In the current economic climate, many businesses are in survival mode – focusing on plans to get them through the COVID19 crisis.
This is understandable – businesses that don’t implement a plan risk falling by the wayside, to competitors who are facing the challenges head on.
There are plenty of articles out there about how to cut costs, use government assistance, and to just survive this difficult time.
But it’s also important to focus on your business plan for recovery.
Because – this too shall pass.
And when it does – where will your business be? How will you take advantage of a freshly booming economy?
Long term strategy – your business plan for recovery
It may be a cliché, but it is one that is in danger of being forgotten in the current stress.
There will be an end to the virus impact. Things will swing upwards, eventually. This is a known fact.
Businesses that have kept their absolute core assets and core team intact will recover much more quickly.
They might even thrive and seize opportunities that arise in the recovery period!
So how can you do this?
Don’t just cut!
Work out the strategically important stuff, the core things that will enable the business to not just recover – but recover with gusto!
Companies that master the delicate balance between cutting costs to survive today – and investing to grow tomorrow – will be more successful at the end of this.
When outlining your business plan for recovery, pay attention to your numbers. Understand which areas of your business drive the most value, both right now – but also into the future.
Ask yourself questions like
- what do you really need to preserve in order to capitalize in the recovery?
- what contingencies can you put in place to get the business processes back to normal in the shortest possible time?
- are there short term opportunities available to bring in revenue and help avoid cuts?
- are there opportunities for investment, that will lead to extended growth when the economy recovers?
Research by the Harvard Business Review has found – if you can reduce costs selectively by focusing more on operational efficiency, while investing relatively comprehensively in the future by spending on marketing, R&D, and new assets – you will come out on top of a recession.
Keep your brand in tact
The decisions your business makes during this time will be scrutinized – now, and into the future.
If you’re able to keep your doors open – what are you doing to support others in the community, to help them do the same?
How are you leading by example during this tense, uneasy time? Are you making wise, fair decisions?
The trust you have built over time needs to remain intact, in order for your business to get back to where it was.
Focus on how you can continue to engage loyal clients/customers during the downturn, so that they are still with you at the finish line.
Now is not the time to stop marketing. Your brand needs to remain visible and the trust needs to be maintained. If you are seen as a leader and positive influence during this time, you may even find you have gained some new business at the end of this!
A new business
The COVID19 pandemic has forced some businesses to adapt and function with new processes they previously hadn’t considered.
Believe it or not – this can be a good thing!
Businesses have been forced to move to remote ways of doing things. Teams are working from home and dialing into video conferences. Doctors are providing telehealth consults. Retail stores have moved away from brick and mortar and moved into the online space.
For many businesses, this crisis has unlocked potential that had previously been dormant.
It’s a brave new world out there! The opportunities being seized during this time could go a long way towards business continuity into the future.
Employers may also be able to provide more flexible working environments for their employees, long after this crisis ends.
Get some advice
If you’re reading this and realising you have the potential to be a ‘recession leader’ – but not sure where to start – give us a call.
If you want to make sure you keep the things intact that you need to recover well – and invest in the things you need for future growth, we can help.
Our experts can analyse your industry, and your financial position and guide you on this journey.