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By 2010 the company had become the best-performing stock in the S&P 500, worth per share and earning investors a return of 29 times. Reversing free fall takes enormous energy and resources.

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We also found that free-fall situations are responsible for some of the largest swings in value — not only down but also up.

If handled properly, free fall represents an enormous opportunity.

Just think of Apple, which pulled itself out of catastrophic free fall in the late 1990s and has since risen to spectacular new heights. After studying and working with hundreds of companies in free fall, we’ve identified concrete steps that leadership teams can take to engineer successful turnarounds and transformations.

When a company is in free fall, it makes sense to replace the management team, for all sorts of reasons.

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