Is your business on the right course to recovery?

MANILA, Philippines — The world continues to feel the impact of this pandemic; not only in terms of public life and healthcare but in the livelihoods and businesses that breathe life into economies. Despite positive signs in some economies, the situation is very different in others as the pandemic is reemerging in many places around the world. For some countries, like the Philippines, easing of quarantine restrictions are being implemented to resume business operations and allow more workers to return to their jobs to revive the economy.

Based on its latest What to do Now, What to do Next thought-leadership piece titled “Is it time for a course correction?,” Accenture found organizations are reinventing themselves as they reopen and start their journey to recovery. However, assumptions that companies previously used to guide their course of action are now in question.

“Leaders are re-evaluating how the pandemic’s progress, strength, or recurrence in different geographic markets impact their recovery strategies. This means adjusting those assumptions, re-evaluating all scenarios, and strengthening capabilities to predict and respond during prolonged periods of uncertainty,” said Benedict Hernandez, Accenture Operations Client Experience Lead for Asia Pacific, Africa, and the Middle East.

Charting but correcting your course continuously

According to Accenture, companies are charting their journey to a post-COVID-19 world. An Accenture survey of C-suite executives revealed that 92% are accelerating investments in digital transformation, while 74% are completely rethinking processes and operating models to be more resilient.

A review of critical uncertainties showed that the world’s ability to manage the virus has increased. But, while steps taken by various countries are pointing them in the right direction, uncertainties related to the societal response are trending negatively. Even with the capabilities to suppress the virus, the public and political will to do so seem to be waning. Based on the Accenture report, there are three critical cross-currents affecting the reopening and reinvention strategies of companies worldwide. These are:

1. A material shift in people’s attitudes. The removal of strict containment measures signals a shift from policy to choice.
2. An acceleration in regional divergence, and a rapidly growing risk of disorder. Multinational companies face different regulatory regimes and challenges across their markets.
3. A dramatic shift in fiscal stimulus. Regardless of case count, policymakers are looking to the future, removing short-term fiscal support in favor of long-term stimulus.

Industries where worker and customer environments have been impacted most by the health crisis, particularly those more reliant on face-to-face interactions, will face stronger cross-currents from the shift to a phase of choice over policy. Those with more complex supply chains, and exposure to low and middle-income countries, will be most challenged by the acceleration of regional divergence. Sectors that have been particularly reliant on government support, such as job retention schemes, will struggle as those are phased out. In contrast, Accenture said that sectors involved in digital and energy infrastructure will be better positioned to support the next phase of recovery.

Today’s cross-currents require continuous course corrections according to Accenture’s report.

1. Keep human needs at the heart of your choices to address the shift in people’s attitudes. Companies can do this by keeping a check on people’s pulse through meaningful conversations that build trust. Leading responsibly from the front with compassion and confidence will build resilience in the workforce when they adopt new behaviors, mindset, qualities, and skills that are needed post-crisis.
2. Raise global-local dexterity to address the rapidly growing risk of disorder and accelerated regional divergence. Three things to consider include: empowering and learning from local interventions; repurposing capacity across locations; and leveraging intelligent operations to draw real-time data and insights and identify areas that need improvement. These will also put robust mitigating strategies in place for all eventualities, including worst-case scenarios.
3. Reposition for recovery not relief when there is a dramatic shift in fiscal stimulus. When countries announce economic recovery plans, actively help shape the recovery by repositioning the business and offerings to respond to changing local demands.

“The pandemic has yet to run its course and the economic outlook remains unpredictable. As companies continue their journey from recovery to reinvention, business leaders must be able to correct their course again and again,” said Hernandez.  

This applies to industries as well. In the Philippines, the Information Technology and Business Process Association of the Philippines (IBPAP) recently reassessed its growth prospects in response to the impact of the pandemic. The industry group worked with The Everest Group on a recalibration study to help achieve growth goals and priorities, albeit recalibrated, which includes strengthening programs to upskill and develop talent in higher-value services and digital offerings.

Recently, Accenture launched a sweeping brand campaign and new company purpose-designed to inspire organizations to embrace change to create more value for the benefit of all. This brand initiative, Accenture’s biggest in a decade, aligns its focus on digital, cloud, and security services to help businesses accelerate their digital transformation, especially during this health crisis.

Dubbed "Let There Be Change," the campaign shows how Accenture aims to deliver on the promise of technology and human ingenuity.

At the heart of Accenture’s purpose, Hernandez explained, is the company’s commitment to delivering on the promise of technology and human ingenuity to help businesses. “In addition to business continuity, supporting the human needs of employees and customers must remain a top priority for companies. This focus on people – in tandem with an ability to iterate and adjust the direction forward – will be of utmost importance for all organizations in the months ahead,” said Hernandez.

DISCLAIMER: This is a sponsored post.