Establishing turnaround potential before commencement of formal turnaround proceedings

Background: Determining the turnaround potential of a firm has plagued academia and practice. Existing failure prediction tools yield limited insight into are heavily dependent on financial metrics. This framework made valuable contribution to research in this field as it added new perspective for decision-making purposes.Aim: Practitioners, judges or directors require quick, efficient aid developing reliable opinion likelihood liquidation intending commence with reorganisation proceedings. The aim is speed up economically inefficient firms that attempt seek shelter reorganisation.Setting: study was conducted South Africa use experts management.Methods: indicators were derived from strong widely used managerial tool known Delphi method. relative importance each element allocated using powerful mathematical model analytic hierarchy process (AHP).Results: identified key nine liabilities accompanied weights framework. Anchor scale values proposed indicator assist its application. timely application, considers availability accurate data, inexpensive implement easy interpret.Conclusion: developed include broader spectrum deciding viability recovery reorganisation.