A sudden, global recession can have traumatic effects on a company. Entrepreneurs who were already active during the economic downturn of 2008 know this.
In a rapidly evolving situation like the one we are experiencing with COVID-19, it is almost impossible to get the best out of a company. It is difficult to protect employees and still provide a great experience for customers in the midst of chaos.
In the last two weeks the companies were confronted with exit restrictions. These have tragically decimated some industries and put the determination of others to the test.
"This is certainly a before and after moment in the
History of the economy and digital transformation."
ven if the outbreak of COVID-19 is contained, things are unlikely to return to normal. Instead, we are experiencing a forced acceleration of digitization. These changes will shape the future in the long run.
"Teleworking and home office"
The increased use of teleworking and home office is the most explosive change triggered by the outbreak of the corona virus. While home offices are more common today than they were a decade ago, a recent survey found that only 5% of employees in Germany usually work from home.
Regardless of the objections that companies have had to these work modules so far: The coronavirus pandemic could be the moment that makes home office and teleworking popular. The current situation shows executives that with the right technology, culture and expectations, employees can be just as productive and effective from home.
Both office work and work from home offer advantages. It will be worthwhile for companies to get the best out of both. Flexible, changing or shortened office days could bring about various changes:
Office sizes are minimized
- Working hours are reduced
Work cycles are accelerated
The shortened hours could be compensated by the accelerated work cycles.
"On-demand delivery services"
Many small businesses are currently having to close due to the corona crisis in order to force a spatial distance. Not all of them can switch to home office offers. Innumerable businesses will probably perish due to this crisis and many of them will be restaurants.
"The on-demand transformation has always been an important part of the digital working world - now it is saving some restaurants."
Many locals are currently relying on delivery services and take-away offers to continue generating income. Some restaurants may continue to rely on these models after the pandemic ends.
In the future, offers such as drive-in or on-demand deliveries could be used more frequently. These models reduce costs, making it worthwhile for local businesses as well. Reduced warehousing makes it easier to calculate costs.
"Virtual events"
One of the largest and most immediate victims of the COVID 19 outbreak was the events industry and the related travel and hotel industry.
In order to contain the spread of the disease, conferences, trade fairs and even the Olympic Games have been cancelled or postponed worldwide. However, some of these events will take place virtually. This could perhaps not only be a phenomenon of this year, but a new standard.
It is unclear whether virtual events will prevail. Trade fairs are only successful if they:
generate sales
Establishing Peer-to-Peer Connections
It therefore remains to be seen whether virtual events will be successful.
With lower costs for participants and organisers and more flexibility in content formats, it would not be surprising if some events would remain virtual in the future.
"Cloud storage"
The Cloud helps companies to meet the Corona challenge. Many companies are able to change their plans quickly because cloud technology enables direct communication from anywhere. The digital transformation has already saved jobs, slowed the spread of the virus and enabled companies to maintain a degree of normality in a chaotic situation.
"Hopefully we can get back to normal soon
- although after COVID-19 the normality will look quite different."
© MM New Media GmbH