How To Avoid The Pandemic Recession

Recently there was an interesting article in The New York Times entitled, “The Pandemic Depression Is Over. The Pandemic Recession Has Just Begun.” So where does this leave us? It is safe to say that this is not the first time there has been major economic and social disruption in the history of this republic.

After WWII, we went from over-employment of women (during the war effort) to under-employment of this demographic group when returning veterans took back important jobs held by women. But those jobs (75-80 years ago) for the most part do not exist today as we move into the 4^th industrial revolution. Over this time frame, we have moved from a heavy manufacturing economy to a technology and service industries economy.

A new economy requires new thinking and new agility

As we start this new revolution, economic and social conditions will change again, and we will need to reflect and refocus. As examples, here at SAMC we have several clients who are adapting to these changes with an urgency created by the COVID-19 crisis. It is not an exaggeration to say that the way in which we deliver our own services is markedly different. To a large degree, flexibility is key, both on our part and our clients’.

While our accounting clients always allowed their employees to “sometimes” work at home, this was treated as an exception rather than the norm. For our healthcare clients, medical services were almost always delivered in the office. However, the rapid rollout of primary care services via telemedicine is now something that both providers and patients have begun to accept as routine in this environment.

And for our higher education clients, when their leadership called for remote learning, this was met with significant faculty resistance. Now it has become an acceptable strategy. Because of the rising cost of a college education, this method of delivery might even become the norm in the future.

So, when The New York Times talks about changing patterns of behavior, pay attention, because “the times, they are a-changing.” Expecting a return back to pre-pandemic days is just not going to happen. We are entering a hugely different work environment than has ever existed before.

What to do going forward

My sense is that if we can wrap our hands around the need to change, we might be able to minimize this pandemic recession, stimulate job growth and make the world a better place for the foreseeable future. Here are three tips you might want to embrace:

Stop resisting the unknown and the unfamiliar and embrace the uncertain future. This could represent real opportunity.
People hate the lack of certainty. They want to know where they are going so create a plan for yourself and your business. You might have to make mid-course changes but standing still is not a viable option.
Listen to your customers. Together, co-create the future with them and then help them get there.

For more on how to successfully adapt to change, I recommend the following

Ready to learn how to embrace change, especially now? We can help

During this pandemic and also in the years that will follow, the ability to change and adapt to the new and different will be paramount. At Simon Associates Management Consultants, we specialize in helping organizations of all sizes and across industries rethink their business strategy, realign their company culture, launch their venture, capture customers and grow market share. Perhaps this is the right time for us to help you with your business. Please contact us so we can get started together. We look forward to hearing from you.