How do successful entrepreneurs deal with the COVID-19 crisis?

Success factors in the crisis

Since March, the COVID-19 pandemic and related precautionary measures dominate everyday business life and pose special challenges for companies. Therefore, Wagemann + Partner New Consulting, your consulting partner in growth and crisis, has summarised some points to help entrepreneurs to be successful even in these uncertain times.

1. Set priorities

Above all, the liquidity of your company must always be ensured. This can be achieved by avoiding expenditures, e.g. by postponing investments and loan repayments. Businesses should make best use of available deadlines. In addition, companies should utilize loans as far as possible. They can also examine state financial aid in a meaningful way and make use of it if necessary.

2. Make decisions quickly

Extensive rescue operations should be launched within the company immediately. Businesses must be able to identify, deal with and adapt quickly to any changes in the situation. This also needs to be the case when there is no time for lengthy decision-making processes.

3. Demonstrate leadership

Clear and open communication with employees regarding all topics is crucial to avoid rumours and frustration as much as possible. All information should be passed on entirely and transparently, as incomplete information can cause uncertainty and doubts. All messages must always be credible and consistent, and backed up with facts. Furthermore, the company should pursue long-term goals and define and communicate clear strategies for their implementation.

4. Review crisis measures regularly

The current situation is constantly changing and new information is published, which is why any measures undertaken must be limited in time, be regularly checked for their usefulness and, if necessary, be adjusted. For example, we recommend a regular review whether the short-time work that may have been introduced is still efficient within the company. Consideration must also be given to measures that raise the productivity of employees in the home office.

5. Monitor risks

Entrepreneurs should not underestimate the lasting seriousness of the current crisis, especially with regard to a second or third phase. Therefore, controllable transmission paths of the virus must be continuously avoided. For example, meetings should still be held at a distance and proactive checks on compliance with hygiene measures should be carried out regularly and at all places.

Let us remain optimistic even in these difficult times! After all, the crisis should not only be seen as a threat to the future of your company, but also considered an opportunity. We will report on the opportunities that may arise from the crisis in our next article.

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