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Business warned of interim recruitment necessity
A leading crisis management expert has identified the warning signs of businesses that require the services of an interim management specialist.
John M Collard, managing director of Strategic Management Partners, has highlighted the circumstances in which corporations should recruit a turnaround director to independently evaluate their operations.
Mr Collard suggested that business suffering from increased management and employee turnover, declining revenues, growing board of directors' resignations, rising debt to equity ratios are prime candidates for the services of an interim executive.
He also identified that most entrepreneurial companies and start-ups require the experience of a transitional executive during the vulnerable years before reaching maturity and that rapidly growing organisations can often find themselves in a position where the balance sheet will no longer support growth.
In a report on the subject, Mr Collard wrote: "Given the market forces of capitalism, all businesses are as vulnerable to trouble as they are to the lure of success."
These warning signs are increasingly being witnessed in the current economic climate, which the business advisory firm AlixPartners suggested last week had led to more companies recruiting interim executives.
Categories: Board & CEO