Turnaround
Unlock enterprise value. Shift into action with Deloitte.
Deep sector knowledge, operational capability, and restructuring acumen applied to triage and address distressed or corporate sub-optimized performance quickly and comprehensively.
Connect with us
It’s a new world
Rapidly changing markets, competition from non-traditional sources, and economic disruption driven by global crises are creating significant new challenges for Canadian companies and their boards. Organizations with entrenched or outdated business models may eventually face business failure if they don’t adapt to these changing times. Even profitable companies may find achieving performance targets and growing enterprise value harder than ever before. However, there are ways for your business to alter its trajectory and thrive in the long run.
When to Shift with Deloitte?
Our experienced turnaround team works closely with boards and financial stakeholders to apply deep sector knowledge, operational capability and restructuring acumen to analyze, triage, and address a stressed, distressed, or corporate sub-optimization scenario—quickly and comprehensively. We provide practical, immediate hands-on assistance to reorganize operations, strengthen capital structures, and identify and implement performance improvement opportunities.
When your organization is under stress or operating short of expected performance, we can help:
Turnaround in action
A leading organization experienced operational and financial challenges with one of its subsidiaries.
Solution
A rapid triage of different options to drive profitability was developed along with a market
assessment, detailed execution plan, and financial model.
Under a self-funding program, focus was placed on improving pricing and capital plant effectiveness.
Results
- Created and executed a plan for up to $75 million of improvement opportunities. This was based on the market assessment and operational review in sales, maintenance, operations, and manufacturing foundations.
An organization had been running quarterly losses at over $100 million, causing a huge drain on liquidity.
Solution
Radically reducing bloated SG&A costs by aligning costs with capability that was needed to run the business rather than what was held initially.
Results
- 37% reduction in SG&A (~$140 million) fully executed by management within 10 weeks
- Budget confirmed positive EBITDA for Canadian business post-implementation
An organization needed assistance in the turnaround of a distressed car rental company under hard restructuring targets and tight timelines.
Solution
Identified financial and operational opportunities for growth, redesigned policies and practices, and built a cash flow forecast to improve cash management and profitability.
Results
- $85 million broadly in EBITDA improvements
- Supported the acquisition of a competitor and drove additional integration and operational improvements for the combined company
The Shift by Deloitte difference
With us, you’ll be collaborating with a unique turnaround specialist team with a very deep understanding of Canadian business and marketplace. We bring insight to define your purpose, marshal your resources, and plug gaps to improve business performance. Our skills and experience add value at all points on your company’s transformation journey. Our team combines operational experience, sectoral focus, and key insights, to get to the right answers for our clients and implement solutions quickly.
Your advantage: A sustainable resolution to drive your organization’s profitability and enterprise value. Your business turned around and set on an upward trajectory.
How boards can develop an activist mindset to drive secure value
In this report, we outline how companies can carry out self-assessments to support their value creation opportunities, divestments, and disruptive M&A, which targets small, fast-growing businesses and technologies to capture innovation-led growth.
Recognizing early warning signs: When to prepare for a corporate turnaround
One of the most effective ways to halt any downward cycle is to identify the early warning signs and take action. Read our latest article to better identify potential issues and take proactive steps to address them.
2023 MarginPlus survey: Transforming through disruption
Inflation, rising interest rates, and supply shortages have business leaders asking the same question: How can we capitalize on margin improvements in today’s economy? Our 2023 MarginPlus survey reveals how nearly 300 executives are overcoming these obstacles, focusing on tech-enabled transformation strategies, and staying agile to drive growth.
Connect with us
Contacts
