

Are you leadership material? Leadership myths dispelled.

Peter Stark

Mulally proved that prediction wrong by leading one of the most successful corporate turnarounds in our lifetime. At the end of a tough day, have you ever thought that you might not be leadership material? The term leadership material falsely implies that either you have what it takes to be a leader, or you don’t. Throughout time, we’ve heard many explanations as to why some people have followers and others don’t.

FTI Consulting Interviews and Culture

Management Consulted

FTI expanded into investigation and research capabilities as well as turnaround, restructuring, bankruptcy and forensic accounting with the moves. Restructuring/Turnaround Services. Honored with Seven M&A Advisor Turnaround Awards. Honored by Finance Monthly as Turnaround & Restructuring Firm of the Year, Singapore. FTI CONSULTING INTERVIEWS & CULTURE.

Food Stamp Growth Outpaces Illinois Job Creation 5-4 During Recovery

MishTalk

Bruce Rauner’s Turnaround Agenda, which addresses Illinois’ top economic reform needs. Rauner’s Turnaround Agenda would put Illinois on the path toward responsible budgets, improved jobs growth and decreasing government dependency. Congratulations (of sorts) once again go to Illinois, the only state in the Midwest where SNAP (food stamp) growth outpaced job creation during the recovery.