Category: Turnaround Management

Understanding Bank Workouts — More Than Just a Loan

Loan economics are just one of many factors influencing the workout banker’s decisions in the complex arena known as commercial bank workouts. Workout bankers in many commercial banks manage risk, not just loans. Kristina Anderson continues her discussion on de-mystifying the workout banker’s motivations.

Distressed Debt & the Chief Restructuring Officer Understanding the Philosophy, Psychology and Politics

In Part I of this two-part article, Ken Naglewski of Seabiscuit Partners, opined that a chief restructuring officer (CRO) needs to be at least equally adept at behavioral psychology as she or he is in restructuring and turnaround strategies and tactics and be politically astute. In Part II, the author examines further the difficulties encountered in restructuring situations caused by the realities of organizational dynamics and human behavior, and provides some tactics that have proven successful in distressed situations.

Distressed Debt & the Chief Restructuring Officer – Understanding the Philosophy, Psychology and Politics (Part 1 of 2)

In Part I of this article, Ken Naglewski of Seabiscuit Partners examines classical turnaround theory and practice in relation to the realities of organizational dynamics and the behavioral aspects of the players in a distressed debt situation. The author opines on the necessity of a CRO assessing the political realities of each situation and developing a political style and game plan that has the best chance to be successful in a particular situation. In Part II of this article, the author reinforces the importance of dealing with political realities of distressed debt situations, provides some examples from real situations and potential strategies for dealing with different situations.

The Data Driven Turnaround — Data Explosion Offers an Embarrassment of Riches, But Peril for Those Who Fail to Keep Pace

The pace of technological change has been rapid for the past generation, but it is only in looking back that one can begin to perceive broader trends in what has seemed to many to be a deluge of tools, gadgets and relentless complexity. While this generation of unrelenting technological progress has paid numerous dividends, it also represents considerable peril, especially for companies in distress. The operations of companies are becoming increasingly data-centric and so must successful turnarounds.

Turnaround Management Association: Strong, Vital and ‘In Tune’ With the Industry It Serves

With more than 9,600 members and counting, a growing international constituency and a myriad of educational and networking initiatives in various stages of development and implementation, the Turnaround Management Association finds itself expanding on every conceivable front. And at the tender age of 22, the association does whatever it takes to keep tuned to the ever-evolving needs of its members.

Chief Restructuring Officers and Receivers — Lenders’ Solutions to Difficult Situations

Under any scenario, the loss of trust in a customer’s ability or desire to operate its own business effectively can be one of the most difficult challenges facing a lender and can feel like the weight of cement shoes to both the lender and customer alike. But bringing in a trusted, experienced, independent third party as either a CRO or receiver can immediately lift that weight and allow the company to walk straight to whatever the appropriate goal line may be.

To Save the Company… Change Leaders to get Results

Here’s the predicament: Who can handle the crisis management role? This is a predicament. Clear thinking must prevail and a special set of skills must be applied. If there is a qualified leader within the company, then delegate the job of turnaround to that person — and provide proper support. If there is not a qualified leader in the company — and there usually isn’t — go outside to locate this type of professional.

Restructuring on the Horizon? You’d Better Start Talking

In the panic-ridden days following the 2008 financial meltdown, the threatened companies that fared the best were most often those that communicated whatever hard facts they had at hand … even if incomplete or unflattering. When a company’s survival is at stake, honest intentions and even a small amount of clarity can go a long way.