The Transition/Turnaround Management
The profession of “Transition/Turnaround Manager” is new in Romania. It was created in US and Netherland in the ’70.
In France, the profession appeared only to the end of ’80 and knew a constant success. Now the French market is estimated at €300-350 million, with a growth ratio of 20 to 25%.
The transition or turnaround management projects are realized at top management level, and 70 to 80% of the missions concern the general, financial, human resources or industrial management. The industry is the main consumer of transition management services, with 60% of the missions. The rest of 40% is divided between services and distribution.
The transition management means to use high level external operational competences for a limited period to fulfill a specific mission. The reasons an organization needs a transition/turnaround manager are:
• Recovery in critical situation;
• Activity stop, externalizing of a service;
• Crisis management;
• Temporary replacement management;
• The activity development: foreign markets implantation, new product development, growth backing;
• Mergers and acquisitions;
• Process improvement: introducing a new technology, updating the accounting or IT system;
• Specific projects: changing the group strategy, backing for stock exchange listing, updating a reporting system or a budgetary procedure;
• A company or branch creation (start-up).
All those situations are exceptional and urgent. So, the transition management objective itself is based on the speed of the solution implementation.
The transition management is more than an interim, because is not only a reinforcement of the organization personnel for a limited period. One may say that the interim ensures the continuity, while transition management leads change.
Fulfilling the missions as the manager’s profile are different. The manager is “over-dimensioned” to the mission. He touches his objective using a specific methodology. In our case, it is a systemic and communicational methodology issued by adapting the studies and experiences of the Palo Alto school (Mental Research Institute) to the organizations.
The transition management is not consultancy. We are speaking here of hands-on people. From advices, we pass rapidly to action during missions and we are integrated to the organization personnel, unless the consultant that remains an external actor.
There are many key skills necessary for a transition or turnaround manager:
• Sound experience: Professional experience is a major factor in transition management. At least 15 to 25 years of professional experience in jobs of high responsibility are needed and, if possible, even with international exposure.
• Mobility: The missions may happen in the country or abroad. So a total mobility and availability are essential.
• Adaptability: The organizations using transition management are in emergency situations and need a very fast completely operational manager.
• Leadership: A transition or turnaround manager must be able to mobilize the teams in tense situations. So, a natural authority is necessary.
• Objectives and results orientation: The transition or turnaround manager is an operational manager that must be able to choose rapidly the solution to generate a maximum of results. He is clearly oriented in a logic of contribution and not one of power.