A COMMENDABLE PERFORMANCE
Q: How do you view Sri Lanka’s COVID-19 response so far? What are the pros and cons?
A: The response from the government has been strong and consistent. Hard decisions were taken at certain junctures; and these decisions were consistently and swiftly implemented. As the crisis is unprecedented globally, there has been no blueprint or tried and tested system to help the government’s response – this makes its performance all the more commendable.
Initially, there were challenges in terms of ensuring that the public has access to basic essentials and ensuring the continued operations of businesses. Certain controlled efforts have been implemented to resolve these challenges and the response has continued to improve over time.
Q: What lessons have we – the business community – learnt from this crisis?
A: COVID-19 has led to a massive disruption of business operations worldwide and there are several lessons to be learned.
Firstly, change is constant; this is the stark reality. As an example, we have all prepared our initial budgets for financial year of 2020/21; yet, within the span of a month, these budgets and business plans have been rendered unusable, and call for review.
Secondly, businesses can afford to be lean and efficient . The outbreak is a reminder to everyone to ensure that we operate our businesses in the most efficient manner possible to ensure that companies are sustainable in the long term. I’m sure every organisation is evaluating its operations, and trying to identify what it can do to better drive and protect long-term profits.
Thirdly, businesses should focus on the core. Businesses have begun to refocus their attention on the core aspects of sales, overheads, profits and cash flows. If they’re able to maintain this focus continuously, businesses can definitely protect the longevity of their operations going forward.
Finally, businesses should prioritise advancements in technology and processes. The outbreak has given businesses an opportunity to identify bottlenecks in the business model, which can be solved through technological solutions.
Q: How do you see the ‘new normal’ for business panning out?
A: The new normal isn’t constant and will continue to evolve. However, its evolution will revolve around the key aspects identified above.
Apart from that, a few important points that organisations will need to consider is that changes to business models are necessary – and how quickly we adopt them is crucial to the smooth operation of business.
Similarly, changes in the working culture are likely and there must be an increased emphasis on employee safety. This will have an impact on the way we do business – for example, how can we adapt to the new work from home (WFH) culture in the post-COVID environment?
Businesses will also need to seek new opportunities. While stabilising business is a priority at this time, it is imperative that leaders look for new opportunities as well; because it is these very opportunities that are likely to become a part of business going forward.
ABOUT LMD’S A LISTERS
BOOST TO REAL ESTATE INVESTMENT
Q: What are your expectations of the business environment in the next 12 months or so? A: With the reduction in interest rates and increase in money circulation, people have a greater tendency to invest in real estate over the money market amidst the pandemic. We have seen similar patterns even in developed markets such…
EMERGENCE OF A NEW ECONOMY
Q: How did the pandemic necessitate a digital economy? A: Countries were not prepared for the COVID-19 pandemic’s impact on the economy and people, but it has resulted in the emergence of a new economy and way of life. It is technology, and the spirit of humans to survive and push past boundaries that have…
PRIORITISING CRUCIAL SECTORS
Q: What are your expectations of the business environment in the next 12 months or so? A: I believe that business is not likely to pick up until at least mid-next year for the hospitality sector. Business was nonexistent and as a measure to prevent exorbitant losses, we converted our hotel into a quarantine centre…
A POSITIVE AND FLEXIBLE PATHWAY
Q: Do you expect the national economy to pick up this year? A: If the third wave of the pandemic is brought under control as soon as possible, then we can expect the national economy to pick up towards the second half of the year. To ensure this happens, the vaccine must be sourced in…
RELIABLE PARTNERS IN A CRISIS
Q: In brief, what are the main challenges confronting corporates at this time? A: I think corporates today are besieged with a plethora of problems caused by the prevailing situation. First and foremost is the challenge in keeping their workers safe from COVID-19, and flowing from that is the inability to keep production cycles running…
IN A STATE OF DELEVERAGING
Q: How do you perceive the economic climate at present? A: I would like to really think about the state that the country’s economy is in. Our debt repayments are much higher than our income and this puts Sri Lanka in a state of deleveraging. This recently manifested itself in a 14.2 percent increase in…
EVER EVOLVING EXPECTATIONS
Q: What modern-day challenges do businesses face? A: Information overload – in the new world we live in, there’s never a lack of information. About 2.5 quintillion data bytes are added every day; more data is created in a single day than the combined amount generated over 99 percent of human history. Previous generations of…
EXPANDING CREDIT FACILITIES
Q: What is the bank’s corporate strategy for 2021/22? A: DFCC Bank’s 2021/22 plan is based on our five year strategy for 2020-2025 with the aim of making it one of the most customer centric and digitally enabled banks by 2025. Our lending plans will align with the government’s budget proposals to facilitate the growth…
REMAINING IN THE SPOTLIGHT
Q: What are Sri Lanka Tourism Development Authority’s (SLTDA) priorities for 2021/22? A: The global tourism industry will continue to experience a huge shift in the way of doing business. Our innovative bio-bubble concept launch in January was recognised at ITB Berlin. We hope this will boost traveller confidence. Therapeutic destinations and experiential travelling are…
