Vantage Performance Podcast Turnaround Management and Business Resilience

The backdrop to the 2024 Federal Budget is one of persistent high inflation and subsequent cost-of-living pressures around the country. How did Michael Fingland, CEO of Vantage Performance, score Treasurer Jim Chalmers this year? Well, with one eye on an early election, the government did just enough to “appear” to be helping households and businesses.

Michael discusses the economy as a whole, particularly the influence of immigration levels, and the recent increase in company collapses and job losses. Tighten your belts for a rough year or so ahead.

Vantage Performance – https://vantageperformance.com.au/
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When a business is facing distress, it’s worth considering bringing in a Chief Restructuring Officer (CFO). They’re often best equipped to develop a robust turnaround plan, negotiate with suppliers and financiers, and manage the execution of the plan, according to Michael Fingland, CEO of Vantage Performance.

The decision to bring in a CRO, he says, is made by the company often based on recommendations from key stakeholders. The skills of a CRO can be financial or operational, depending on the specific needs of the business. They interact with stakeholders such as creditors, shareholders, and employees to gain buy-in and support for the turnaround.

Vantage Performance – https://vantageperformance.com.au/ 
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The many thousands of Australian businesses which fall over the cliff each year impacts the economy by billions of dollars. The social consequences are also severe, including bankruptcies, stress, layoffs, unemployment, and even suicides. To avoid collapse, Michael Fingland, CEO of Vantage Performance, says businesses should regularly assess their financials, identify critical KPIs, and confront the brutal facts. It is important, he insists, for directors to seek outside help and for stakeholders to nudge them towards seeking assistance.

Vantage Performance – https://vantageperformance.com.au/
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How well prepared is your business to withstand any kind of shock? In this episode Michael Fingland introduces ‘productive paranoia’, a concept made famous from business author Jim Collins. Productive paranoia is the trait of being constantly alert to potential disruptions and challenges that could impact a business.

Michael explains the process of brainstorming initiatives and creating a plan to combat potential changes. Productive paranoia can be used as both a defensive and offensive tool to protect and strengthen a business.

Vantage Performance – https://vantageperformance.com.au/
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Working capital, also known as cash flow, is the lifeblood of every business, yet many businesses fail to understand and track it. Michael Fingland, CEO of Vantage Performance, says as a business grows, the amount of working capital increases. He explains the need to calculate working capital days; for example, capturing the period from purchasing raw materials to receiving cash for sold goods. Tracking and improving debtor days, stock turnover, and creditor days can unlock cash and subsequently help improve cash flow.

Vantage Performance – https://vantageperformance.com.au/

 
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Increased stress levels are impacting businesses, and leaders need to be aware of the personal stressors that employees may be facing. That’s according to Michael Fingland, CEO of Vantage Performance, who says implementing stress management techniques in the office, such as yoga classes and team outings, can help alleviate stress and improve staff morale.

Checking in with employees and demonstrating care is essential for understanding their well-being and addressing any issues they may be facing. Leaders should prioritise self-care practices, such as exercise and breathwork, to maintain their own well-being and set an example for their team. The year ahead is predicted to be challenging, with potential economic and political uncertainties, making it even more important to focus on mental health and productivity initiatives.

Vantage Performance – https://vantageperformance.com.au/
See omnystudio.com/listener for privacy information.