Two photography giants faced the same threat.
Digital cameras were killing film.
One company had a turnaround plan full of financial projections and cost-cutting measures.
The other changed how everyone in the building thought about the future.
Kodak went bankrupt in 2012.
Fujifilm thrived.
Same industry. Same threat. Different outcomes.
The difference wasn't the spreadsheet.
The Spreadsheet Illusion
Most business turnaround strategies start the same way.
Hire consultants. Build projections. Cut costs. Restructure debt.
It looks impressive in PowerPoint.
The numbers add up perfectly.
But when Monday morning comes, nothing changes.
Because the spreadsheet didn't address what actually breaks companies: how people think.
Your CFO can model a perfect turnaround plan. Your turnaround consultant can identify every inefficiency. Your board can approve every recommendation.
None of it matters if your warehouse manager still thinks "this is how we've always done it."
What Kodak Did
Kodak saw the threat coming.
They actually invented the digital camera in 1975.
They had the technology. They had the market share. They had the resources.
Their business turnaround strategy focused on protecting the film business while slowly transitioning to digital.
Conservative. Logical. Well-planned.
The problem?
Everyone inside Kodak still thought like a film company.
Sales teams sold film. Marketing promoted film. Executives measured success in film sales.
The identity was film.
Digital was the side project nobody really believed in.
When the market shifted, Kodak couldn't shift with it. The culture was too deeply rooted in the old model.
The spreadsheet said "diversify into digital."
The building said "we are a film company."
The building won.
What Fujifilm Did
Fujifilm faced the exact same crisis.
Film sales collapsed. Their core business was dying.
But their turnaround looked different.
CEO Shigetaka Komori didn't just restructure finances. He restructured thinking.
He told the company: "We are not a film company. We are a chemistry company."
That one reframe changed everything.
Suddenly, their expertise in chemical coatings wasn't just for film. It applied to cosmetics. LCD screens. Pharmaceuticals.
Their engineers didn't lose their jobs. They got new problems to solve.
The culture shifted from "protect what we have" to "apply what we know."
Fujifilm entered skincare, medical systems, and advanced materials.
Today, they're profitable and growing.
Same starting point as Kodak. Different mindset. Different outcome.
The Hearts and Minds Problem
Here's what every turnaround consultant eventually learns.
You can cut costs by 30%. You can restructure debt. You can optimize operations.
But if your people don't believe the turnaround will work, it won't.
Fear kills execution.
When employees think "this company is dying," they start protecting themselves. They stop taking risks. They update their resumes instead of their processes.
Management becomes resentful when outsiders tell them what to do.
Middle managers play politics instead of leading.
The best business turnaround plan in the world dies under the weight of internal resistance.
This isn't soft stuff. It's the hardest part.
Because changing a P&L is easier than changing how people see themselves.
What Mindset Actually Means
Mindset isn't about motivation posters.
It's about identity and belief.
Does your team believe the turnaround is possible? Or are they just waiting for the inevitable?
Do they see themselves as victims of market forces? Or as people who can adapt?
Do they protect old ways? Or explore new ones?
These questions determine whether your turnaround strategy actually works.
A real mindset shift requires three things:
Honest assessment. Stop pretending the old model works. Call it what it is.
Clear identity. Define what the company is beyond its current product. What capabilities do you actually have?
Proof of possibility. Show small wins early. Momentum builds belief.
You can't fake this with an all-hands meeting and a new mission statement.
People need to see evidence that the new direction is real.
The Turnaround Consultant's Real Job
If you hire a turnaround consultant who only talks about cash flow and restructuring, fire them.
Those things matter. But they're table stakes.
The real work is internal.
Getting the VP who built her career on the old product to champion the new one.
Convincing the plant manager that efficiency improvements won't cost his team their jobs.
Helping the sales team see opportunity instead of threat.
This is uncomfortable work. It's slow. It's messy.
It doesn't fit neatly in a project plan.
But it's the only work that actually turns companies around.
Because businesses don't fail because the math stops working.
They fail because the people stop believing.
The Question You Should Ask
Before you build your next turnaround plan, ask this:
Are we fixing the numbers or fixing how people think?
Because if you're only fixing the numbers, you're not actually fixing anything.
Kodak had smart people. Resources. Technology. Plans.
They didn't have the mindset to execute them.
Fujifilm succeeded because they changed the story their people told themselves about who they were.
Your business turnaround strategy can have perfect financial models.
But if your team doesn't believe in the future, those models are fiction.
Where Most Turnarounds Break
The break happens in the middle.
Initial changes create anxiety. Results take time to show.
This is where belief matters most.
If your team thinks "we're just delaying the inevitable," they'll go through the motions without real commitment.
If they think "we're building something new," they'll push through the discomfort.
Same actions. Different internal narrative. Different outcomes.
The companies that survive turnarounds are the ones where people internalize the new identity before the numbers prove it works.
They commit to the uncertain future instead of clinging to the familiar past.
That commitment doesn't come from a spreadsheet.
It comes from leadership that acknowledges reality, defines a credible new direction, and builds belief through consistent action.
The Real Turnaround Question
So here's what it comes down to:
Can your people see themselves succeeding in a different future?
Not the CEO. Not the board. The engineer in Des Moines and the manager in Sacramento.
Do they believe it's possible?
If yes, your business turnaround plan might work.
If no, it won't matter how good your financial model is.
Turnarounds aren't won in conference rooms.
They're won in the daily choices of people who either commit to change or quietly resist it.
The spreadsheet tells you what to do.
The mindset determines whether anyone actually does it.
Which one are you really working on?
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