By tagging the COVID-19 Coronavirus as “unprecedented”, “once in a lifetime” and “biggest financial crisis since the Great Depression” leaves us all in a state of confusion and fear. Navigating our way through this situation has been a daunting task to say the least.
Here in Australia we seem to have done a fairly good job of controlling the spread of the virus, but it has come at a terrible financial and social cost to us as individuals and businesses. The threat of the virus spreading appears to be abating, however the real financial impact is just beginning to take hold.
As COVID-19 restrictions are slowly being lifted, businesses must ensure they are developing effective recovery strategies. There are basic strategies that business can use to recovery from any critical incident.
1. Keep your head in the game to stay in the game
Basically this means to stay focused on the things that you can control. Take the opportunity to revisit your business plan to understand your business; who are you, what do you do and why do you do what you do?
2. Financial Health Check
Work with your accountants and financial advisors to establish the real financial health of your business. Explore what financial assistance may be available during the recovery process such as:
- Government assistance programs
- Mortgage and debt relief
- Commercial rental assistance
- Creditor re-payment terms, and
- Financial assistance for employees
3. Develop a Business Continuity Plan (BCP)
A business continuity plan is a documented strategy designed to help prepare for and recover from any event that may disrupt business operations. Key criteria to be included in a BCP are:
- Risk Management Planning
- Business Impact Analysis
- Incident Response Plan
- Recovery Planning, and
- Communication
Download your free Business Continuity Plan here – Business Continuity Plan V.1.0
4. Communicate, Communicate and Communicate
Regular communication is critical to an effective recovery strategy. It is essential to maintain lines of communication with:
- Employees – provide regular information on what is happening within the business, what your plans are and the status of their employment.
- Suppliers – keeping supply chains open is critical, remember most of your suppliers are in the same boat, work out how you can assist each other.
- Customers – stay in touch on a regular basis, this is a time you can strengthen these relationships, just call in to say “hi” and check they are okay.
- External Information – staying informed is also critical, keep up to date with government and other announcements, forward relevant information to your stakeholders. Ensure you are receiving the information from a reliable source.
5. Embrace Technology and Change
Through the response and recovery process, businesses have had to explore other ways of doing business, using technology, working from home, online meetings etc. Technology has been a key reason a lot of businesses have been resilient during this crisis. Consider how you can make technology to enhance, not replace your employees.
6. Take Care of Yourself
Remaining positive will be difficult over the coming months. All businesses will be facing enormous challenges and it is inevitable that there will be times of enormous emotional and mental stress. Seek help if you are being overwhelmed and you may also be able to reach out to business associates to support each other.
For further information please feel free to contact either Genie or Greg on the form below.