|
 |
| |
Back |
 | HAVE YOU WOKEN UP TO THE CHALLENGES AHEAD?
During the past year or so, many commentators have compared the global economic slump to the Great Depression of the 1930s. Most have assured us that this is nowhere near as bad. But that's not an accurate assessment. In many respects things are now far worse.
Of course, there are many differences between now and 1929. The big ones are that we now live in a wired world and globalization has made all countries inter-dependent. Everyone is connected. The same information is available to everyone at the same time. So serious trouble has spread across the globe with lighting speed.
Chances are that conditions in many countries will get a lot worse before they get better. And that when it comes to the economy and business, virtually nothing will ever be the same again.
The world is, in effect, being rebooted. The rules of the game for every industry are being turned upside down. The competitive temperature is rising as never before, as everyone chases the same shrinking pool of customers. Yet many executives are only slowly waking up to the harsh new facts they face.
There can be no doubt that 2010 will go down in the books as a hell of a year, and 2011 will be no better. After that ... who knows? Many top economists are convinced that the slump could last five to 10 years. Even when there is a recovery, it is likely to be long and slow and uneven. Anyone banking on a quick return to good times is courting trouble. Denial and delay in implementing new strategies will be lethal.
Of course, political leaders must assure us they've got things under control, so they'll make soothing sounds. But that's cold comfort. Merely wishing for a return to normal doesn't mean that it's actually happening.
The journey to recovery will be littered with corporate corpses. This is a genuine emergency. There is no time to lose in rethinking your assumptions about the world around you, and rethinking your strategy.
Every aspect of business is being tested. Familiar, well-honed practices are proving useless. Customers, employees, suppliers, communities - and all other stakeholders - are taking strain and changing their behaviours.
The good news is that precisely because this is such a time of upheaval, there are massive opportunities to deliver value in new ways. The system might be suffering a breakdown, but those who use the moment to develop breakthroughs will reap the rewards.
|
|
| |
 |
| To The
Top |
| |
|
|
|
|
