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March

Make Your Business Ready To Mitigate COVID- 19

COVID-19 pandemic has changed the business world dramatically, and every business is being forced to adapt. It is important for businesses to take action even before the government decides to lockdown your city. On an average there is a 5-12 day delay from when someone is infected with the disease and it is actually diagnosed. You can see that, at the point of the lockdown the number of cases changes from an exponential growth curve to a flattening curve.

At this point it is a pre-requisite to have a business continuity plan in place by getting employees to work from home, encouraging employees to stay at home even after work hours, and reducing in-person interaction, businesses can save the lives of the general public and ensure business is not impacted.

The next several weeks will test the capabilities of our connectivity solutions, collaboration tools, help desk support and remote working capabilities. For most organisations it will be a herculean task to prioritize activities in this new reality; including the organizational challenges of transitioning and managing an almost entirely remote workforce.

The COVID-19 pandemic requires all of us to immediately revisit our operational contingency plans both internally and with our service providers. We are not saying that this will be easy. We will naturally go back to our contract, and wonder why our business continuity plan didn’t contemplate a global pandemic kind of a situation?

Given below are few action points which you can initiate over the next few days, to ensure the safety of your workforce and continuity of your supplier-managed operations. We have also mentioned how you can mitigate your operational risks when some of them emerges.

Assess the impact of business disruption

List out the activities being performed by your service providers from a business perspective and identify your business-critical processes and applications disruption to which will cause a single point of failures. Bucket your service providers to the below categories:

  1. Tier 1 Suppliers: Mission Critical Services providers who support the critical business functions from whom you need an uptime of 99.95%. These are the services which if disrupted will impact your customers mission critical operations.
  2. Tier 2 Suppliers: Compulsory service providers which are required to be continued inorder to ensure the continuity of your internal business processes, but the downtime of which won’t jeopardise your commitments to customers.
  3. Tier 3 Suppliers: Peripheral Service Providers whose inability to serve you will create discomfort in your operations, but can be managed with minimal friction.

You should first focus on the Tier 1 suppliers’ business and IT continuity plans and critically assess whether they meet your SLA requirements. Check with them to understand what measures they have taken to ensure your services are not disrupted. Most managed services agreements have a clause for disruption and contain DR plans. But, you also need to revisit your contract to make sure you have not restricted remote working and cloud capabilities in order to enhance security.

Also communicate to your business and customer stakeholders about your BCP as you are part of their vendor ecosystem. 

Develop remote working capabilities

The need for social distancing will likely increase over the next few weeks. For those companies that already have work from home option, it’s a matter of scaling up. However, for organizations that have not yet started, or are piloting these programs, this could pose a significant challenge involving:

  1. Hardware scale up – Purchase of new laptops and datacards
  2. Network access and security – Purchase of new VPN licenses and security tokens
  3. Work from home policy – Employees will need training and guidance on how to work and how to think about work.
  4. New communication channels – To keep the workforce informed, engaged and productive.
  5. System and policy changes – To accommodate any changes to benefits, leaves, flexible work arrangements.

All these activities require co-ordinated efforts from an effective change management team to ensure proper training and faster adoption. Companies must also ensure necessary cybersecurity policies are in place prior to initiating or significantly expanding remote working capabilities.

Identify areas for cost optimisation

Though rarely emphasized in business’s consideration of risk, the potential economic losses from infectious disease outbreaks are massive. Global economy will be impacted due to decreased consumer purchasing power. Industries like travel, transportation and entertainment are in the frontline for taking the hit. In this scenario every organization should focus on developing a cost optimization strategy in order to ensure business resilience.

We recommend starting by analyzing contracts to see if force majeure clauses or “material adverse event” clauses can be invoked, rationalizing software licenses, renegotiating rate cards. Embracing new technologies for routine work like using robotic process automation could also result in long-term savings.

If you don’t have a business continuity plan in place we can help you in formulating your COVID-19 virus prevention & crisis management strategy. If you would like to know more facts about the COVID-19 virus and figure out how it would impact your business get in touch with us.

For more insights on how to mitigate COVID-19 and checklist to prepare your business continuity plan, download COVID-19: Impact on your business

2 replies on “Make Your Business Ready To Mitigate COVID- 19”

Really appreciate your team for voicing timely concerns about the possible financial impacts this epidemic can have on the economy, putting forward sensible solutions for addressing the problem with a list of do’s and don’ts explained in a simple way. Myself a doctor, it is really commendable that even when you have focussed the heart of your article on the field of finance, you have pinned utmost importance to the role of an individual and an institution as a whole to taking necessary medical precautions proving first you are a responsible social citizen, then an entrepreneur. All the best, Fintalea.

As Covid19 caused global pandemic , the ready reckoner by Fintalea is an epitome for a recalibration of workforce across the business platforms. Ensuring parameters like cost,continuity and consumer care Fintalea said it well to the world that prepares on war footing to prevent the epidemic.

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