Escaping the crisis – 7 solutions for entrepreneurs – Article published online on stirileprotv.ro
With one eye on the COVID-19 infection rate and the other on the turnover, plus the information jamming caused by the election campaign, the life of the Romanian entrepreneur is not easy.
Various scenarios have been put forward, from a rapid recovery, in V, to a crisis with two minimum points, in W, to a gradual recovery… In short, uncertainty from all directions.
If in previous crises (for those older in business) it was the option to change the field of activity or the country served, now things are relatively standardised, with the pandemic posing problems for all economies.
And, because rescue will not come (this time either) from outside and time costs money, escape from the crisis, in the sense of adapting the business to the new context, comes from the totally uncomfortable or unspectacular area of management measures based on calculations and discipline.
Speaking to the CEO of a leading management systems certification company, Claudiu Aiftimiei, we asked him to give us his top picks of the most effective and safest steps entrepreneurs should take to navigate their way through this period.
“Just like the immune system, a company’s resilience to economic shocks is built with consistent action.”
- Financial reserves for 3 months
First, financial reserves for 3 months to cover vital needs – salaries, major suppliers, loans, etc. You need to know how much money is needed for a quarter and try to set it aside.It’s a huge stress for those who depend, every day, on the next day’s receipts to be able to make current payments.
- Adapting for business continuity
When everything around you is changing, it makes sense that changes are needed in your business too. An important lesson for us has been to adapt the way we work in a way that ensures the continuity of the business and that people are healthy. We’re talking about two categories of action: digitisation and flexible working. Some solutions are already being tested: working from home where possible, rotating office attendance, staggering work schedules to avoid overcrowding in the office but also on public transport, changes to the way lunch breaks are organised, avoiding large meetings/meetings or organising them online, continuous use of masks, etc.
- Scenarios and specific measures
The biggest enemy is the unexpected. Indeed, life beats the movies and the evolution of reality can be surprising. But the better and more realistically we think about the possible courses of the business, the more clearly we can create scenarios, identify risks and propose solutions. For Systema, we have written down scenarios to prepare for adverse developments, taking turnover as the main criterion. We asked ourselves: what do we do if turnover drops to 80%? What about 60%, 40%, 20%, for a certain time frame?
- Taking advantage of tax facilities offered by the state
It is said that we retain, from reading or conversation, arguments that validate our own ideas. Well, the economic press should be read objectively. I was surprised to find that many people did not know about the tax facilities made available by the state. Especially now, any source of support is important. As a result, I recommend studying the economic press daily, the ANAF website, consulting with specialists whenever you have the opportunity.
- Permanent communication
Maintaining a team, a core of capable and committed people, depends to a large extent on the manager’s communication. People need to understand that you have a strategy, that you are prepared to take action, that you pay attention to the market, that you are constantly monitoring the company’s development.
- Personal example
Leaders lead by example. That is why top management must lead by example in implementing the rules of this pandemic context. How can you gain the trust of those around you in the management of your company if you don’t respect simple, visible things like wearing a mask, for example.
- Compliance with the law
Regardless of personal political beliefs or the quality of legislation, compliance with the law must be a priority. Fines or consequences cannot be ignored, especially when you are already in financial trouble.
We at Systema have put these 7 ideas into practice and are happy with the result. I’m not convinced that the hard work is over, but I am confident that we are better prepared to face challenges, more flexible, quicker to react. We have even developed a pandemic new product, TRUSTMARK, the first Romanian certification of best practice to protect the health of customers. And this was a reaction to adapt to the new context.”
Systema SRL has been representing the United Registrar of Systems Ltd. group in Romania for 13 years, with headquarters in the UK and offices in 41 countries, one of the largest certification bodies in the world. The main products and services are: ISO and TRUSTMARK certification, approved qualification courses, customer satisfaction monitoring systems.
Article published on stirileprotv.ro.
