Thesis work paper Analysis and Interpretation

Turning around Software Companies
Although the turnaround management process of many companies is comprised of cutting costs (operational turnarounds), realigning products to new or existing markets (strategic turnarounds) and sorting out financing problems (financial turnarounds). Davidson (Davidson, 2001, 1-102) indicates the rise of software and information based companies and their corresponding wide variability in revenues has added a new difficulty for turnaround management. This view is supported by Blumling (Blumling, Frick, & Meehan III, 2002, 76) who reports that only one software turnaround in eight succeeds.