Turning Stuff Around

A blog about the grit, grind, and occasional glory of turnarounds.

Tag: turnaround tips

  • The “Work-From-Where?” Conundrum

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    The “Work-From-Where?” Conundrum

    The ongoing debate over remote work versus in-office has grown louder recently, with major corporations mandating a full-time return to office. Amazon, for example, is mandating a full-time return to the office starting in January, citing the benefits of in-person collaboration. Conversely, many employees and organizations advocate for the benefits of remote work, which offers access to a broader talent pool for employers, and flexibility, autonomy, and improved work-life balance for team members.

    Both models have pros and cons. So, what is the “right” approach? And given a turnaround situation, should a full-time work-from-office be mandated? The answer is: it depends.

    The success of any work model—remote, hybrid, or in-office—largely depends on one critical, defining factor: your organization’s culture. An organization’s culture is its DNA. It shapes how teams work, communicate, and innovate. Some cultures thrive on the energy of in-person brainstorming sessions, and the spontaneous “water cooler” chats. Others excel in an environment where flexibility reigns, and employees are trusted to deliver from wherever they’re most productive. In geographically dispersed organizations, you’ll often find micro-cultures that have their own idiosyncrasies: the team in Europe is different than the team in Latin America, and both are different than the team in Asia. Some teams prefer working from the office, while others enjoy a hybrid model.

    In a turnaround, culture becomes even more critical (though, I’d argue that culture is always critical, not just during a turnaround.) You’re not only trying to implement a work model; you’re trying to rebuild trust, create alignment, and drive collaboration and momentum. And remember, the organization you’re working to fix already has an established culture—the slate isn’t blank. In weighing the pros and cons of each model, you should consider how each approach will affect the culture (and in-turn — the bigger goals you’ve set.)

    At my company we opted for a hybrid model: three days in the office, two at home (we didn’t allow a work-from-anywhere model). And we were open to exceptions in different geographies. This worked well for both the business and the teams as we were able to align needs and requirements across our global operation. This included calling a full-time work-from-office when needed. (By the way, some teams chose themselves to work full-time in the office!)

    So what’s right for your organization? The question isn’t only about productivity—it’s about how the work model will influence, shape and evolve the organization’s culture. And, most importantly, whether that changed culture enables your goals and long-term plans. Ultimately, a successful turnaround depends on finding a model that creates a culture to help you deliver on your mission.

    Engage your team, listen to their needs, and tailor your approach accordingly. The right work model isn’t about following trends or making sweeping mandates—it’s about aligning your strategy with your people and enabling their success (which is ultimately yours).

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  • Sustainable Profitability

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    Sustainable Profitability

    As we all know, there are only two levers you can pull to drive profitability: cost cutting, and growing top-line. In stable times you are constantly pulling on both, aligning investments against forecasted business performance. But in a turnaround, things are not as straightforward. The top-line lever appears, at first glance, to be “rusty” and possibly jammed, while the costs lever often has an all too strong gravitational pull.

    The Cost Cutting Lever

    In a turnaround, launching a cost-cutting initiative may seem as an obvious first step. It’s quick and decisive—you give the order to reduce expenses, say by cutting 10% of the workforce—and manage through the fallout. While it may provide short-term relief—and seem like a quick path to profitability—it rarely is a sustainable solution. The “cleaver approach” will not fix the inherent inefficiencies that often plague organizations.

    For a cost-cutting to be impactful, it needs to consider the bigger picture and align with the long-term, strategic plans. For me, using the zero-based budgeting approach has been more effective in creating sustainable cost structures.

    Zero-based budgeting requires you to build your budget from scratch. For example, instead of saying “We had 100 engineers last year, so we need 120 engineers this year!” (assuming 20% growth), you and your head of engineering start with a blank slate. Together you consider the product plans, the technical debt strategy, new technologies as well as other factors, and appropriately align headcount and investment.

    Ultimately, the biggest benefit of this approach is that it forces you to stop and think rather than make inertia-based decisions. It brings to the surface the hard questions (and decisions) required to set the company on the right path.

    The Growth Lever

    Driving top-line growth is a different challenge altogether. You’re not shedding something you have, you’re building something you don’t. This requires a clear strategy, a strong product lineup, and seamless cross-functional execution. It requires the village. And since, in a turnaround, the village may not be, well, a village, it can take time to materialize.

    That’s why you need a bridging strategy—a way to achieve short-term revenue gains to keep the business afloat while laying the foundations for future growth.

