Lockdowns and disruptions in response to coronavirus have affected many businesses. Some more than the others. Hopefully, coronavirus disruptions are once in century thing, but most likely businesses will face some form of disruptions/breakdowns in the future as well. It is a good time for businesses to take a good hard look at themselves and figure out how they can use this opportunity to transform their business so they are better prepared for any unforeseen situation in the future. If your business is affected more than similar businesses, it is especially critical for you to act during decisively during this period.
We have noted some pointers below for businesses to think about.
- Enhance dynamic capabilities within your company
Equip your employees and yourself to develop dynamic capabilities. In a disruptive environment, dynamic capabilities to sense opportunities and transforming your business can go a long way in ensuring survival/growth of your business. Firms with these dynamic capabilities are better equipped to respond to external disruptions. For example, Deliveroo, a food delivery company sensed the demands for grocery delivery during the lockdown. Deliveroo is now also delivering groceries in Ireland. For further reading on dynamic capabilities, please see.
- Transform your business models to be less capital intensive
A capital intensive business is most likely to suffer more in any disruption and breakdown. Think of ways to transform your business models to have a higher level of liquidity. This provides flexibility to adapt in the face of disruptions. For further reading on increasing your liquidity, please see.
- Build an Ecosystem around your business
Risks caused by disruptions are shared between the businesses which are part of the ecosystem. The digital world has made building ecosystems a lot easier as information sharing is quicker and more reliable. For further reading on ecosystems, please see.
For further readings around the corona guide series for businesses, please visit http://www.perform-network.eu/category/corona-guide/. We have already added guidelines for improving/setting up your online presence, compliance with GDPR during the pandemic and general guidelines on mitigating the risk during the disruptions caused by the coronavirus.