Weathering the COVID-19 Storm — A Simple Guide for Businesses

I just got off the phone with my cousin. Given the current COVID-19 pandemic, she is worried about her family’s business and their 500 plus employees who care for the infirm. We spoke about the need for a Business Continuity Plan (BCP) and the critical considerations for the company.

Luckily, a lot of these considerations are transferable across businesses. I share the top areas to consider below.

1. Critical Talent: Who are the members of staff that are critical to your organization’s activities — those whose absence could grind operations to a halt? Can you duplicate these roles even if it means reshuffling? What can you do to ensure at least one person is always available to carry out these critical tasks? How can you reduce your risk? Your answer will differ based on your business structure. However, you could consider splitting your team up such that teams alternate and never overlap. You should also begin to think of ways to make remote working possible if you are compelled to shut down the physical office. Now is the time to test or acquire collaboration tools, VPNs and other efficiency tools required for remote work.
2. Critical Resources: What resources are essential to your operations? Will your supply chain and suppliers remain accessible in the event of a lock-down? If you manufacture, do you have enough raw materials? If you are in hospitality, do you have enough supplies? Think about your critical resources and where practical, beef up stock. However, weigh the risks. If a restaurant stocks up and is forced to close, that’s a double whammy right there.
3. Core Processes: You have secured talent and resources, are you done? Not yet. This situation is unprecedented, and we all need to reassess our business processes, operating procedures and the inadequacies within these in light of the current situation. Considering the case shared above, the COVID 19 situation throws up procedural inadequacies which were not previously of significant concern to the business. They care for the infirm, and the infirm are more susceptible to Covid 19. How do you ensure the infirm remain cared for while protecting them from being infected by their carers? And how do you protect the carers from being infected by their patients? If a patient got sick and is instructed to self-isolate at home, does a carer keep going? Difficult questions and challenging times. What changes can you make to your processes to protect your business, your people, your clients and your community? What can you do to mitigate those risks? Plan and act NOW.
4. Cashflow: If your business will be alive after all this, what do you need to do? Small businesses in countries with employment insurance are laying off staff. Staff access insurance and the company has a chance to remain alive. What if your country has no safety net? What do you do? Tighten your belt. Cut off non-essential expenses and prioritize financial management practices that support liquidity.
5. C — squared (Continuing Continuity): We are all hoping this will pass quickly and that we will be back to business within 4–6 weeks. But what if this continues for longer than we are all anticipating? What does that mean for your business, and what does that mean for your employees? Some companies will record increased volumes, but most will slow down. If your business is in the latter category, you need to have a plan for when demand and revenue drop. Have a plan for your employees — could you perhaps ask some to take a leave of absence or reduce pay to match reduced hours? Think through what actions would be necessary, set a trigger point for those actions, and communicate with your management team at the least. If you absolutely need to cut staff numbers, do so. Whatever you do, though, consider the general good.

There you go. Think through these considerations and how they apply to your business. Draw up a simple plan and test it immediately. There may be other concerns for your business, and you should, by all means, factor them in.

In addition, this is the time for HR Managers to ensure that ALL employee data is up to date and that ALL supervisors have the personal contact details of their subordinates. You want to be sure you can reach every single employee at a moment’s notice.

Need help? Talk to us at Blue Advisory. We will be happy to guide you.

Stay well and see you at the other end of the curve.

Originally published at https://www.linkedin.com on Published on March 19, 2020