    Some of the tactical initiatives that have helped me in the past:

    • Leverage existing customers. Acquiring new customers is a long-term initiative. This is not to say you should not pursue this, but working with your existing customer-base is often easier and quicker. Focused upselling and cross-selling initiatives can lead to fast, much needed, gains.
    • Optimize pricing. Review your pricing models for adjustment opportunities. Sometimes, incremental price increases or new pricing tiers can unlock significant revenue without major operational changes.
    • Identify and prioritize quick wins. The so called “low-hanging fruit”. Look for underutilized sales channels, untapped market segments, or underplayed products. Walk the halls, talk to people—you’ll be surprise at how many ideas are waiting to be uncovered.

    Keep in mind that tactical growth is about small wins that buy time and prove to your team that progress is possible. It also provides some financial flexibility to fund longer-term initiatives, such as product development, organizational redesign, or a revamp of operations. Lastly, deploying tactical initiatives can help you test business hypotheses that can further help hone your long-term strategy.

    The cost-cutting and growth levers are interconnected. Pulling them effectively provides you the breathing room to sustain the business through the turnaround, while aligning investment plans for the long-term. This creates a stable foundation that drives sustainable profitability, ultimately allowing your people and business to thrive well into the future.

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  • The Change Tolerance

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    The Change Tolerance

    One of the first variables to measure, as you assess turnaround readiness, is the organization’s change tolerance. In other words, how much change can your organization handle before resistance turns into disengagement or even chaos? It is very much like a rubber band—stretch it too far and it breaks.

    Some organizations have a high tolerance and thrive on bold, sweeping transformations. Others have a low threshold, where even minor shifts can trigger disruption. Understanding where your organization stands on this spectrum is crucial. And the most critical element is your people. Consider the following key questions:

    Culture

    • Are people engaged?
    • Are there silos (geographical, functional or otherwise)?
    • How political is the organization?
    • Is there trust in leadership?
    • Does information flow freely throughout?

    Most of these questions can be answered by walking the halls and talking to team members. You’ll be positively surprised at what people share with you if you take the time and interest.

    People

    • Do we have the right skills and capabilities?
    • What is the talent pool looking like and can we lean on it more?
    • How fatigued—or fed-up—are people?

    Sit down with your HR team and function heads to explore these questions. If needed, augment your learnings with interviews with your leadership team’s direct reports.

    Leadership

    • Do you have the right skills and capabilities on the team?
    • Is the team cohesive?
    • Is there trust and healthy conflict, or only artificial harmony?
    • Is there buy-in to your plans?

    Beyond your own observations, I recommend seeking an objective, coach-led assessment—especially if you suspect lack of trust in the team, as people will hide their true colors in this setting. (If you haven’t already, I highly recommend reading “The 5 Dysfunctions of A Team“ by Patrick Lencioni. It’s been my go-to model, and has worked wonders with every team I’ve led.)

    Building Change Tolerance

    Getting a well-informed reading on your people and leadership team should be a top priority. Remember, people challenges are often the most difficult and resource-intensive to address. They are also the most impactful to the rest of the organization, and have the potential of completely derailing your turnaround plans.

    Once you’ve assessed the change tolerance, ask yourself whether it aligns with the level of change your turnaround requires. If the answer is yes—great (consider yourself lucky!) But more often than not tolerance will be too low. If that is the case, then you have a bigger, more immediate challenge to tackle: increasing the change tolerance.

    Increasing tolerance isn’t done overnight. It requires intentional trust building—especially true if you’ve been parachuted into the organization from the outside. Since trust is built slowly, by delivering on promises, small wins matter even more and can help you build early momentum. This will demonstrate that change is both manageable and doable, and will ultimately allow you to stretch the change tolerance further.

    Finally, always stretch carefully. Continuously assess the tension with your team, and work to increase the organization’s capacity and resilience to change. Over time, culture will become more adaptive and capable of handling larger more transformative changes.

    Cranking up the change tolerance is an ongoing task. As the saying goes, change is the only constant, and this has never been truer than in today’s fast-paced world. Keep challenging the organization to achieve more—but ensure you’re doing so on the right foundation.

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  • Small Wins, Big Impact

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    Small Wins, Big Impact

    Beginning a turnaround is like staring at a half-finished jigsaw puzzle of the Mona Lisa. You’ve got a few key pieces in place—a hint of her nose and mouth, some scattered fragments of the lake in the background—but the full picture is still elusive. Being able to see the end state, and formulate a strategic plan to get there is critical. But when it’s time to set out, I’ve found small wins to be incredibly powerful at building momentum to steer the ship in the right direction.

    Small wins give you something to hold onto when the bigger picture feels out of reach. They help you—and the team—believe that change is possible, one step at a time. Especially in turnaround situations, small wins are critical for restoring confidence, building hope, and reminding everyone that progress is possible. And as progress happens, the end result begins taking shape in front of their eyes.

