Strategic turnaround management: Defining success factors of a turnaround

The field of turnaround management has gained significant attention in response to challenging global economic conditions. The purpose of this study is to address the limitations in existing turnaround management literature by providing managers with a reliable framework and step-by-step guidance for successful turnarounds. Through a phenomenological approach, this research examines 10 turnaround experiences using primary evidence obtained through semi-structured interviews. The study includes interviews with 10 experienced turnaround and insolvency practitioners to investigate key success factors and develop an improved framework based on their practical insights. The resulting framework consists of 5 essential steps: Analysis and Diagnosis, Define Tailored Strategies, Agile Decision Making, Execution and Action, Leadership and Change Management. This comprehensive framework enables leaders to initiate the turnaround process, identify obstacles, and implement appropriate actions to halt decline and achieve full recovery. Moreover, the framework aids turnaround managers in evaluating a company's viability, addressing weaknesses, and formulating strategies to stabilize the situation in the short-term and enhance competitive advantage for long-term recovery and growth.