COVID-19 Shifts the Way Businesses Should Think about Crisis Management
During the current COVID-19 pandemic, businesses across the globe are adapting to a rapidly changing business environment. In episode 2 of our Growth and Scale Insiders podcast, titled, “How to Lead Through a Crisis?” host Dan Dillard dives into this timely topic with Manuel Azuara, a Managing Principal at Bridgepoint Consulting and Vijay George, Director of Technology at Bridgepoint Consulting. This episode’s guests are highly experienced leaders who have led through previous crisis management situations, including the technology downturn, the financial crisis, and recent weather disasters.
Episode 2 covers the tough decisions that management faces during a crisis, which includes cutting costs to make it through a stressful situation. At Bridgepoint, leadership challenges this common reaction and instead recommends spending time and effort to identify new opportunities for additional revenue generation activities. Manuel’s experience during the financial crisis taught him that focusing on cost-cutting instead of revenue generation can lead to a vicious cycle. He goes on to say, “It’s real easy to focus on the cuts or the things we have to slow down, but there are other opportunities out there too. If you don’t spend time thinking about the revenue capabilities you could be seeing, then you will never cut enough.”
In response to questions about how to prepare business practices for difficult times, Manuel Azuara says, “To prepare, you have to test it.” Management needs to think through disaster response during times of economic prosperity so that businesses can react in a timely and effective way when disaster strikes. Vijay recommends thinking about plans to maintain business continuity during a time of crisis, which could involve thinking about a backup plan in case systems become unavailable. Vijay goes on to say that “when the crisis does occur, you need to work together seamlessly.”
The current crisis is an opportunity for businesses to ask themselves who they want to be when it is over. CEO’s should also not feel like the burden of decision making and responsibility lies solely on their shoulders. They should listen to the leadership team hired in place to help with moments like these, “The leadership team is part of the answer,” Manuel says.
Listen to the whole conversation for more great insights on leadership and crisis management. Also, subscribe to our Growth and Scale Insiders podcast on Apple,Spotify, Google, or Stitcher. And leave us a review!
Bridgepoint Consulting, an Addison Group company, is a leading management consulting firm that offers a full suite of services and solutions to help companies navigate the complexities of growth and change. We work with the C-Suite—with a focus on finance, risk, and technology leaders—to provide strategic resources and support critical business transitions. Learn more about our services here.