In a pandemic, business owners and CEO’s will face new challenges. How to manage and inspire a team in crisis?The opinion on this issue of the co-owner and director of our company, Vita Tolstikova.
Vita Tolstikova, M.B.A. Director and co-owner at A.V.T. InvestThis time is very difficult but very intresting too. Don’t go where everyone goes. Leaders know this. Leaders do this.
1. The challenge: Uncertainty. One of the main risks in the normal business environment. In a pandemic, uncertainty increases.
Solution: Reduce Uncertainty: Working with a consistent customer base. Expansion of services for regular customers. Working with regular suppliers.
2. The challenge: Change the centers of the company’s profit.
Solution: Close profit centers that have become cost centers. Create new profit centers. Reduce costs in cost centers.
3. The challenge: Increased costs due to negative decisions of suppliers.
Solution: Conduct negotiations with suppliers, referring to the clause of the contract regarding force majeure. Demand to change the terms of supply agreements in connection with government regulation and regulations. If the suppliers do not agree, terminate the contracts and change suppliers.
4. The challenge: Negative customer behavior due to the pandemic.
Solution: Change the customer base. Expand the client base by expanding the list of services and goods. Terminate contractual obligations with negative clients.
5. The challenge: Weakening the positive attitude of staff and the team as a whole.
Solution: Conduct organizational events, meetings, meetings with the team. Maintain morale. Increase payments, optimize the composition. Admit new employees to the team.
The main thing: in a pandemic, to know that the closure of activities, the dismissal of staff, the closure of offices is not the best solution. All these decisions will lead to loss of position in the market, reduce only variable costs. At the same time, fixed costs remain and thus increase costs. After the restrictions on activities are lifted, the market will be expanded at the expense of those who have left. New niches and new customer flows will appear. Pandemic is the time of renewal. The team must know this, see that the owners and managers are leading the business further, through difficulties, to victory. A pandemic is a time to reflect on activities and find new ways to develop business activities. Don’t go where everyone goes. Leaders know this. Leaders do this.