GIVEN the situation where no growth is actually "growth" for                                                                                          
most companies meeting the recession challenge head on, a good                                                                                        
turnaround strategy may just work in the short term.                                                                                                  
                                                                                                                                                      
Such a strategy must include the elements of tactics, market                                                                                          
focus, operations and cost-effectiveness measures. But                                                                                                
companies caught in the turnaround euphoria, need to heed some                                                                                        
good advice.                                                                                                                                          
                                                                                                                                                      
Firstly business is cyclical.                                                                                                                         
                                                                                                                                                      
Periods of swings from upturn to downturn and up again, are                                                                                           
very common.                                                                                                                                          
                                                                                                                                                      
In good times, the rule for companies is to consolidate and                                                                                           
prepare for the worst.                                                                                                                                
                                                                                                                                                      
The trend however, has been for the companies to go on a                                                                                              
spending spree.                                                                                                                                       
                                                                                                                                                      
We have witnessed what had happened when the crunch came in the                                                                                       
wake of the financial crisis that hit the region recently.                                                                                            
                                                                                                                                                      
Secondly, it is always a good move to create value for the                                                                                            
goods and services produced.                                                                                                                          
                                                                                                                                                      
This can be the only approach to ensure the company's survival.                                                                                       
                                                                                                                                                      
Creating value may involve some risk taking. A back up plan is                                                                                        
necessary to cover such aspects as market survey and research                                                                                         
on customer preferences.                                                                                                                              
                                                                                                                                                      
The aim is to gain customer confidence.                                                                                                               
                                                                                                                                                      
Thirdly companies need to plan for change.                                                                                                            
                                                                                                                                                      
Changing plans midstream, can lead to disastrous consequences.                                                                                        
                                                                                                                                                      
The former will ensure that outcomes can be anticipated and                                                                                           
appropriate contingencies can be put in place.                                                                                                        
                                                                                                                                                      
Fourthly, avoid resistance to change.                                                                                                                 
                                                                                                                                                      
This is true for many of the family-owned businesses and the                                                                                          
small- and medium- sized enterprises.                                                                                                                 
                                                                                                                                                      
Old habits die hard. Refusing to take remedial steps could cost                                                                                       
the companies dearly.                                                                                                                                 
                                                                                                                                                      
Part of the reason can be traced to outdated management styles                                                                                        
and attitudes of complacency adopted by the leadership and                                                                                            
management.                                                                                                                                           
                                                                                                                                                      
Fifthly it is to be aware that when in need, turn to the                                                                                              
turnaround specialist.                                                                                                                                
                                                                                                                                                      
In other words, companies will have to take decisions quickly                                                                                         
to do so whenever the situation calls for such a turnaround.                                                                                          
                                                                                                                                                      
Leaving it to the last minute before taking action will only be                                                                                       
too late.                                                                                                                                             
                                                                                                                                                      
What are some of the options available?                                                                                                               
                                                                                                                                                      
Clear the decks. Confront the challenges squarely on. Seek out                                                                                        
the causes of the problems.                                                                                                                           
                                                                                                                                                      
Finally the turnaround specialist will start to look at the                                                                                           
numbers in particular the key performance indicators.                                                                                                 
                                                                                                                                                      
Go for a bail out.                                                                                                                                    
                                                                                                                                                      
Today's business scene in Malaysia can show off some pretty                                                                                           
good examples.                                                                                                                                        
                                                                                                                                                      
Negotiations must precede such exercises as both sides in the                                                                                         
matter have to feel comfortable with the offer.                                                                                                       
                                                                                                                                                      
When Governments are involved, the result can usually be a                                                                                            
complete bail out.                                                                                                                                    
                                                                                                                                                      
Watch the way it goes about bailing out the transportation                                                                                            
system in the country.                                                                                                                                
                                                                                                                                                      
When asked on how to turnaround a company in need of one,                                                                                             
Nicholas Zefferys, President of the American-Malaysian Chamber                                                                                        
of Commerce shared the following sound advice:                                                                                                        
                                                                                                                                                      
* Be creative                                                                                                                                         
                                                                                                                                                      
* Reorganise leadership                                                                                                                               
                                                                                                                                                      
* Change the marketing model                                                                                                                          
                                                                                                                                                      
* Improve Quality                                                                                                                                     
                                                                                                                                                      
* Put fires off                                                                                                                                       
                                                                                                                                                      
* Use the 80-20 rule                                                                                                                                  
                                                                                                                                                      
* Apply the 1-10-100 rule for long-term strategies.                                                                                                   
                                                                                                                                                      
However the strategies are to be decided, Zefferys did                                                                                                
underline his remarks by saying that there exist a cultural                                                                                           
difference in the way that companies in the West handle such                                                                                          
cases than in the East.                                                                                                                               
                                                                                                                                                      
Western companies would rather go for a quick fix.  Time is of                                                                                        
the essence for them.                                                                                                                                 
                                                                                                                                                      
In the East, he believes, people are more conscious of the                                                                                            
effect on human face and reputation to warrant the taking of                                                                                          
any aggressive action so quickly.                                                                                                                     
                                                                                                                                                      
Both have to be maintained and if need to, protected at all                                                                                           
costs.                                                                                                                                                
                                                                                                                                                      
Therein lies the reason why turnarounds are seldom the                                                                                                
preferred option for companies to take in a recession time like                                                                                       
the one we are seeing now.