Tag Archives: creativity

How does business recover from CV19? – What they are saying

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A common theme I am reading for any business trying to phoenix back from corona virus is the relationship between the business leaders/owners and the staff. Many are saying the future for companies will be based on the trust between the employer and the employees. It will be this trust that will enable companies to source knowledge and ideas that will either differentiate them from their competitors or allow the company to improve its ROE (return on effort). Having a few good ideas will no longer cut it as many of these will be based on pre-covid-19 virus (CV19) models. Ideas will need to be uninhibited, dynamic and rapid. The “I know best” attitude will become the antithesis to gaining ground after the CV19 period, it will probably even be before that.

Another theme is to use this change in business dynamics and market to take or even make your own opportunities. Business will not be the same as it was, for a multitude of reasons, so waiting to see what happens will be a bad decision> some businesses are now in survival mode, they are in their death throws and there may be nothing they can do if they stay the same. It will not be a case of jumping on the band wagon and make masks, or hand sanitiser. Yes, they were good ideas at the time but after CV19 is gone something else needs to take its place.

And many are talking of the change in relationships, people will begin to be more aware of others, to help and to care what happens in their community (at least a lot more than before CV19). There is also a lot of conversations at all levels – including Govt – about the need to acknowledge those who actually carry and hold up the economic and social world we live in, the nurses, the teachers, the supply chain people as well as the emergency service personnel – all those who have been typically paid the least. It behoves humanity to look after all those who add so much value for so little compensation.

More, very valid and informative information and articles have been written. I have found the following great, some have been enlightening:

After coronavirus: ‘We can’t go back to business as usual’  https://www.theguardian.com/money/2020/apr/04/coronavirus-business-finance-work-property

Why companies need a role-based model in the Covid-19 paradigm
https://economictimes.indiatimes.com/jobs/why-companies-need-a-role-based-model-in-the-covid-19-paradigm/articleshow/75139253.cms

How To Reinvent Your Business To Thrive After The Coronavirus https://www.forbes.com/sites/tedladd/2020/03/26/how-to-reinvent-your-business-to-thrive-after-corona/#6b0675e043e2

How the Coronavirus Is Already Rewriting the Future of Business
https://hbswk.hbs.edu/item/how-the-coronavirus-is-already-rewriting-the-future-of-business

COVID-19: Implications for business
 https://www.mckinsey.com/business-functions/risk/our-insights/covid-19-implications-for-business

Coronavirus: your guide to winners and losers in the business world
https://theconversation.com/coronavirus-your-guide-to-winners-and-losers-in-the-business-world-134205

Finding the Hidden Business Opportunities Around the Coronavirus Pandemic
https://www.inc.com/david-finkel/finding-hidden-business-opportunities-around-coronavirus-pandemic.html

A new supply chain paradigm

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Every generation has had its own global catastrophe, whether caused by ourselves or nature. And as every catastrophe challenges societies and cultures at the time, they also challenge the status quo. Yes, things do and will change.

COVID-19 has laid bare weak links in supply chain around the world. And now all involved in the supply chain are beginning (if they haven’t already) to review, reassess and consider other options.

But, did we really get it all that wrong based on the data and information we had at the time (prior to covid-19)? Definitely, many a BCP written within the last 10 years highlighted a number of weaknesses including those we see now, what we did not count on was the fallout of these – the subsequent events that have made the risks to the supply chain multiply as time goes on. China states it is getting its processes back on line, but the bull-whip effect from the panic buying, hoarding and (likely) government actions to limit continued or even secondary covid-19 events, will take its toll for a while to come.

Markets will change as the psyche of the customer changes, and the supply chain will morph into something completely different to today’s. We will probably see a rapid return to “make/buy local’ and although it will not be a complete shift, it will definitely be the critical components (for manufacturers). This change will become a feedback loop, those in the BRICS group will change their inter-relationships as China’s market/manufacturing changes.

As with any major disruptor – not a new invention or new software – but real disruptor a global one, there will be a repositioning of power, as governments rewrite legislation to control the flow of goods (they are already looking at this), countries lose their attraction as costs to obtain goods increase, manufacturing moves back on-shore as companies lessen their reliance on cheap but long supply chains.

Other considerations for the supply chain will be the environmental risks that are now regularly appearing, such as rampant fires, devastating floods and earthquakes – irrespective of where/why/who, the environment will be a consideration. As will the geopolitical world we have woven for ourselves. Future forecasting and supply chain planning will not be limited to cost mitigation, improved utilisation of resources, reduction in inventories and velocity to market. There will be a multitude of risks that will need to be:

  1. Identified
  2. Classified
  3. Quantified and then
  4. Mitigated as best as possible

As I see it, there will be an increase in local suppliers (although not for everything), there will be an increase in the need for information all along the supply chain prompting an increase in IOT and probably, block-chain, along with advanced forecasting software, including AI and predictive modelling. There will also be a need for more collaboration between partners to enhance efficiency plus much more.

Globalisation, will still be around but not in the way we have become accustomed to. And, although we will return to BAU, it will be a new and for a while a very challenging BAU. This is about Change with a capital “C”, it will be an exciting time, for tomorrow will be driven by those who can think laterally, out-side-the-box, have a variety of experiences, a range of skills and not be attached to the “old ways” – at least for the near future.