Execution · Plan

Turnaround plan

The sequence for a business in trouble: stabilise cash, then cost, then revenue, with stakeholder confidence run alongside because the bank and the board move faster than the plan.

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Stage
04 Plan
Works at
Corporate, Business
Maturity
Scaling → Large organisation
Time
One to two weeks for the plan, then a weekly cadence to run it

What it is

A staged response to a business in distress, run in a strict order because doing them together burns the time distress does not allow. Cash first, because insolvency is the actual clock. Cost second, because it is inside management's control and moves fastest. Revenue third, because it is slowest and least certain, and betting on it before cash is stable is how turnarounds fail.

Cash stabilisation
The thirteen-week cash flow, covenant headroom, and the specific actions — payment terms, discretionary spend, asset sales — that extend the runway. This is the only workstream with a genuine deadline.
Cost reduction
Structural cost out, sequenced from fastest and least damaging to slowest and most disruptive. The bank and the board want to see this moving before revenue plans are even discussed.
Revenue recovery
Only credible once cost and cash are stabilising. A revenue plan presented as the whole answer, before the cost line has moved, reads as denial rather than a plan.
Stakeholder confidence
The bank, the board, key customers and the workforce move on a different clock from the plan itself, and faster. Someone owns this communication explicitly, separate from whoever is running delivery.
The weekly cadence
Distress is managed weekly, not monthly. A monthly board pack is the wrong instrument for a business whose cash position can move materially in a fortnight.
The mistake people makeRunning cost and revenue work in parallel to look decisive, or leading with a revenue story before cash and cost credibility is established. Both read as denial to a bank or a board that has seen a turnaround before.
What it’s forPerformance has deteriorated to the point that cash, covenants or stakeholder confidence are now the binding constraint, not strategy.
What it’s not forThe business has time and headroom to run a considered strategy process. A turnaround sequence imposed early wastes the discipline it needs later.

How you run it

  1. Build the thirteen-week cash flow firstWeekly, not monthly. This is the instrument that tells you how much time the rest of the plan actually has.
  2. Name every action that extends the runwayPayment terms, discretionary spend, asset sales, standstill discussions. Date each one and assign an owner.
  3. Sequence cost reduction from fastest to most disruptiveStructural cost the business controls directly, moved first. This is the credibility the rest of the plan is built on.
  4. Hold the revenue plan until cost is movingA revenue recovery story presented before cost credibility is established reads as denial. Sequence it deliberately behind cost, not in parallel.
  5. Put stakeholder confidence on its own weekly rhythmBank, board, key customers and the workforce, each briefed on a cadence that matches how fast their confidence can move, not how fast the plan updates.

The prompt

Two ways to run it

Run this tool in your own Claude

The short prompt starts your partner against the library on your disk. The long one carries everything with it and needs nothing installed.

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