The world has fallen into the grips of the devastating effects of COVID-19, which has not only created havoc for peoples’ health but jeopardized the US, as well as, the global economy. The virus has affected certain industries, such as tourism and the airline industry, particularly hard, but it has also had a ripple effect, causing unexpected and surprising hardship to many other industries. But with meticulous planning and the implementation of innovative strategies, many countries are planning to reopen large portions of their economies in carefully planned “phases.” Businesses can focus on the most highly prioritized industries in order to resume normal day to day operations and functions helping their people and business owners’ bottom line to reduce the financial losses of this pandemic.
As most companies, small and large, have opted to digitalize their working activities, today’s new normal for businesses includes facing working-from-home difficulties, uncertain regulatory and compliance obligations, disrupted supply chains, cash flow problems, and navigating through the mechanics and intricacies of applying for new government financial assistance programs. In an online survey conducted by ET dated Apr. 14, 71 percent of respondents said their biggest fear was a global recession, up from 67 percent on March 30; 77 percent said they are looking at cost containment measures, and 65 percent are thinking about deferring or canceling investments. In this new and highly uncertain environment, companies are making, and will continue to have to make, tough decisions. The actions they take now must be tactical, but their focus should also align with the companies’ overall goals and objectives.
The keys to achieving success are advance preparation, agility, having accurate data, and a strong willingness to harvest good ideas from every layer of an enterprise. Much of a company and its decision makers focus on implementing tactical steps to preserve business value and on designing strategies for emerging stronger in the post Covid-19 economy. Some of these strategies include liquidity analysis, operational scenario planning, and an assessment of applying for the various government funded stimulus programs.
To help manage the current situation and implement the desired strategies for getting back firmly on the track of economy recovery, the need emerges to create separate plans and lines of responsibility for each area of a company’s business, and empowering key decision makers and management to act.