Eight Key Areas Businesses Must Prepare For The New Normal Post COVID-19, Research Finds
Government and business leaders must brace themselves for the (next) New Normal and turn challenges into an opportunity if they are to emerge as winners in a post-coronavirus (COVID-19) world, recent white paper published by management consulting firms Advisory Group and Consul-T has found.
According to 'Beyond COVID-19: Adapting to a New Economic and Business Reality' white paper, companies in the Middle East and globally will operate in a radically different environment defined by lower revenue, changing competitive landscape, new business models, and rising economic protectionism.
Market disruptions due to the coronavirus pandemic will lead to a never before seen boom of mergers and acquisitions (M&A) as well as a surge in restructuring programs on both governmental and corporate level.
These disruptions will create a unique opportunity for companies today to gain market share in a VUCA World (Volatility, Uncertainty, Complexity and Ambiguity) and transform into agile, resilient, and robust organizations.
Buoyed by historically high growth rates and solid demographic and political structures, the Gulf Cooperation Council (GCC) states are well positioned to adjust to this new economic environment and recover from the COVID-19 pandemic.
The paper outlines a multi-pronged approach encompassing eight main areas to help governments and organizations lead the way to and navigate robust fully the next economic and socials shifts.
- Companies and governments with high level of digitalization have a big advantage over organizations that lag behind in technology adoption
- Fully integrated industrial complexes will feel lower impact from the crisis compared to single service or product providers
- Greater emphasis needs to be placed on stakeholder value, even if this is on cost of margins
- Developing Special Economic Zones (SEZ) can help to attract global key players and create synergies in the business community
Industries such as travel and MICE (meetings, incentives, conferences and exhibitions), as well as leisure among others, are facing long-term implications on their profitability, while other sectors including retail, e-commerce, the medical sector and IT services will only be confronted with managing short-term losses and a liquidity shortage, the paper adds.
Boris van Thiel, Owner & CEO, Consul-T, commented: "In these unprecedented times across the world today, government and business leaders must establish strategies for a robust governance and business model, manage uncertainty and risk, and ensure long term business continuity. Market challenges (VUCA World) create disruptions but also an opportunity for companies to emerge stronger from the crisis, build resilience for the future and transform their business. Only those who act today and apply the lessons learnt to their operations will emerge as winners in a post-pandemic world."
Marcus Meissner, Senior Partner, Advisory Group, added: "The economic repercussions from the coronavirus pandemic will completely disrupt the status quo, forcing businesses to swiftly adapt and transform or risk being left behind. We are already support several our customers in to transform into The New Normal World. Whether you need financial or M&A advice, or support with your supply chain operations, with a team of highly experienced professionals and an extensive network of partners, we provide a range of integrated services to help you safeguard your business and meet your challenges, whatever they may be."
