Keywords: recovery processes, recovery projects, effective communications, communication policies, company credibility, stakeholders, risk management, financial crisis management, recovery management, recovery plans, firm credibility, qualitative components, quantitative components, Italy, commitment, business recovery
Qualitative and quantitative components of a proposed model of effective recovery project for companies in crisis
An increased number of firms are affected by financial crisis and the crisis phenomenon is a very frequent occurrence in the lifecycle of a company. There are several objectives for this study. The first one is to identify the communicative and managerial role of qualitative and quantitative components of a proposed model of recovery project which Italian companies can adopt to overcome a crisis situation in a systematic manner. The second objective is to identify the company's behaviour to increase the firm's credibility with stakeholders during the recovery phase. Due to the absence of a model of recovery project in Italian literature and corporate regulation, a proposed model of recovery project may equip management and their advisors to deal with the delicate circumstances of financial crisis and increase their chances of returning to business as usual; this is also thanks to a distinction between qualitative and quantitative components and their communicative and managerial roles. The recovery project has to be an inclusive document, including both a qualitative and a quantitative component on the crisis phenomenon and recovery process. In addition, the recovery project has to generate commitment from all parties on the recovery strategy, even adopting different behaviours towards various types of stakeholders.