5 Strategies for Professional Service Organizations to Accelerate the Post COVID Recovery
In this third installment of our blog series ‘React, Adjust, Recover – Strategies for Professional Service Organizations During the COVID-19 Outbreak’, we focus on strategies to help businesses recover faster as restrictions begin to lift. You may be too busy reacting to the crisis to think about recovery at this moment, but research shows you will want to act before the crisis ends if you want the fastest recovery.
Let’s start with the impact of the crisis so far. Recent survey data from Global Research shows there is an expectation of -20% hit to the 2020 professional services revenue forecast. Even with such a large impact, many experts remain positive about the recovery of this segment. The optimism is mostly due to expectations of a much faster economic bounce back than experienced with previous recessions.
While the future is still filled with uncertainty, many businesses instinctively will look to retrench until the crisis is considered over. Using history as our guide, cutting costs and standing still is not the optimal way to recover. As you build your strategy for the coming months it’s important to ensure a well-balanced approach that includes some tactics that may seem counter intuitive during a recession. Harvard Business Review recommends a model that has fewer ‘knee-jerk’ cost cutting tactics, blended with a few strategic investments. The HBR survey data shows businesses who make targeted investments during a crisis have a 37% better chance of pulling ahead of the competition when times get better versus only 21% chance for companies that focused only on cost cutting.
Written by Brian Siefkes
May 15, 2020
April 22, 2020
March 20, 2020