Business leaders with a clear vision are often more capable to drive change because they often align changes in their businesses with the purpose of why their businesses exist.

Building a great customer experience starts with what a business means to its customers; identifying who these customers are, and determining if innovation projects can improve what the business has to offer. It is important to know who the traditional customers are and whether the business can do more for these customers or reach an underserved segment of the market. By traditional customers, we are referring to consumers who choose and buy items at a physical store who may lack the knowledge of alternatives or varieties, as compared to online customers who have access to almost everything at their fingertips. In its plan to improve customer service, the company may need to involve different departments to have a more holistic view.  

Innovation projects will also need to take into consideration how these impact the digital roadmap of the business. Projects can suffer from inertia when software and solutions are no longer able to support the intended features.  

 

Building Connectedness Post-COVID-19 is Key

In a society that is still dealing with COVID-19, business practices and modes of operation are pivoting toward online and contactless transactions. Customers want to be more connected.  Companies have realised that it is important to be part of the digital ecosystem, and in certain cases, companies are starting to see each other as complementary rather than competitive towards serving their customers.

 

Setting Apart from the Competition through Four Principles

There are four principles businesses can differentiate themselves amidst competition:

Simplicity: The ease of demonstrating value to customers and knowing why they should use us are often what every business desires. Design and workflow of business processes need to take into consideration the scalability of the business as well as whether the infrastructure supporting this aspect can be managed in-house or outsourced.  

Convenience: Customers often seek a one-stop-shop concept and at the same time value both time and economy. Businesses need to explore such concept to ride the wave of enhanced customer relationships and marketing.

Globalisation: Businesses that can offer their products consistently and readily to the masses will always have an edge over those that cannot. International companies pride themselves on being global, but thinking and offering locally. Such a strategy should be as consistent as possible to ensure the business’s purpose remains steadfast.

Going Green – ESG: Customers are becoming more conscious of corporate sustainability and environmental impact strategy.  Whilst there are many standards available to assess ESG performance of a company, companies that align their ESG strategies with a clear set of goals and targets will do better in the long run as compared to those that do not.

 

Coming Out of COVID-19, Businesses Must Apply the 5Cs in Their Recovery Process

Businesses need to consider the 5Cs when addressing sustainability and be able to bounce back from the adverse economic impact of the prolonged pandemic. The 5Cs are Cashflows, Credit, Customer, Cost, and Culture.

  1. Cashflow is the lifeblood of businesses. Businesses should ask how long they can operate under the pressure of paying fixed overheads before accessing to funds, and liquidity becomes a challenge.
  2. Businesses need to be watching their Credit exposure as this impacts cash inflow. They may also consider seeking extension and negotiating better credit terms with financiers and bankers. This will help them by having access to more ready financial support should the tide turns.
  3. Every Customer is welcome, though not all customers are suited to the business model transformation and other evolutionary plans which a recovering business may have. Companies should also evaluate customer terms, and the nature and type of customers that the business should have for their planning.
  4. Cost has often been the key agenda during the pandemic. Many businesses are still grappling with higher operating costs and work solutions to manage costs and reduce financial burden. Some companies have done well to sustain these changes. Businesses need to squarely address cost-effectiveness and resource optimisation, especially during this recovery period.
  5. Finally, the pandemic has impacted corporate Cultures of many businesses. Some companies realised the importance of engagement and the criticality of connectedness with staff and business partners. The engagement and connection with staff within the company and business partners should form part of the continual enhancements for HR plans and people strategies to ensure lessons learnt from COVID-19 are not lost.

 

To find out more and how we can assist you in your business journey, please reach out to our specialists.

Tay Woon Teck
Partner, Business Consulting
T +65 6594 7803
[email protected]

Dennis Lee
Partner, Business Consulting
T +65 6594 7627
[email protected]