What’s your ‘SCRIPT’ to navigate through Coronavirus ‘Black Swan’?

We are already in the midst of COVID-19 crisis. By now it is evident that the world’s most advanced economies have entered into a shutdown that could last months. Maybe every organization or business function has taken enough measures to safeguard the future growth prospects of the organization.

No matter what happens from here on every organization should ask all possible what-if questions by now to do a threat assessment, categorize the threats under key functions and concoct plausible solutions so that the organization is better prepared to withstand the COVID-19 impact.

Based on my professional experience and learning, I feel every organization needs to have a coherent ‘SCRIPT’ ready which should enable it to transcend the present crisis.

Scenario-based planning:

Carry out scenario-based planning and prepare comprehensive responses based on revenue and expense impacts in the immediate term (1-3 months), short term (4-6 months), medium term (7-12 months) and long term (>12 months). It is imperative to prepare a business continuity plan for each scenario.

Create a core response team:

Create a task force to assess the impact of upcoming developments, communicate within and across teams and execute the agreed plan.

Retain critical resources:

Many organizations are going through a tough time as organizations have suddenly lost significant revenue streams and fixed cost is also making a massive dent. Still, it is important to retain the critical resources depending on the specific organization’s ability to absorb the financial shock. You can always rebuild the business with your key people as “the greatest asset of a company is its people”.

Implement daily work schedule:

Create a daily schedule (multiple rounds of prescheduled discussions) for each business head which should all the way percolate down to the lowest possible level to retain the habits of performing the task in conjunction and work as a team. This way the transition will be seamless when the things are back in normal.

Prepare continuous communication plan:

Prepare a continuous communication plan and keep communicating with all stakeholders honestly and transparently to reduce uncertainty, motivate and re-assure that the organization has the resilience to withstand the impacts of this event.

Tighten the finances:

Conserve as much cash as possible. Freeze/reduce/postpone any discretionary expenses, renegotiate payment terms, roll over debt whenever possible, reduce rental expenses, minimize marketing/PR expenses, cut down overheads, offer sabbatical to employees or take any such measures to conserve maximum cash.

This is the time when companies should open a platform for crowdsourcing ideas from employees on what the company should do going ahead. The companies which will be steering through this crisis in a “SCRIPT”ed, thoughtful and compassionate way, will come out of this pandemic stronger than ever before.