Projections for 2020 show that airlines could lose over $100 billion in revenues while automotive sales may decline 20% – 40%!
Although the travel industry has been the first to face drastic declines in demand and revenue, all other industries will feel pressure as well.
While most U.S. companies have excellent data back-up and recovery programs in place, the current crisis has taught us that disaster plan is more than data back-ups. It is the ability to continue to execute in the face of any potential threat, situation, or crisis.
It has also taught us that current business models are antiquated or ineffective as they rely on expansive global infrastructures, rigid workflows, and a large dependence on one source (China). This has left companies unable to react and adjust quickly to situations.
In order to thrive in the new global economy, companies must be nimble enough to quickly address three main things:
- Manufacturing and supply chain disruptions,
- Rapid changes in demand, and
- Changes in their operational/execution model.
To effectively support these requires that certain capabilities are in place:
- Digital information,
- Remote access,
- Multi-platform execution of tasks and workflows.
- Effective collaboration tools,
- Strategic sourcing tools and information, and
- Knowledge capture.
Now is the time for many companies to rethink their strategies and priorities in order to develop plans that will enable nimble business models that will address both the current crisis, and any crises in the future.
If you have been caught without the necessary capabilities to support the current work environment and are developing a plan for filling the gaps in your operational strategies, contact us to see how we can help!