Ensure within a few days that the company remains capable of acting during the crisis. (Image: ja_inter/istockphoto.com)
We are experiencing one of the biggest shutdowns in recent history. Nearly all companies are currently asking themselves how they can avoid greater losses from the effects of the crisis on their business, how they can continue to act and how they can prepare for the "ramp-up" after the crisis. Something must be done immediately and this requires strength and focus. The costs involved play a decisive role. Managing a crisis costs money, and far more than one might think. In order to be able to make decisions quickly in times of crisis, disproportionately high efforts are required to collect, bundle and further process all the information from the markets and the company. Our best people work 30 to 40 % more to stay on track as a company. However, waiting through the crisis is not the solution, the resulting losses would be far greater and the company will be weaker after the crisis than before.
Actionism is not a solution. Rather, all efforts should be aimed at doing the right things right. Meaningful networking, intelligent evaluation procedures and the right alignment play a decisive role.
To Master This Crisis, 3 Maxims Are Most Important:
Raise the collective intelligence of the company and actively use the knowledge of those affected on the crisis "front".
If priorities change, quickly ensure networking and alignment within the company.
Create the conditions for quick changes in direction and adaptability - through transparency, a crystal-clear, simple implementation methodology and close implementation feedback.
These 5 Instant Measures Help to Stay on Track During the Crisis:
Use the collective intelligence of the whole company to understand the challenges and create ideas Go to the "front line" in the crisis and use the collective knowledge of the entire organization. Collect challenges and ideas from the perspective of your business units, regions and functional areas in a simple, clearly structured process. In times of crisis and transformation, we depend on the knowledge of many. The first step is about quantity, less about quality.
Use of intelligent methods of machine learning to quickly gain action-leading insights Cluster and condense the answers to the urgent challenges and ideas using machine learning methods to directly identify common patterns and specific issues from the front line. The condensation step is critical to success. This results in an initial prioritization and also quantification of opportunities and especially risks. This must be simple, fast and reliable. Now it is all about quality.
Checking the measures before implementation through scenario building and simulation You need a functioning, reliable methodology to simulate different options in real time and to quickly arrive at justifiable decisions. Simulation makes the discussion of if-then scenarios more objective and shortens the decision-making process massively. The right bundles of initiatives must now be implemented as quickly as possible.
Translating priorities into short-term goals and ensuring transparency of individual contributions Derive consistent, closely timed goals from the critical initiatives and distribute the implementation of the crisis program on many shoulders. Each activity must make a concrete and comprehensible contribution to achieve the objectives. This creates the necessary focus in the implementation and ensures that we are constantly questioning whether we are working on the right issues.
Agile crisis program management and active support of employees in the implementation process to achieve results quickly The methods of agile software development demonstrate how substantial results can be achieved in the shortest time. Decisive factors for the success of agile collaboration are the best possible transparency, direct feedback and close communication. If it is clear to everyone involved which activities are really relevant and which purpose the individual contribution serves, necessary changes and changes of direction are understandable and better accepted.
Software support is essential for managing a crisis. You need tools that promote interdisciplinary collaboration, link your employees to the relevant tasks and support an ongoing dialogue. At the same time, the right tools have a direct cash effect in a crisis and are therefore often essential for survival.
Solyp 4.0 Supports You During the Crisis
Solyp 4.0 crisis strategy supports you in the holistic implementation of the five instant measures described.
Ensure within a few days that the company remains capable of acting during the crisis. At the same time, create the conditions for you to emerge from the crisis stronger than before.
One of the central tasks of the CFO during a crisis is to ensure financial liquidity. A liquidity squeeze can quickly threaten the existence of the company. Especially in times of crisis, a lot of extra measures are required in addition to operational cost and liquidity management.
The initial shock of the corona crisis has been overcome, and the economic effects will continue to accompany us for a very long time. We must assume that volatility and uncertainty in our markets will continue to increase and become the new normality in the business world. The unknown will become permanently greater, we are forced to become even more agile as a company.
We are experiencing one of the biggest shutdowns in recent history. Nearly all companies are currently asking themselves how they can avert greater losses from their business from the effects of the crisis on their business, how they can continue to act and how they can prepare for the "ramp-up" after the crisis.
If personnel expenses increase more or less in proportion to sales over a longer period of time, this is a sign of potential for productivity and efficiency increases. But what are the levers for increasing agility in our organizations?