In order for a business to reset strategy for 2021, change need to start from the customer. What has changed for the customers? How much? In which direction? How can we continue to deliver value today and tomorrow? This is the perspective where the planning of the reset needs to start.These are the most important questions all businesses should currently be asking:
1. How does Covid-19 impact the behaviour of our customers?
2. How does this impact our business?
3. Do we need to reset our business to be future proof?
4. How do we do that?
How is customer behaviour changing?
Covid-19 has not only impacts in the near term, but it will trigger the largest socio-economic changes since decades. The wealth gap is broadening faster than ever and for many countries systems built for the past are being stress tested like never before. The whole environment for business is in transition. But what is actually changing? People have been forced to change their behaviour because of the global and local restrictions triggered by the pandemic. And as the pandemic prolongs, many of these behavioural changes become accepted by the people, the consumer and the employee. A new normal establishes itself, and some behaviour we thought was dominant before Covid-19, will never come back. This is, at the moment, the root cause for a crisis in many businesses in different industries. As the behaviour of the customer changes for good, so do the core foundations of businesses need to be changed.
In order for a business to do a reset, they need to start from the customer. What has changed for the customers? How much? In which direction? How can we continue to deliver value today and tomorrow? This is the perspective where the planning of the reset needs to start.
1. Let your customer value be your compass
When you prioritize your next year's actions, make sure the prioritisations are based on a customer perspective and backed up by solid customer understanding. The activities should demonstrate that the company is recognising and proactively shifting its operations towards new areas of customer value creation. Need based customer segmentation where the potential customer value can be identified properly is one clear step to start resetting business.
2. The employees are the key to execution, but the employee experience is in flux
Covid-19 has radically altered the way our employees work and as well what the employees expect from their employee. By now, the majority of the people who are in jobs that are possible to do remotely have already had a vast experience of the pros and cons of new work. New routines are being created, a new idea of productivity and work -life balance is being established. We need to look at the problem from several angles: does the “home” allow for a focused and ergonomic working environment? Does it make sense to commute to London City still everyday, even though most of the tasks can be accomplished at work with high efficiency? What about the 10 hours of extra “life” in the week, because of less commuting? How do I maintain good relationships with my colleagues or clients without face to face meetings and visits? How do I lead a strong culture without seeing my team face to face? Even how we experience “work” and “holiday” has blended, creating new hybrid practices.
The changed perception of work challenge companies to recreate their work practices and environment in order to keep up profitability, strengthen their culture and to create competitive advantage. We need to acknowledge that these example questions are just early evidences of the complexity of the change we are witnessing globally at the moment. To find out winning solutions for this challenge, companies will need to adopt a strong employee experience point of view. The whole context of what “work” means has changed and proactive leaders are including this in their reset strategies.
Employees are a source for new ideas and what a good work culture constitutes for them. For leading companies this creates an opportunity to create radically differentiating culture 2.0´s, and win in their employment market and increase their employees happiness and productivity. Human-centric design offers tools for adopting an employee perspective to the transformation of your organisation.
3. Open and agile planning with your partners - this is the time to do it.
Be transparent and invite your strategic and creative partners in the planning and budgeting process. There is more solidarity than ever at the moment in business, we all share the same enemy and we know the collective success together now is key to a healthy economy tomorrow. According to our experience, a shared understanding the problem is the beginning point for many successful outcomes and solutions. If there is ambition and drive to make a successful reset and plan for a winning 2021, this is the time to invite your partners for a dialogue. A clear and transparent defining of the core needs and desired outcomes is key to a successful collaboration for two reasons. You as a business leader should receive a broader exploration of the problem and the opportunity, before settling on a certain solution path and locking budgets. This is the key to unlock bigger challenges or opportunities and paves the way for more impactful solutions before even starting the change. Open dialogue and transparency ensures that you as a business leader will receive better quality project plans and more relevant sustainable solutions, already from early on.
Watch our new video Two major topics that will affect 2021.
We welcome you to discuss your needs and targets related to resetting your strategy.