Life after COVID
As a small business coach, I have the privilege of hanging out with a whole range of businesses from the solopreneurs to the nigh-on corporates, and from Defence firms through to film location managers.
If you’re finding life tough right now, and have been for a while. Let me normalise things for you. So is every single other business owner I speak to. They’re nervous about viability and cash flow. They’re feeling bruised and maybe resentful that Covid has wrecked their future plans – this was going to be THEIR year. They’re feeling isolated because they’ve had to make some really tough decisions and haven’t had anyone else to share the burden with in terms of responsibility or problem-solving. And they’re unsure about the road ahead.
Let me reassure you that you’re not alone, or weird, or doing it wrong, or whatever else may go on in your heads in that darkest hour before dawn.
1. One of the things I’ve been really struck by is how different life after Covid looks for each business. There’s almost an inequity where some businesses have had it really good (and can feel bashful about that) and others having a really tough time. And that inequity of experience can be across a range of categories:
Growth is the obvious one.
We know that before Covid, assessments put only about 35% of small businesses as being considered ‘healthy’ at the end of 2019 and that, unsurprisingly, they were 3 times more likely to close or sell as a result of the associated revenue shock.
We’ve got a massive case of winners and losers:
Some have seen double digit growth as they are part of the new ‘in demand’ businesses like at home fitness, cyber security, e-commerce and food delivery.
And some have seen massive shrinking like restaurants, office accommodation, and educational services that have been massively affected by changed customer behaviour.
Businesses that are reliant on some form of transport (aviation, haulage etc) are still super vulnerable and could be for an amount of time that deepens any impact.
Many senior leaders of small businesses are struggling to keep their sense of optimism for what the future brings, particularly when you hear talk of a 3rd/winter wave.
Staff.
Lots of organisations are struggling with staff shortages brought about by changes in working preferences (such as the ability to work from home, shared parental leave, work-life balance and personal safety) and exacerbated by other things such as Brexit (for example those in the caring professions).
Many more organisations had to lay off staff during the pandemic (e.g. those in aviation) and are now trying to keep the ‘survivors’ motivated as well as not overworked as things start to gain momentum but cashflow is not yet fully recovered.
We’ve got hybrid delivery models that not only introduce ‘us vs them’, a fear of ‘out of sight, out of mind’ but also a massive challenge for team cohesion and leadership. How do you motivate those you don’t see? How do you performance manage those you don’t see? What’s your current training provision and does it help in these new hybrid times?
Many organisations are dealing with workforces that are exhausted and on the verge of mental health crises – such as the caring professions. But also those businesses with a higher proportion of those in the more vulnerable categories such as young people, women, clinically vulnerable adults, disabled people and those living in deprived areas. Absence due to work-related stress, depression and anxiety are massively on the rise – they were already and Covid has just rocket-fuelled that. As small businesses, we are more vulnerable to the productivity and profit margin hits that staff absence introduces. And we often have smaller training budgets to pay for any interventions that may help.
Business model.
For those that radically changed their business model as a result of Covid, they now face a question: do they go back to the old ways; or fully embrace the new normal? Many changes introduced are not yet bedded in and we can only go on for so long with a “that’ll do” approach before the competition outstrips us or the cracks start to form chasms.
Some organisations are stuck in a form of stasis. They daren’t make large decisions because there may be a 3rd wave. They’re hoping that cash flow improves so they are waiting for that day. In the meantime, they’re falling behind in terms of their own growth plans or against the competition.
2. Although life can be different for businesses and we have a variety of experiences and realities, there are some things that I think businesses can do to make life after Covid even better, regardless of their circumstances.
Look back to look forward.
Your arrival at this point was probably due to some great decisions and actions that you took. Do you know what those were? If not, do a review. Get the whole team involved. Then when you’ve found those moments of greatness, think how you can dial them up to make tomorrow even better. Think of this as learning from success, rather than learning from failure. It’s something I’m not sure we’re any good at so it’s worth building the habit.
Check in with how everybody is REALLY doing.
Ask several times, in several different ways. Role model – don’t be telling people it’s ok to be finding things hard if in your next breath you’re being the hero.
Review your L&D provision.
Is it still where it needs to be? What are the priorities now? If you’ve canned your L&D budget in favour of something else, does that still make sense? People can make up as much as 70% of your running costs. On average, highly engaged teams will experience a 40% improvement in turnover. A good ROI on fixed assets is between 2-7%. A good ROI on people (intangible assets) can be around 700%! I know where I’d put my last pound coin…
Celebrate making it through.
It doesn’t have to be expensive. But make it memorable. Some sort of event or awards – both individual and team. To recognise those people and moments that have led to your success or survival. Sometimes poor mental wellbeing can be down to a lack of feeling valued. That’s easily fixed.
Get in a helicopter.
Not literally! But take a moment, including with your team, to check out where you are headed. Does it still make sense given everything that’s gone before? What could get in your way? How would you respond to that? You can’t see the whole wall if you are standing with your nose against it.
Get someone to facilitate an action learning session with your SLT.
Doesn’t have to be someone you pay for. Use your NEDs, sponsors, shareholders, whoever. But use the time to assess what you now know, what is still causing issues, and then use the hive mind to problem solve. Run properly, not only will some amazing solutions pop out, but you will all learn how to facilitate future learning and problem solving too. Win/win!
Be intentional, stop lurching!
I talk to small business owners considering keeping a virtual/remote element of their delivery model and they’re still running with the “that’ll do” model. In the future, ‘good enough’ will no longer be good enough. So whatever it is you want to do going forward, be intentional. Plan for it, execute it well, review it. Plan, Do, Review. Deliberately.