Restructuring and Transformation
To compete successfully in this constantly changing competitive business environment, most organizations change to address their declining performance. However, the changes are not enough for the organization to keep pace with them, because the organization’s environment changes faster than the pace at which it can absorb these changes or respond to them. As a result, over time, the firm’s strategy fails to keep pace with the changing environment, a condition that is described as “strategic drift.” Strategic drift is the performance gap between a firm’s current performance and its expected performance under its current strategy. Initially, the performance gap is narrow, and if no timely action is taken, the gap can widen enough to cause a strategic disaster for the firm.
To reduce the performance gap and restore your organization’s competitive position, we offer our organizational change services, which include restructuring and transformation. Restructuring and transformation (revolutionary) are rapid changes that are implemented in the short to medium term (within 1 to 3 years).
Restructuring
Restructuring is a forced, reactive, non-transformational, and less fundamental change, implemented fast, that realigns the client’s firm with its competitive environment to restore performance. Your firm’s weak competitive position can cause lower sales and profits, resulting in poor performance. Restructuring can be small or large-scale and is implemented in phases. We can assist you in your restructuring efforts to reduce your firm’s losses, financially and operationally stabilize your firm, and help you to successfully grow and become profitable again.
Transformation
Transformational change is a fundamental change that is hard to implement. It should only be undertaken when your firm has exhausted all other strategic alternatives to restore your firm to its competitive position. Strategic transformation of your firm may involve redefining the mission, goals, objectives, and strategies that will give your firm a new direction in response to perceived environmental threats. We can also assist you in designing and implementing your transformation change strategy, timely monitoring your progress, and helping you take corrective action to achieve your transformation goals.
With our expertise, experience, insights, and strategic change management tools, we can collaborate with you to deliver the required changes, including corporate restructuring (financial and operational) and value creation to restore your organization’s competitive position. We can also assist you in managing a pre-emptive change to manage potential future threats.
Our restructuring and transformation consulting services include:
- Current situation and change context analysis.
- Identifying and defining the performance gap.
- Development of restructuring and/or transformational change strategies.
- Design of roadmaps or implementation paths.
- Capability development guidelines.
- Scenario analysis.
- Implementation support.