….You're (not) on mute :

^Phrase of the Year

This year I decided to take a break from LinkedIn. With so much going on around the world, 2020 has been overwhelming and full of unsettling challenges. The first quarter of 2020 took everyone by surprise as a global pandemic caused economies to shut down and forced communities to implement social distancing. Busy streets and parks emptied out as everyone was asked to stay at home to avoid transmitting the virus from one to the other. Lockdowns have lasted longer than expected, and work spaces have shifted towards becoming home-based.

Unfortunately, the sudden arrival of the COVID-19 pandemic also caused massive disruptions to companies to the point that some businesses had to close permanently. Fewer people outside their homes generally meant having fewer customers for physical retail stores and restaurants. Trips abroad were cancelled, and the movement of goods eventually became more stagnant as borders were closed to prevent the further spread of COVID-19. 

A new cultural mindset 

For both individuals to companies, it is change and continuous adaptation that became common throughout the year. What used to be common sense and standard protocols were now questioned as social distancing became more and more necessary.

We relied on e-commerce and delivery riders/drivers and they eventually became the norm as it was deemed safer than going out in public to buy goods. Almost every aspect of our lives slowly went digital, primarily because COVID-19 had severe health consequences not only to ourselves but also to those living with us. In the US, Q1 2020, e-commerce jumped from 15% market penetration to nearly 35%, on top of that, it experienced 10 year’s worth of growth in e-commerce in the same time.

Consumer behavior is becoming more inclined to accessible means as lockdown periods became part of the “new normal”. Statistics show that over 62 million households tuned in to watch “Queen's Gambit” on Netflix during its release. Beyond the expansive viewership, there was also an increase in interest brought to chess as a sport that is evidenced by a sudden rise of 250% in chess set purchases on eBay and Google searches for chess rules that has hit all-time high in 9 years.

The growth of companies like Netflix, a truly global entertainment service with laser accuracy in targeting audiences using algorithms should not come as a surprise, especially if you watched the documentary Social Dilemma which explains how atomic particles of data are mined to serve ads. It is as much of a match and science as it is magical art, one that I must confess to be close to my heart.

The impact of COVID-19 in consumer behavior is expected to last beyond the time of vaccination. New norms will likely remain post-pandemic, with everyone adapting to a new digital lifestyle and adjusting to the necessary practices to keep friends and loved ones safe. Traveling less for business and using video conferencing to meet with colleagues, and catch up with friends is something that is here to stay. 

Perhaps the biggest lesson for companies during the onset of the pandemic is their digital readiness, and contingency plans are synonymous with preparedness, but only insofar as how much they can be adequately implemented. However, this isn't just about setting up a virtual workspace for project management and file sharing. Every person in the organization has to learn how to operate the whole business smartly and remotely, including Board Rooms, CEO and Management teams. This calls for a whole cultural mindset change!

Image Credit: Momo Productions

Adjustment towards Work From Home (WFH) vs Working from Office (WFO)

WFH arrangements are not new as freelancers, remote, and offshore employees have been following this scheme way before the pandemic hit. The tectonic shock was on the other professions that were not used and/or depend on some level of physical interaction such as transportation, tourism, hospitality, logistics, education, and many others.  

While the changes caused by COVID-19 are unchartered territory, people adjust slowly then all at once; their daily lives comprising a new digital aspect. Alternative means of doing what was taken as “business norm” to adapt to COVID precautions took ingenuity and many different businesses adapted – some nimbly, some lesser so. 

The big tech companies, such as Apple, Google, and Twitter are among the few that manifested their interest in keeping the WFH scheme in place until the pandemic is over, which is not a challenge for the Internet industry as this work can be conducted smartly and remotely. 

Employers bear a portion of the problem solving as they have to invest in new policies and infrastructure to accommodate employees' welfare and safety. Productivity issues and possible adjustment issues also have to be considered vis-a-vis their target goals for the year. Privacy and security are also becoming more relevant as confidential information may be compromised - these costs are among the many adjustments that companies continue to consider moving forward.

