What Comes Next? Pivoting and Bouncing Back After Covid-19
Businesses are already asking themselves: when the pandemic passes, what fundamental changes will it leave behind? And how can we adapt the way we work, and the products/services we offer, to meet that “new normal”?
News of how luxury giant LVMH, breweries, and carmakers including Ford and BYD are suddenly producing medical supplies show just how far and quickly companies are able to adapt to an entirely new scenario.
Although these specific pivots are likely to be temporary, others won’t. As this article argues, coronavirus is already rewriting the future of business.
We find that trying to visualise what the world will look like after the pandemic is a positive source of motivation. It allows us to take a break from “fire-fighting” mode.
These are some of the things that we think businesses will focus more on:
- Finding alternatives to the “just in time” and “immediate gratification” economy
- Increasing resilience, for instance by outsourcing individual tasks
- Ensuring lean and flexible corporate setups
- Developing more caring and flexible working cultures, including working-from-home
- Lowering supply chain risks by, for example, diversifying geographically
Businesses in China Bounce Back
Another source of encouragement lies in how international companies in China have managed to go back to business in less than two months after the crisis peaked on this side of the world. Here are some success stories from our network in Greater China. All about Sourcing in China here.
“Our operations in Songjiang, Shanghai, are back in full swing. Only two operators haven’t returned due to regional quarantines, but we could find new operators within 4-8 days. Now HQ is requesting us to produce parts that were shifted to Germany at the beginning of the crisis.” – Frank Hoffmann, CFO Asia Pacific / GM China
“Our production output today is higher than before Chinese New Year. Since over 4 weeks, our factory and all offices are back to normal operations…except for the heaters.” – Thilo Koeppe, MD North Asia
“Our manufacturing site in Kunshan was back to full capacity by 2 March. Despite the Covid-crisis, this first quarter will be our best ever in the China and East Asia region. We believe this positive trend will continue as we’re well positioned to support the rebound of the biotech, pharmaceutical and food processing sectors.” – Paul Marty, East Asia Commercial Manager (TFIT & HPP)
Whether you’re focused on bouncing back or already planning a pivot, we’re here to help you with insights, advice, and inspiration. Please write to us whenever you feel stuck.