Leadership in Restructuring and Crises Situation

The real test of strength, character, and knowledge is done in adverse situations. Good leaders are those who stand firm during these testing times and are capable to turn things around. Crises in business are events that endanger the business and its associated elements including the investors. So, how do we know that a firm is suffering from the crisis? Well, the crisis involves threat to organization, surprise element, and quick decision making. Similarly, restructuring is also a very critical and important stage for the sustenance and growth of any business. The major reasons for this turnaround include:

• High cash flow and profit target.
• Enhancement in operational efficiency.
• Strengthening the organizational set-up.

Characteristics of the perfect leader to handle these critical phases:
These situations are very critical and they demand a person of great caliber to handle in apposite fashion. The leader must be capable of:

• Reinstating energy, enthusiasm, motivation, discipline and belief.
• Focusing on the ambition, agenda, and strategy for the effective turnaround or crises management.
• Handling the diverse teams proficiently and maintaining an apt co-ordination among the team members.
• Propagating and imbibing the new mindset in the human resources.
• Comforting the stakeholders that things will be catered in a productive manner.
• Handling a rigorous management system.