We constantly discuss the global and local risks that await us, but when we face them, there is not much discussion about what elements in our companies will sustain us. So, we have not made the transition from ‘worry’ to ‘action plan’ yet.
We should never forget about the steps to survive. These steps can be summarized as “know yourself-raise your resistance-start a comeback-predict the new normal-keep changing.” These steps are better to be followed in the same order.
For example, in order to increase the resistance described as the second step, the organization must first understand the situation by talking to the first step, that is, with internal and external stakeholders. The managers of the organizations, who do not think that there is any disruption because the sales are continuing, can bankrupt the business even while making a profit. Since the rapid increase in the number of organizations operating in the same sector makes it difficult to find qualified personnel, businesses must make an effort to retain their employees and increase their training.
Rather than the smoothness of the financial statements in the upcoming periods, the priority will be to ensure that the ‘organizational chart’ is in line with the realities and the existence of human resources that can intervene with common sense in case of risk. ‘Automation, innovation, and digital infrastructure’ are no longer a choice but a necessity. Because the most important element of management is “follow-up and control.” We cannot rely on manual work to manage the business.
“Digitalization Must Be Synthesized with Human Touch.”
Furthermore, we must know that the era of handing over financial statements to skilled accountants is over. Because accountancy is to tidy up the past and the present. But finance is about ‘predicting the future’ and designing solutions for upcoming risks. The top lines of the income statement are under the responsibility of the General Manager, but the rest falls under the CFO’s field of duty. In addition, financial management is an activity that should be done at every level in the organization. Like risk management, the CFO for financial management needs to be at a level to train departments for process management.
Automation, innovation, and digital infrastructure’ are no longer a choice but a necessity. Because the most important element of management is “follow-up and control”. We cannot rely on manual work to manage the business
Some sectors, like banks and financial institutions, are in an advantageous position in this structure due to their activities. Quality processes are instantly tested in real life, and the strategy always includes logical-exciting-accessible details. However, very few retail players in the region have such a fine structure. Although the targets are exciting and logical, the necessary structuring, human resources, and infrastructure for these targets are
insufficient. Therefore, after a while, the whole strategy turns into a “do nothing without asking me” tactic. However, in times of crisis, individuals who take the initiative are needed. While strong leadership is to increase the number of people with the qualifications who take the initiative, gathering all decisions in one person or group delays solutions.
As a result, the approach that will keep organizations alive in the upcoming storm is that the main strategy is determined together with the stakeholders, adopted by all employees, designed to take part in all stakeholders, the power is distributed in a balanced way, critical decisions are taken with a rapid process that spreads to the base, not with the oligarchy, and the common mind. In addition, the strategy will need to be renewed according to the circumstances without sacrificing quality.
We can carry out such a dynamic process in constant communication with stakeholders inside and outside the organization. In this way, I think it is possible to overcome the reality of “crisis moments.”
