How To Build Back Better After A Crisis

Crises are simply events that cause disturbances in normal operations and threaten the existence of the business.??For instance, recessions are usually hard times for both businesses and individuals as they are characterized by mass retrenchment, business closure or downsizing, and loss of income for those who manage to retain their jobs.

That said, business crises represent a unique opportunity for businesses to develop their inherent agility to wither through the crisis and better prepare for the future.?Here is how a business can build resilience during and after a crisis.

Build Systems that Out-live the Crisis

During a crisis, business owners need to be innovative and creative to create systems that not only minimize the impact of the crisis and ensure business continuity but also remain useful to business post-crisis.?To an entrepreneur, a crisis needs to present a paradigm shift that provokes you to rethink and reimagine your business operations and project into the future.?

For instance, during the COVID-19 pandemic, many businesses developed digital solutions that could support business continuity in the wake of lockdowns and business closures.?With the pandemic finally coming under control, businesses can retain their digital systems developed to navigate the pandemic and continue offering efficient and streamlined services.?

Protect Your Best Workers

According to Harvard Business School Professor Dennis Campbell, the best strategy to grow a business’ profit is not through acquisitions and innovations but proper treatment of your employees.?Workers are the wheels upon which the business rides to success or doom.?

During a crisis, a business needs to protect and retain its strategic employees. These are workers who not only work in crucial sections that ensure business continuity but have also developed a special relationship with the business due to the strategic nature of their services or loyalty developed over a long period.?

Be Quick To Adapt to New Realities

The business world is very dynamic with many shifting variables and realities. Nothing stays forever and as time and circumstances shift, a business needs to be flexible and agile to quickly change and adapt to the new realities.

As a business owner, you need to have all your antennae tuned to any emerging trend and the changing business environment.?The business also needs to have the tools and modalities that help to quickly transform into different models to fit different realities.

A business can adapt to new realities by testing and taking multiple perspectives, using data for quick and efficient decision-making, and reassessing growth opportunities. An entrepreneur needs to be creative and a fast thinker in order to minimize any negative impacts and also seize any growth opportunities that outlast the crisis.?

Know When to Exit

A crisis may run a business down the drain and render it inoperable and unprofitable to continue operating. As an entrepreneur acquainted with all business realities and dynamics, you should constantly scan the business environment to determine when to exit the market.

An early exit strategy not only helps prevent further loss but also prepares all parties for any eventualities. It also creates a strong stepping stone into your next business endeavor.?An exit strategy may involve selling the business, hiring a third party to manage, or shutting it down completely.?You may need to hire a business exit expert to better manage an exit and maximize value from your business.

In Summary

Better crisis management depends on the entrepreneur’s ability to conceive and perceive multiple issues and respond accordingly, and being able to coordinate the various components of the business with an aim of coming up with a coordinated solution that ensures business continuity and projects into the future.??