Adapt to survive and grow in challenging times

In our last few articles, we had discussed 5 “C”’s to survive these challenging times. I am happy to note that some firms are doing exceedingly well even in these challenging times. In case you are wondering which sectors are doing well, let me help you. Online educational sessions, telemedicine, and even companies in the FMCG (Fast Moving Consumer Goods) sector etc.Some sectors are relatively better also. If one needs proof, please look at the latest results of companies like Nestle and Britannia which have announced better results as compared to last year.

Let me reiterate the first 4 “C”s mentioned in previous articles for benefit of all. Cash, costs, communication and focus on customers. It is all about conserving cash, looking at eliminating & reducing costs and communication to all stakeholders. Also we had also focused on the fourth “C’ i.e. Customers.

Last week we focused on the 5^th “C” which is Capital Expenditures.Our advice was to defer Capital Expenditure as a measure of caution and safety in these challenging times. However if a business person feels that it’s the right time to go for expansion or for new projects, it can and should be definitely considered. After all, history proves that its during recession that some of the best companies are born. Some best examples are Apple, Google etc. In India’s case its firms like Tatas, Reliance, Infosys etc.

In my personal teaching and mentoring experience,when I look back &analyze, I realize most of my students in business from the batch of 2008 to 2010 are doing relatively better. Students from RR Kabel, Bikaji Foods, Mango Hotels etc. are from that batch. It is to be noted that I am not talking about any one individual firm or success of any individual student. I am talking about relative success of the batch as a whole.

When this topic came up for analysis and brainstorming, our team came up with some interesting and important findings which will definitely be useful for businesspersons. Before mentioning the findings, let me acknowledge the members of our privileged team. It’s headed by our Director Dr. Parimal Merchant with senior faculty colleagues like Moradian Sir, Samish Sir, Nimesh Sir, Hiten Sir, Jaishankar Sir, CA Abhay Nair, and young research assistants like Dr. Tejal, Deepal Miss, Rakhi Miss and Sabina Miss as members. The three most important findings are as under:

i) A firm which is started in recession and survives it knows the importance of cash & importance of adaptability.

ii) Such firms definitely aim at delighting the customers. They never talk price with customers and instead focus on the value they bring to the table.

iii)The third most finding is that BUSINESS NEVER DIES. IT IS THE BUSINESS MODEL THAT DIES.ADAPTABILITY IS THE KEY TO SURVIVAL. In that respect, Darwin’s theory definitely applies to Business as well. Business Owners can adapt to these challenging times by changing their Business Models.

Now it is time for Business Owners to contemplate and give me a feedback at anilrmenon1@gmail.com.

(Dr. Anil R. Menon is a business coach and has a youtube channel menonmantras where many videos are uploaded for benefit of business community and employees. Also an Instagram page by the same name menonmantras where he posts important RBI guidelines and other useful notifications)

Read the article in Malayalam