Appoint New Management Team (Warm Restart)
A Step in a Management Maneuver in the Mezzanine Stage of Startup Development
Appointing a new management team is a step in the process of restarting the Company. The Warm Restart is designed to boost momentum by shedding excess baggage. Appointing a new management team may need approval from the board, sometimes even from the investors.
A warm restart doesn't necessarily require changes to management, but it's sometimes more effective to have a new strategy implemented by a new team - the old team may not have the appropriate skills or it may be simply resistant to change. Often an incoming investor will demand these changes - sometimes they demand sweeping changes, like a new CEO and management team, other times the changes they demand may be relatively minor. The whole idea of the warm restart is to shed some of the baggage from the past and give a boost to momentum. To make this effective, it's vital that the team is upbeat. It's important that the employees are not demotivated and downbeat as a result of the changes in management. Sometimes this means making no changes at all, other times it means making a clean sweep, bringing in new blood and energy.
Jump to Related Sections of the Zero-to-IPO Book:
SVBS Learning Materials Related to this Milestone ~ From SVBS Online Courses:
Maneuvers Involving this Milestone: