Everyone at all levels is in distress due to the novel coronavirus. No one ever expected such horrendous time. 2020 has become a bad year from its first day itself. Whether its business, work, education, life, it’s all shattered. We all are well aware of the velocity of the infection of Coronavirus. Before anything could have done it reached every corner of the world. Knockout by the Covid-19 Countries called for lock-down and by mid of March 2020 the lock-down was world-wide.
Along with physical health the traumatic situation has also impacted mental health. The record from the trusted source says there is an increase in domestic violence during Covid-19. People are advised to stay at home to avoid infection rates however the stress level of people has increased and hence the violence at home is the outcome in several places. Among many other reasons few important reasons are loss of employment, fall of revenue and the uncertainty in the global economy environment. It has become challenging for most businesses to keep their financial helms turning during the lockdown period due to less revenue and the uncertainty in the global financial environment.
Being a B2B business service provider we decided to help our clients and businesses to deal with the current COVID situation and also how to stay intact until a solution to the virus comes out.
First we need to make up our mind with the fact that, it not just we but the whole world is affected by the pandemic coronavirus, even our target market.
So how to deal with this situation?
Few sensitive matters are;
- Have a look on your Business Model: The business model made need to be altered as per the demand of the current situation. The market is changing every day and its deteriorating. However with time it will be fine, till then you need to be more particular about revenue, cost, sales, collections etc. Also look after your bad debts and credit cycle.
- Plan policies for the coming few months: The current situation will not change with immediate effect; it will take at least a year’s time or maybe more. Hence accordingly the policies should be planned in order of 3-6-9 months in advance. The variables need to be paused are hiring, marketing and travel.
- Expenses vs. Revenue: It is of utmost importance for businesses to conduct a proper assessment of their fixed and variable expenses as well as the actual revenues. This strategy going to help even after the pandemic.
We will suggest some key point to remember and follow. It has been categorized in two major factors i.e.
- Managing Indoor
- Managing Outdoor
Managing Indoor: Employees, Owners, Board of Directors, Managers, and Investors etc. are the people of a Company/business to run the show. They are internal resources and the nature of the impact is direct. They serve the organization and are employed directly by the organization. Hence they are the primary responsibility of the company. Transparency is the best practice to have with all internal stakeholders during this crisis. Communicate with the contracted parties and look for legal immunities. Co-operate employees, even they are in stress due to the pandemic. Try keeping your team engaged.
Managing Outdoor: Suppliers, Customers, Creditors, Clients, Intermediaries, Competitors, Society, Government etc. are Outdoor stakeholders of an organization. We are all in this together, so stay transparent with your consumers about what your business is going through. Have formal communication with all the parties. Maintain a healthy relationship with all the stakeholders.
In these difficult times as an organization it is important to stand united and help one. Stay safe and stay healthy. As per the earlier epidemics after the epidemic the goes the global economy gets well-shaped. So let’s hope for the best and keep you prepared.
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