Strategic process undertaken by companies to improve efficiency, address financial challenges, and enhance overall performance. It involves reorganizing the legal, operational, or financial aspects of a company to adapt to new market conditions or rectify underlying issues. Common triggers for restructuring include economic downturns, technological advancements, competitive pressures, and significant shifts in consumer demand. The goal is to streamline operations, reduce costs, and optimize the company's structure to ensure long-term sustainability and profitability.

The restructuring process can encompass various activities such as mergers and acquisitions, divestitures, layoffs, outsourcing, and the reallocation of resources. Financial restructuring often includes renegotiating debt terms, consolidating debt, or securing new financing to stabilize the company's financial position. Operational restructuring may involve reorganizing departments, eliminating redundant processes, and implementing new technologies to improve efficiency. By realigning the company's structure with its strategic objectives, businesses can better position themselves to compete in the market and respond to external pressures.