Tony Evans - interim manager. Tony has 15 years experience operating as an interim CEO and turnaround practitioner. He is currently on an assignment through interim partners, at an FMCG business based in the Middle East.

Q. As a specialist Turnaround Director, what in your view are the critical success factors that will pave the way to a sustainable recovery?

A. I regard this as a fairly challenging first question.

To achieve a sustainable recovery, whether for a business or other organisation, up to and including a country; there has to be a balanced use of key resources: primarily cash, people (skill) and time.

For the world of true turnaround, we have to recognise the very close relationship with access to funding. In such turnaround circumstances, this means convincing the moneyed stakeholder(s) of the validity of the plan. This plan describes what the organisation’s people will deliver, when and for how much. The stakeholder dialogue also needs to show their commitment, energy, skill and togetherness to see things through.

The circumstances demand at least neutral cash flow as soon as possible in the plan, consistent with making the right decisions on cost cutting and realignment of expenditures to ensure the core value added activities get done. People will have to work more rapidly than at any time in their working lives quite probably and after a period of high stress, long hours and uncertainty that has lead to the current position.

Sustainable recovery requires elements of true leadership and great communication so that all stakeholders are kept up to date with the progress being made.

Q. Given that you are an experienced Interim Chief Exec, what are your predictions for the turnaround marketplace over the next 18 months?

A. I should be charging for this information. Overall, I see the possibility for some improvement.

Given that the turnaround market ought to have gone into overdrive as a result of the ‘credit crunch’, and it didn’t; perhaps understanding why this happened, will help us understand what needs to change to see the market do what it needs to do, at least for UK plc.

Many companies have been allowed to tread water with low interest rates in the market and banks being generally reluctant to enact turnaround due to historic attitudes of not interfering – and then doing so when it is very late, or too late in the day. Much of this is to do with supporting existing management but in 2008/9, both in the banks and in companies, many executives would be facing this kind of situation for the first time, after at least a decade of economic growth (largely on the back of expanding credit).

Some of the UK banks, although improving their balance sheets, remain relatively weak, so it would not be reasonable to expect them to change their approach to client turnaround until they feel that their own house is sufficiently in order. On top of this, the Bank of England appears to be quite happy to ignore its remit of keeping inflation under control and is keeping interest rates low.

Market expectation in the UK is increasingly looking for interest rate increases, even if small, but there are no real signs yet that I can see.

On the positive side, strong companies have built significant cash reserves and/or lowered their debt positions considerably. This should trigger M&A, removing ‘non-core’, perhaps after turnaround for sale, buying additions to strengthen strategic activity and so on. Private equity is showing some signs of increased activity and, where this relates to more stressed purchases, I believe there is opportunity for the turnaround interim.

Q. What are your thoughts on the current opportunities for interim managers, in terms of levels of demand and rates?

A. There should always be demand for high quality. Positioning in this way is important for the experienced interim.

Otherwise, I think this is driven primarily by circumstances in each specific situation. Where the interim is dealing directly with the client, they have the opportunity to explain their return on investment. We must all work with the client to avoid the spurious comparison with a permanent salary. I compare myself with a ‘CAPEX’ and ask if a return within 12 months would help cashflow.

The approach through a provider ought to be similar but it is difficult for me to know what the pressures are in that commercial dynamic.

Q. What do you look for in a potential interim assignment?

A. Personally, I look to see if I think the work is deliverable and whether the client has a realistic understanding of what they are asking for. I look for work that has challenge, with complexity being present (or perhaps the client wouldn’t need me in the first place). An international element adds to the interest, and if I am honest, I also look for something that maybe I haven’t done before within the overall remit. I do not feel constrained by sector. Size of business is usually over £50M t/o to sustain the fees and I don’t mind where the work is based as long as it isn’t a war zone.

Q. Why did you choose interim management as a career?

A. It allows me to concentrate on the things I enjoy – implementing transformational change, which I was good at throughout my corporate career. The psychological contract is between peers and not one of ‘master/servant’ and I have much greater freedom to say what I think. People often say that you don’t have to get involved in ‘office politics’ but I don’t agree, at least at this level. It is important to understand it and deal with it. The assignment will be in jeopardy if this is not done.

Q. What do you consider your biggest achievements in interim management?

A. This feels like tempting fate.

I have never lost a business in true turnaround. I have brought 2 companies into soft landing administration (one quoted and one UK subsidiary), protecting all creditors in a phoenix sale in one and generating £105M of added value in another in 8 weeks (plus removal of a balance sheet downside in case of failure of c£70M). In these cases, that was the challenge undertaken.

I am also pleased with taking organisations through the 3 stages of turnaround, which includes establishing the growth phase as well of course (when allowed by the client), having to deal with a variety of elements to make this happen. It is definitely not a case of ‘one size fits all’.

I am pleased to be able to ‘sign off’ each assignment rather like an artist will sign a picture. I ‘own’ the result.

Q. What advice would you give to someone thinking of a career in interim management?

A. This answer comes with a declaration that I am a director of the Institute of Interim Management.

Please think carefully about what you want from your life and career. Go to the IIM website ( www.iim.org.uk ) and seek out information generated by interims who run the institute and are happy to give time to share their experience. Find out who the right, best, interim providers are for your service offering and register with them. Really think of yourself as a company and prepare your marketing plan accordingly. Network as widely as you can and then build strategic strong links on which this network will hang. Be clear about the value of your offering and make sure you have worked out the financial risk of being in and out of assignment.

Q. What do you enjoy doing outside of work, what would you like to do more of in the future …any other interesting comments you’d like to make?

A. Interests outside work tend to be of a sporting nature. I still play senior club cricket and am Chairman of the club in Pickering and I am still a ‘masters’ swimmer and am President of the York City Baths Club. I am also a member of the Yorkshire Association of Business Angels and get involved with the University of York management school.

I mentioned earlier my involvement with the Institute of Interim Management, which I regard as both enjoyable and work related in the sense that it puts something back into the profession.

Something that I regard as covering all my life is that we are a Christian household and I hope that I carry this with me in all that I do and with the people I interact with.