Analysing the example of the business process regeneration of a Croatian

Analysing the example of the business process

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many companies and in the professional lives of numerous managers. Analysing the example of the business process regeneration of a Croatian corporation, the paper illustrates that the limits for decision about initiating bankruptcy proceedings can be postponed, provided that the company has a management capable of tackling the business crisis. Neither corporate case cannot be absolute template for business turnaround - every individual case possesses unlimited numbers of specificities and circumstances which localize general principles in some other situation. Anyhow, the analyzed case reveals merits that seem to be important: in the regeneration of the business process of a Croatian corporation the turnaround was achieved by using the crisis as an entrepreneurial challenge - by establishing new activities, starting from scratch and implementing a new core business within the organizational and financial structures of a dying corporation. As an illustration of how an effective crisis management can, after eight years of corporate accounts being blocked and with the total liabilities exceeding the value of corporate assets, lead to the recovery of, and creates new value for, a company, presented case can offer some suggestions: management should never give up during the anti-crisis battle; there are no miraculous solutions; and the battle for survival should always be attempted, regardless of the uncertainty of the positive outcome and the fact that a positive outcome may neighbour on a miracle. Finally, the paper documented that when a company in a crisis that has lasted several years successfully regenerates its business process and achieves a sustainable turnaround, the market share price increases emphatically. REFERENCES 1. Bibeault, D.B. (1999). Corporate Turnaround: How Managers Turn Losers Into Winners, BeardBooks, Washington, DC. 2. Fink, S. (2002). Crisis Management: Planning for the Inevitable, iUniverse, Lincoln. 3. Hancock, W. (2002). Security crisis management - the basics, Computers & Security , 21 (5), 397-403. 4. Mitroff, I., Anagos, G. (2001). Managing Crises Before They Happen: What Every Executive and Manager Needs to Know about Crisis Management, AMACOM, New York. 5. Platt, H.D. (1998). Principles of corporate renewal, University of Michigan press. 6. Slatter, S., Lovet, D., Barlow, L. (2006). Leading Corporate Turnaround: How Leaders Fix Troubled Companies, John Wiley & Sons Ltd. 7. Ulmer, R.R., Sellnow, L.T., Seager, W.M. (2006). Effective Crisis Communication: Moving From Crisis to Opportunity, Sage Publications Inc.
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8. Whitney, O.J. (1999). Taking Charge: Management Guide to Troubled Companies and Turnarounds, BeardBooks, Washington DC.
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