Non-Finance Corporate Recovery Jobs

[grantone]

Does such a role exist formally?

I've always fancied a job doing company turnaround work in an operational role, I've been searching for a while, but everything seems to be done by accountants.

[Doofus]

I could possibly help. What's your experience?

[grantone]

Thanks for the reply, a brief summary;
- Mechanical Engineering Degree
- A couple of years doing process improvement in manufacturing for a large American company
- A couple of years doing engineering and maintenance purchasing for the same company
- Last 3 years doing process improvement for a large IT services company

[Doofus]

General / Operations Management 'specialists' are needed in recovery roles, and that's what I spend some of my time doing. However, I am called upon where my specific experience will be of value, and my immediate reaction is that you don't appear to have sufficient business management time under your belt yet.

The majority of recovery firms do seem to be, or were born from either legal or accouting firms, and you're right insofar as that can be an obstacle for those from other industries.

The process improvement stuff you've done is obviously of value, although a lot of recovery work has a much more 'immediate' focus.

By all means, talk to some recovery companies, but be prepared to start at the bottom. I work with a relatively small firm who get work directly from banks (so 'distressed' rather than 'in administration'), and I'm a consultant, so I'm called in when needed, and I do other stuff in the meantime. They don't have enough to keep me occupied full time (but I wouldn't do it if they did - I like my portfolio lifestyle).

I'm happy to talk to them for some specifics and some advice, but if you're looking for a full time 'job', I probably can't help through my own contacts after all.

Edited by Doofus on Tuesday 23 November 19:27

[lestag]

Doofus, out of interest, what are the typical periods for these sort of contracts. Full time for a few weeks? or a few days for a few weeks? (somehow I get the feeling your answer will be - both )

[Doofus]

lestag said:

Doofus, out of interest, what are the typical periods for these sort of contracts. Full time for a few weeks? or a few days for a few weeks? (somehow I get the feeling your answer will be - both )

Yup, both

I rarely do fulltime, because I have other commitments. Typically, I'll do a couple of days a week for three or six months, but we do put full time people in too, to do the donkey work.

Length of contract depends upon what we're trying to acheive, be it rescue the bank's investment, groom the business for sale, or pull it to bits and wind it up.

[grantone]

Doofus said:

General / Operations Management 'specialists' are needed in recovery roles, and that's what I spend some of my time doing. However, I am called upon where my specific experience will be of value, and my immediate reaction is that you don't appear to have sufficient business management time under your belt yet.

The majority of recovery firms do seem to be, or were born from either legal or accouting firms, and you're right insofar as that can be an obstacle for those from other industries.

The process improvement stuff you've done is obviously of value, although a lot of recovery work has a much more 'immediate' focus.

By all means, talk to some recovery companies, but be prepared to start at the bottom. I work with a relatively small firm who get work directly from banks (so 'distressed' rather than 'in administration'), and I'm a consultant, so I'm called in when needed, and I do other stuff in the meantime. They don't have enough to keep me occupied full time (but I wouldn't do it if they did - I like my portfolio lifestyle).

I'm happy to talk to them for some specifics and some advice, but if you're looking for a full time 'job', I probably can't help through my own contacts after all.

I can look at this as a longer-term option, I'm happy with my current company, but certainly can't imagine myself there for the rest of my working life.

I'd be interested in what kind of skills I'd need to develop over the next few years to make myself attractive for these roles?
Do they look for people with direct industry experience to drop in on each particular project or can a retail, service, manufacturing, etc... generalist be of use?

I'd also be interested in your experiences.
How do the struggling companies themselves cope with your presence?
Are they typically already accepting of the need to change?
If they're not bought in, does it take weeks of selling the ideas, or does the weight of the lender behind you change that?
Do the projects typically feel like a long hard slog, or is it consistently fulfilling?

Anyway, thanks again, I've liked the sound of a portfolio lifestyle ever since I worked with someone who consulted 2/3 days a week and helped his friend build an aeroplane the other 2/3 days.

[Doofus]

grantone said:

I'd be interested in what kind of skills I'd need to develop over the next few years to make myself attractive for these roles?
Do they look for people with direct industry experience to drop in on each particular project or can a retail, service, manufacturing, etc... generalist be of use?

I know there are academic routes into this field, but I didn't take one, so I can't really comment. I got there by starting, biulding and selling a company, and then buying into another which was, at the time, in the hands of the firm I now work with. I'm very much a generalist, with experience across a braod range of industries.

grantone said:

I'd also be interested in your experiences.
How do the struggling companies themselves cope with your presence?
Are they typically already accepting of the need to change?
If they're not bought in, does it take weeks of selling the ideas, or does the weight of the lender behind you change that?
Do the projects typically feel like a long hard slog, or is it consistently fulfilling?

The companies react in different ways, depending upon why we're there. More often than not, we replace all or some of the Directors, and any that remain are definitely 'on board'. I'm called in to work on specific jobs as and when needed (and available), so I'm not involved in the pre-appointment stage. I can't therefore comment directly on how those negotiations go (or indeed whether there are any), but generally the bank effectively owns the company by this time, and can therefore do as they please.

Just as with any business, a lot of it is hard slog. I am motivated by knowing that I'm adding value, and that's not always a quick thing to do, but because I don't do the detail work, I'm insulated from many of the demotivating aspects of dealing with recalcitrant employees, belligerent suppliers and the like.