Coronalization of the economy

Instead of a post-corona world, we should think about a co-corona world, says ex-boxing world champion and entrepreneur Wladimir Klitschko. In an interview, he explains how we can use the digital transformation to shape the "coronalization" of the economy

by Christiane Kreder, CAPITAL

Mr. Klitschko, how have you experienced the corona crisis so far?

WLADIMIR KLITSCHKO: Like everyone else, I've been in quarantine for the past few weeks. I had to adjust my professional and personal life overnight. It was a big challenge. I think I've become world champion in homeschooling and home training. The current situation was and is a good opportunity to reflect.

What have you been reflecting about in specific?

About the lessons and consequences of this crisis. Corona is a disaster and a catalyst at the same time. A disaster because many people have tragically lost their lives. Thousands of jobs are suddenly in question, or altogether lost, causing thousands of families to be plunged into need and poverty. But reality also means that Corona is a catalyst – for example when it comes to digitization. We did what we have been trying for years in a few weeks. “Einfach machen” (= Just do it), says my ally Hagen Rickmann from Telekom Deutschland. This is exactly what has happened now. Without hesitation and with courage in need, digitization made easy. We now have to ensure the sustainability of such a transformation.

What does that mean for the time after Corona?

Many talk about the world "after" Corona, but I think we should focus on the world "with" Corona. The end of the lockdown was not the end of the pandemic, but perhaps the beginning of a new economy. An economy in which the digital plays a role, but also in which the physical distance will be of central importance. I call it "coronalization". Many activities become contactless, not just payment. Many industries are becoming "tele" – across telemedicine. No sector will remain unaffected by the contactless economy. Integrating the human factor and serving it, despite distance and technology, is the central challenge of “coronalization”.

How should companies tackle this transformation?

Our economy is not facing this new great wave of transformation, it is already right in the middle of it. We used to make digital plans for three to five years, now we have to act immediately. No time for small steps. Courage to be consistent is required. We are not completely unarmed because we can build on the lessons of the past few weeks. There are simple questions that we as entrepreneurs can ask ourselves.

And which?

What do we want to leave behind in the past period and what do we want to gain and learn from the Corona emergency? Do we always have to drive to the office to work? When is human presence really necessary? Can't a good manager run his business from a distance? Every organization should ask itself these core questions and perhaps also hire a 'Chief Corona Officer' (CCO). It is not about companies changing a product or offering a new application, but about re-thinking their value proposition. It will be the "corona dilemma": How can you protect what already exists and at the same time develop a new core business that radically integrates the consequences of the Corona emergency and the advantages of digitization?

How do you overcome this “corona dilemma”?

Corona is a unique crisis – and far from the only one that will come to us. We should definitely take one thing with us: the resilience of a company is just as important as its productivity and competitiveness. Every business model must be supplemented by a model that focuses on continuous change and the human factor. This is no longer about change management, but about challenge management.

What role does digitalization play?

Digitization is not an initiative and not a technology, it is a mindset. In order to exploit the full potential of "coronalization", every company should work on their fitness and resilience. And also recognize that digitization is not a goal in itself, but an instrument to master the challenges of our time. These include pandemics, but also climate change and aging society. Every company should set itself the goal of making a concrete contribution in order to make our economy more humane, more ecological and ultimately more livable.

What else does it take to get out of the crisis?

A crisis questions the way we run companies, but also our way of life. Solidarity is therefore essential in times of crisis. It is effective against the pandemic and also the solution to many of our social challenges. In summary, the "coronalization" corresponds to digitization with less physical contact, but more solidarity and therefore more meaning. We have to take advantage of this moment and welcome and appreciate it because it is the moment of possible progress. As entrepreneurs and as human beings, we should not miss this appointment with history.