    In my experience, the most important decision you can make as you set out on your turnaround, is the decision to move—before “analysis-paralysis” grips you and the team. The key is to stop waiting for the stars to align to tackle everything at once. But to look for the first small thing you can fix, and fix it. The fix becomes a win; the win sparks momentum. And momentum powers continued progress.

    At my company, for example, after assessing the different areas that needed fixing, each function head set out to achieve one small win within three to four weeks. In the people function, we fixed company communications. In the commercial function, we addressed pricing. In finance, we made incremental cost-control improvements. And each of these small wins demonstrated progress towards our shared goal of turning around the company. (More on these moves later in the blog.)

    In turnarounds, finding problems, is like finding sand at the beach—they’re everywhere. Don’t focus on fixing everything. Instead find your next small win, then build from there.

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  • Doubt the Doubt

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    Doubt the Doubt

    Like in all major events, there’s a moment (actually, many moments) in every turnaround where self-doubt sneaks in. Usually uninvited. It’s that little voice in your head that whispers questions you’d rather not hear: Did I make the right call? Am I leading this team the right way? What if I’m in over my head?

    I know that voice well. It doesn’t just question your decisions—it questions you. It makes you feel like you don’t belong in your role, that everyone else’s opinion matters more, and that you’re just one mistake away from being exposed as a fraud. It can grow especially loud when the stakes are high and the path is uncertain.

    Here’s the thing I’ve come to realize: that voice of doubt? It’s not your enemy. It’s your brain’s way of trying to protect you, to keep you in your comfort zone and away from risk. And while the comfort zone is a safe place, it’s not where growth happens, it’s where the status quo is kept.

    Self-doubt forces you to reflect, to question, to reassess. And yes, it can get very uncomfortable. But here’s the thing: that discomfort means you’re pushing boundaries, stepping into new territory, and challenging yourself in ways that matter. Doubt is a sign of effort. It means you’re trying something new, taking a risk.

    The key is to doubt the doubt itself. Instead of letting it paralyze you, recognize it for what it is—a protective reflex, not a prophecy of failure. Use it as a signal to pause, reassess, and adjust if needed, but don’t let it stop you.

    Every leader I’ve seen navigate a tough turnaround has wrestled with self-doubt (myself included). The ones who succeed aren’t the ones without doubt, but the ones who move forward despite it. Their confidence comes from taking thoughtful, deliberate actions, not from the absence of doubt.

    Doubt isn’t a sign you’re failing, it’s proof you’re trying! Doubt the doubt. Keep pushing. You are probably on to something.

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  • The Biggest Myths About Turnarounds

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    The Biggest Myths About Turnarounds

    Turnarounds are often glorified in stories and media. The fearless leader charges in, makes a few bold decisions, and everything miraculously falls into place.

    If only it were that simple…

    The reality of turnarounds is far messier and more nuanced than the myths would have you believe. And clinging to those myths can do more harm than good.

    Here are a few of the biggest myths about turnarounds—and the truths I’ve learned firsthand:

    Myth 1: It’s All About Bold, Big Moves

    When people imagine a turnaround, they picture sweeping changes—a major restructuring, a massive product launch, or a dramatic cost-cutting move. While big moves can have their place, most successful turnarounds are built on small, consistent wins. Addressing small inefficiencies, rebuilding trust, and fixing foundational problems often have a far greater impact than a single dramatic gesture. Turnarounds aren’t won with a sledgehammer; they’re carefully carved with a scalpel.

    Myth 2: One Leader Can Fix Everything

    There’s this romanticized idea of the lone savior who swoops in to save the day. But the truth is, no leader—no matter how skilled—can do it alone. Turnarounds rely on teams. The best leaders aren’t the ones who have all the answers; they’re the ones who inspire people to step up, collaborate, and own the solutions together. It’s not a solo act—it’s a team effort.

    Myth 3: Once You Fix the Problem, It’s Over

    People often assume that a turnaround ends when the immediate crisis is resolved. But that’s just the beginning. Turnarounds require sustained effort to stabilize and grow. The real work starts after the major fires are out—ensuring the changes stick and the culture evolves to prevent another collapse.

    Myth 4: Turnarounds Always Succeed

    I wish that were true! The hard truth is that not every turnaround has a happy ending. I’ve seen many companies die in spite of the effort put in to try and fix them.

    The Reality of Turnarounds

    If there’s one thing I’ve learned, it’s that each turnaround represents a unique challenge of varying complexity and conflicting priorities. In those circumstances, the chances of a silver bullet—a bold move, a fearless leader, or a quick fix—solving everything are slim. Instead, it’s small wins, by a solid team, that set you on the right path. Allowing you to adapt, reiterate, and keep the forward momentum going, step by step.

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