On the other hand, employees also have their fair share of challenges and responsibilities. From their perspective, work-life balance has blurred, despite spending most of their time at home and employees across many organizations have been experiencing burnout with WFH setups. 

These are indeed difficult times where both employers and employees both have to proactively adapt, step up and help each other to overcome the challenges through communication, trial and error and occasionally with some dose of humor too.

Innovation and Constant Adaptation

Industries have adapted differently to the pandemic, and individual businesses have shown unique cases that allow them to function and adapt to the pandemic's challenges. 

Qantas launched a “flight to nowhere”, a 7 hours scenic experience from and to Sydney, Australia, that was sold out in 10 minutes, whilst Singapore Airlines’ grounded A380 first-class restaurant that was fully booked in 30 minutes is proof that innovative ideas can drive interest in industries that are struggling. 

Entertainment has also peered into how useful virtual rooms are for connecting with a broader audience. While partying and going to concerts is not yet considered safe now, we also have alternatives now via

Zoom parties, virtual drinks, and online concerts

that bring fans closer to their favorite artists, bands, and DJs.

Outside of the airline and entertainment industry, there are also new ways to appreciate spaces and existing assets. The new concept of integrated workspaces from converted corporate offices have been built to provide employees with dedicated spaces for both work, shopping, health and wellness while “at work.” 

Digitalization is the Solution

For a huge portion of industries and enterprises, even sturdy MNCs, COVID was indeed a real shock and a strong test to digital readiness & how much digital transformation was required.

Thomas Frey, the founder of the DaVinci Institute, once predicted that an online school would be the world’s largest company by 2030. While it did not seem to make total sense at that time, we’re now seeing the more significant impact of how learning from the comfort of your own home can be something that will grow in popularity. The internet has been a catalyst that will further change how we interact, and it seems to be evolving the dynamics of how we do our daily activities beyond our imagination.

I have personally selected 2 topics and have been self-investing on new learning skills that I believe are instrumental for the future. How many people do you know who have decided to learn new skills online during this year? Online learning platforms such as Coursera have achieved new records as over 21 million new users have been recorded since March 2020. 

The emergence of 5G will allow for enhanced connectivity and enable Working From Anywhere (WFA) to be more viable. Workspaces may soon be 100% virtual, and corporate offices will be repurposed. Businesses will eventually transition to run smartly and remotely, which would open up opportunities to operate across multiple countries while at home or anywhere else. In contrast, it may also be possible that some goods and services will no longer be necessary and may cause more businesses to close shop. 

The coronavirus has impacted banks’ revenues and profits, and redirected behavior of their customers by placing heavier demands on technology infrastructure and digital services. But it has not slowed innovation in banking. Banks have invested $1 trillion into digital transformation between 2015 and 2019 but has investment paid off yet? Are these plans well articulated? 

My company hit new heights in terms of digital adoption and digital sales this year, with high double digit growth, while in parallel there was also a steady growth on Net Promoter Score - NPS, which measures our customers' satisfaction and willingness to recommend the services to others. Data from an industry survey conducted by digital document-signing company Lightico show that 26% customers will avoid face-to-face banking entirely. No doubt, this will force the industry to accelerate and focus the efforts into serving customers more effectively.

Despite the 2020 pandemic being a long and arduous struggle due to endless challenges, we can now say that light can be found at the end of the tunnel with the COVID-19 vaccine being made available in record time. The sudden changes may have caught the world off guard, but our ability to be resilient and adaptive has also brought valuable lessons.

At some point during this year, we all heard the phrase of the year, “You’re on mute...” 

Here’s a thought: let’s not be on mute. Let’s talk, spend time with our loved ones, connect and listen to our colleagues, help each other, and behave responsibly by wearing a mask and taking social distancing precautions. Learn new skills, try something new and healthy. Adapt and experience the world in a different way. You are (Not) on mute!

Merry Xmas & Happy New Year Everyone!