Building a business sustainably in the era of uncertainty?

Life is what happens when we are busy making other plans. It seemed like the worst of the pandemic was behind us and the world would be ready for the next wave of growth, but that alas is not the case. There is growing geo-political instability. Businesses need to be in shape to meet the challenges of high commodity price inflation and uncertainty regarding the state of supply chains worldwide.

So, what can you do to ensure sustainable business growth in such times?

1. Insure all critical assets at a company level

It is high time to ensure that all critical assets will be insured as insurance premiums have gone up because of disruption risks particularly around the Cape of Good Hope in Africa, the English Channel, the Middle East and the China routes.

2. Find alternate sources of raw material

Depending on the industry, prices of raw materials have gone up between 20 - 40%. It is time to look for substitutes as maintaining profitability is critical regardless of the company’s ability to pass on the prices. It is easier when you are an established brand. Otherwise for most companies the initial hit has to be borne at least for a quarter.

3. Invest in your people

Most growing businesses under-invest in people much to their own detriment. Reason being there are many fires to put out as roles are not defined at an owner manager level. Once these and the roles for key functions are defined, that is 90% of the battle won.

Also read: Employee Experience and Customer Experience: Two sides of the same coin

4. Look at Data Privacy laws seriously

Data is an asset and also a liability. It is important to take care of this, as clients are aware of this, as commercially sensitive data is involved from a work from home perspective. This enables the enterprise to have no leakages in the boat. This is critical since extreme events can happen from a probability of once in a century to a once in a decade.

5. Focus on the long term

The long term and the short term only exist. As a business leader, your role is to look at the future. In the current business environment, there are short-term and long-term considerations. Long-term growth drivers need to be in place for the business to be sustainable, and the business design can be worked upon.

Most of all, always remember - eternal vigilance is the price of liberty. Seize the day wisely!

Also read: Practical tips for overcoming crisis and enjoying financial freedom

To explore business opportunities, link with me by clicking on the 'Connect' button on my eBiz Card.

Image source: Canva

Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the views, official policy or position of GlobalLinker.