Enhancement of the role of strategic leadership to ensure a successful turnaround strategy

Abstract

The cement industry has faced prolonged operational, financial, and competitive pressures stemming from declining demand, rising operating costs, infrastructure backlogs, regulatory constraints, and intensified competition from imports and new rivals. These challenges and new dimensions underscore the urgent need for effective turnaround strategies that restore organisational stability and long-term capabilities. The study examines how to enhance strategic leadership to ensure successful turnaround implementation in the cement industry. Considering leadership theory and turnaround strategy literature, the research identifies key indicators signalling when a turnaround is required, including continuous financial decline, operational inefficiencies, loss of market share, and critical skilled personnel. It further analyses the internal factors that the company can influence and the external factors that it has less influence over, which affect the design and execution of turnaround strategies. The study followed an exploratory qualitative methodology to investigate research questions. Data collection involved semi-structured interviews with nine senior-level participants in the cement industry. The findings showed that adaptive leadership, which improves operational efficiency and promotes effective cost management and employee engagement, is vital for driving performance recovery, regaining market share, and rebuilding organisational capabilities. The study recommended that leadership development should emphasise strategic clarity, operational discipline, people engagement, and skill enhancement to enable the company to improve efficiency and create a competitive edge in a rapidly changing and challenging business environment. The insights benefit both academia and industry by connecting theoretical ideas with real-world leadership demands, providing practical guidance for leaders managing complex turnaround situations.