Leading through (and beyond) the COVID crisis

We are already in the 2nd half of 2022 and the catastrophic events of the COVID pandemic seem to be receding from some of our collective memories. For others, the pandemic had a more significant impact, causing irreversible changes both in business and the personal sphere. In either case, this pandemic has caused a fundamental shift in the business context.

Some organisations seem to have navigated the turbulent times quite well and have emerged stronger and with more successful businesses. While others have really struggled and continue to tether on edge of failure.

I have been reflecting on what separates these two kinds of businesses. Leadership, of course, played a key role, and I share some perspectives below on what could lie behind the thriving companies/leaders vs the others.

Successful leaders did a few things which set them apart:

Realised that this was an opportunity to Transform radically

Organisations that thrived were able to identify the opportunities to transform early in the game, rather than dwell only on the threats of this unprecedented upheaval.

Insightful leaders understand that to start any Transformation, it’s necessary to have a “burning platform” and break up the status quo. Covid naturally provided this trigger and the “normal” was broken. Proactive leaders realised this and were quick to adapt and put in place a new order of things – some companies consolidated their operations thereby radically reducing their costs, others adopted new (digital) technology to introduce innovative business models while still others created wholly new product lines to address emerging demands.

Such companies not only navigated the crisis period well, but also continue to thrive in the post-pandemic world.

Demonstrated Agility and were able to move forward decisively even when facing uncertainty

The scale and impact of the pandemic were such that none of us had experienced in our lifetimes. There were no proven models to lean upon for us leaders, yet quick decisions and actions were needed.

Here, boldness and the courage to take calculated risks set the leaders apart from the laggards. As the external environment was so dynamic, being Agile and nimble with the ability to change course/speed at short notice became very important. This was a major challenge to traditional and larger businesses given their reliance on meticulous and fail-proof approach.

In our case at Bridgestone India, it necessitated ‘Unlearning’ and ‘Relearning’ – moving away from our traditional functional structures to more dynamic problem focussed cross functional teams.

This enabled us to adapt and launch many new initiatives, both within the company and with customers. Not all of these turned out to be huge successes, but I have no regrets. It allowed us to learn and fine-tune creating a good momentum for change, which has helped us emerge a much stronger company.

Kept people as the top priority, even at the cost of profits

Employees make an organisation, and it is times like these that this is really put to the test. With the economy coming to a standstill due to lock downs, many companies were facing “zero revenue” periods—there was all the rationale, even pressure to cut costs. Those who succumbed to this pressure and resorted to lay-offs and salary cuts suffered later, as they were unable to ramp up their operations when the demands returned.

At Bridgestone India, we are proud to say that we did not lay off a single person (permanent or temporary) and effect even a penny in salary cuts due to the pandemic. Declaring this principle early on also created a lot of psychological safety for all our people.

And we have benefitted immensely from the dedication and selfless service given by all – throughout the pandemic, teammates proactively helped each other find medicines, hospital, supplies, etc.

Dedicated and engaged teams also helped us stay ahead of the curve and capitalise on all opportunities as the economy opened. Post pandemic Bridgestone India is a more successful business than ever before, thanks to all our people.

Understood the power of the eco-system

This pandemic also made us all realize how dependent we are on others – partners, suppliers, dealers, etc. We are indeed a connected eco-system and if any one part breaks down, it will destabilize the rest of the stakeholders. Some sections/sectors of this eco-system were more vulnerable and faced a bigger impact from the lockdowns. For eg retail stores and MSMEs typically are dependent on their weekly/monthly cashflows; survival became a challenge due to the extended and unpredicted lock-downs.

Large companies like ours need to extend support during such times, understanding the co-dependency.

We supported dealers by extending credit at a time when their cashflows were interrupted; paid early to some of our smaller suppliers to keep them operational and continued to employ/pay contracted workers even through the closed operations. Though this created short-term costs it more than paid back over time in the loyalty and commitment of our partners.

This reality that business has to be a win:win and not a “zero-sum” game was understood well by leaders who navigated their organisations successfully through these turbulent times.

Communicated regularly and with authenticity

In such times, Communication becomes of utmost importance. Agility can only be achieved when team members are completely in synch and trust each other for which fast communication is needed. Leaders play a crucial role as the fulcrum around which the team can rally.

Impactful leaders, realizing the importance of this, were much more visible and available to their teams through the turbulent times of the pandemic. They were not afraid to address the tough questions even when the answers were not always clear—what mattered was the authenticity with which they communicated.

At Bridgestone, we instituted a crisis team of key leaders which met 3 times a week to exchange notes on the unfolding events and take quick decisions. I could not be prouder of the way our teams came together to take care of each other and revitalised our business.

The early period of the pandemic and its impact on everyday life had us all believing that life, as we know it, would be upended for all times. While there have been some fundamental shifts, not all things have changed quite as drastically. The buzzing airports, streets, walkways, and malls say it all.

In some ways, this period has been a blessing in disguise. Opportunities to improve efficiencies across the spectrum have opened up; health and well-being have taken prime spot on the priority list and organizations are relooking at their work culture with a fresh perspective.

The future, again looks promising!