What will your business look like coming out of the pandemic? You might think it’s too early to tell or that circumstances are out of your control, but this is no time to be passive. With the help of business continuity consulting, you can be prepared for whatever is next.
Unprecedented, disruptive circumstances like COVID-19 often lead to innovation and prosperity. That’s especially true for companies that acted early, putting ambitious plans in place while their competition clung to the status quo. By positioning themselves to sprint into the “new normal,” these forward-thinking companies gain (and keep) meaningful market-share.
According to CFO.com, “Although it’s uncertain when the economy will start to recover from the impacts caused by COVID-19, it is not too soon to think about your organization’s future plans. As social distancing makes this crisis unique, CFOs should consider exploring different recovery models to determine which markets and segments could bounce back first. For example, economic downturns and recessions often result in layoffs, furloughs, and downsizing.
Yet, companies will likely continue to face the long-term talent shortages they have experienced in recent years, especially during and after the recovery. A downturn presents an opportunity to hire critical talent from other organizations and universities that may be forced to downsize as they deleverage. Furthermore, this unique circumstance can provide leaders an opportunity to ensure their digital transformation projects are intact, along with ensuring their R&D strategies are in place to tackle any potential future threats that may be on the horizon.”
Of course, green-lighting projects and earmarking investments at a time of economic uncertainty creates a certain amount of risk. That’s why proactive planning is so important. Go forward boldly...but wisely. Use this five-step plan to seize every opportunity while still covering all your bases:
- Exercise Caution – Avoid any unnecessary setbacks by first planning for likely risks. Review and update the business continuity plan based on present circumstances and future goals. Spend some time studying insurance coverage, cash reserves, and funding sources. An honest review of where your business stands and how much risk it can tolerate helps guide you towards realistic plans in the following steps.
- Finish Digital Transformation – Put technologies in place that can make your company more efficient, productive, or collaborative during the pandemic. The right solutions integrated successfully together could be the lifeline that keeps operations afloat. Alternately, continuing to delay digital transformation any longer will put a company at a serious disadvantage post-Covid.
- Upgrade Accounting – Lay the groundwork for whatever accounting needs the next iteration of the business model creates. Skills like budgeting, ongoing analysis, continual reforecasting, and what-if scenario modeling are critical right now. When additional accountants aren’t available to expand or refine accounting capabilities, consider a technology like Sage Intacct.
- Become Resilient – Start planning for the next big disruption in the midst of the current one. Review business processes and supply chains for weaknesses and failure points, then put redundancies or contingencies in place wherever possible. After COVID, we can’t get complacent.
- Create Recurring Revenue – Find ways to adapt existing business processes to generate recurring revenue, whether the subscription is for software or baked goods. Businesses with this model have fared much better during the pandemic than others with a transactional business model. When recurring revenue isn’t feasible, consider how your products, services, and revenue model needs to change based on the long-term effects of the pandemic.
Some businesses will accomplish every point on this plan, others just one or two. Either way, any business that uses this time to plan and prepare gains stability at a time when it’s in short supply. Make the most of your efforts with the help of a business continuity consultant: your navigator through the uncertain times towards a more prosperous future.
Before continuing the planning process, download a free eBook detailing the steps to Post-COVID-19 recovery.