DEFINITION of 'Shakeup'

A series of events and processes that a company's management team facilitates in order to change and/or reorganize itself in an attempt to improve its current situation. Shakeups can occur when a business has undergone new ownership or has been performing poorly, and a shift in the company's team or overall strategy is a necessary catalyst for potential success.


For example, Al Dunlap was brought to shake up Scott Paper in an attempt to make the paper company successful. Over the course of an 18-month process of restructuring and cost cutting, Dunlap transformed Scott Paper from a $2.9 billion company into $9.5 billion company.

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