Companies, before entering into structural crisis (operations, markets, and finances), have already shown several previous signs of deterioration. Perhaps these signs were diverse but isolated, and th

There are worse cases where signs of difficulty arise, but management postpones tough and drastic decisions for cost-cutting, operational restructuring, and realignment of the company towards viability.

Closed-capital companies, especially family groups when they lack experience in distressed companies, delay decisions, either out of fear, apprehension of losing credit in the market, or even to avoid seeking help from specialists. However, when the crisis sets in and becomes structural, suppliers and banks have already perceived the signs and reduce and complicate the granting of credit, and without cash flow, the company may be led to one outcome: judicial recovery.

Our experience allows us to reflect on approaches that should be adopted at the beginning of the crisis movement, or in its intermediate phase, and they are:

𝟭.𝗜𝗗𝗘𝗡𝗧𝗜𝗙𝗬𝗜𝗡𝗚 𝗖𝗔𝗦𝗛 𝗙𝗟𝗢𝗪 𝗔𝗡𝗗 𝗣𝗥𝗢𝗙𝗜𝗧 𝗚𝗘𝗡𝗘𝗥𝗔𝗧𝗜𝗢𝗡 𝗦𝗔𝗕𝗢𝗧𝗘𝗨𝗥𝗦 𝗔𝗡𝗗 𝗡𝗘𝗨𝗧𝗥𝗔𝗟𝗜𝗭𝗜𝗡𝗚 𝗧𝗛𝗘𝗠, 𝗦𝗨𝗖𝗛 𝗔𝗦:

A. Power disputes among partners and directors, in which, driven by ego, decisions are postponed or biased to avoid conflicts;

B. Inefficient production of goods or services, poorly systematized, poorly led, poorly managed, poor generation of data for analysis of good KPIs for monitoring and decision-making;

C. Loss of competitiveness due to lack of innovations, especially due to neglect of market reading and customer acquisition desires;

D. Expensive production lines of products and services, obsolete in technology/digital or problematic;

E. Market activity being replaced by new trends arising from innovation.

A frank, objective, synthetic mapping, visually easy to understand systematically should be developed, reviewed, discussed, and an immediate action plan should be activated, including possibly creating a CRISIS COMMITTEE.

In the following posts, Terus Consultoria will continue with part two of this relevant topic.

"𝗧𝗲𝗿𝘂𝘀, 𝗶𝗻𝘁𝗲𝗹𝗹𝗶𝗴𝗲𝗻𝗰𝗲, 𝗮𝗱𝘃𝗶𝘀𝗼𝗿𝘆, 𝗰𝗼𝗻𝗰𝗿𝗲𝘁𝗲 𝗰𝗮𝘀𝗲𝘀, 𝗮𝗻𝗱 𝗱𝗲𝗰𝗶𝘀𝗶𝘃𝗲 𝗮𝗰𝘁𝗶𝗼𝗻𝘀!"

𝗖𝗼𝗻𝘁𝗮𝗰𝘁 𝗧𝗲𝗿𝘂𝘀 𝗿𝗶𝗴𝗵𝘁 𝗮𝘄𝗮𝘆: 𝗰𝗼𝗻𝘁𝗮𝘁𝗼@𝘁𝗲𝗿𝘂𝘀𝗰𝗼𝗻𝘀𝘂𝗹𝘁𝗼𝗿𝗶𝗮.𝗰𝗼𝗺.𝗯𝗿 / (+𝟱𝟱 𝟭𝟭) 𝟮𝟱𝟬𝟯-𝟲𝟳𝟰𝟳.

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