One of
Britain’s most prominent scientists, Nobel Prize winner Sir Paul Nurse, no pun
on him nursing the pandemic, has launched a scathing attack on the handling of
the Coronavirus crisis asking, who is actually making all the key decisions. He
said, “the country had been rather too much on the back foot, increasingly
playing catch up, firefighting us through successive crises”.
He has cast
doubts on whether there was a proper strategy to combat not only the killer virus,
also about how to come out of it.
Who really
is in charge of decisions, he asked? “is it ministers? Is it public Health England,
The National Health Service? The Office of Life Scientists, Sage? I don’t know,
but more importantly, do they know?”
He added: “I think you are quite right to say
that everybody’s involved – not just the politicians, the scientists and the
doctors – we are all making mistakes.”
Every
government, every national Task Force around the world we note, is having a Fall Guy to blame it on, for not developing
the strategy and the operation and the implementation of that strategy, as
echoed in the wise words of the scientist.
We can have
as many Task Forces to get the best advice, but in my opinion, it is the Prime
Minister or the President of the country, or both who are ultimately
responsible.
How about
business?
Of course,
business cannot make decisions on health of a nation, but they can prepare the nation,
the government, and its people to navigate the human and particularly the
business impact of the pandemic. Businesses are thus rapidly adjusting to the
changing needs of the customers and suppliers while navigating the financial
and operational challenges.
Out of
necessity, business will have to be agile to stabilise revenues and take care
of their customers, particularly to reshape their business purpose. Deferred decisions,
delayed actions have immediate and long-term business continuity impact.
Some ways
business is coping with the shutdown
There is not
one way that business around the world is coping with the consequences of
COVID-19.A variety of organisations are working with key workers and have
adapted to respond to the urgent needs of people of not only different parts of
the globe, but also different parts, say of United Kingdom, as well as different
sectors of business.
With
billions of Sterling Pounds of retail stock currently in in ships in the high
seas on its way to the UK, analysts predict there is going to be a sales
bonanza sooner or later. Shoppers are in for a treat as there is going to be a
tidal wave of bargains as retailers try to flog stock since shutdown 23 March
2020. We are likely to see the best deals in spring and summer clothes throughout
July, August, and September 2020.Some shops have already started their sales on
the internet and H & M, a UK clothes retailer is offering as much as 70%
discount.
In the
hospitality sector, travel firms are planning after June 8th to exploit a
loophole in the 14 day quarantine period by flying holiday makers into U.K via Ireland
(which is exempt from new isolation rules). Dublin has become the “air bridge” named
as the “Dublin dodge”.
Is Profit
the purpose of business today?
You and I
may think, that business is all about profit, that business people are
unethical and business is all guile and greed.
Milton
Friedman of the Chicago School of Economics in 1970 defined business as
“maximising profit for shareholders”.
According to
Peter Drucker: “there is only one valid purpose for a business, that is to
create a customer.” The customer is the foundation of a business and keeps it
in existence.
We now need
to recast the very way we think about business after Coronavirus.
Of course,
profit is the reward for risk taken in business. Every business operates in
order to earn a profit. But the purpose of business today has changed along
with the other “new normal.”
A sense of perspective,
some of it unconventional,l is setting over global commerce. At the 50 World
Economic Forum at Davos in February 2020, a month before the spread of Covid-19,
the high minded discussion centred on Climate Change, Global Trade and
Artificial Intelligence (A.I) rather than business “Purpose” just for profit.
People and
businesses too are thinking of a “social conscience” in business. How you
behave, rather how business behave, not solely to provide dividends for
shareholders, has been spotlighted. How you behave towards your employees,
customers, suppliers will have a long lasting effect on reputation and the
licence to operate.
The bail
out of business by Governments
The public
agree with additional economic support in these difficult times for business,
there is perhaps, a cost for all business support. The public seems to want
strings attached for its support.
What we are
seeing is that the general public now favour increased regulation of essential
sectors of the economy such as healthcare, food supply and energy sectors.
Unless
business can assert their “purpose to provide solutions for people’s lives,”
there may be a risk of a powerful shift in people’s attitudes towards the role
of the State and literally against the solely profit motive of business.
Business
must respond in a way that meets the moment and the expectations of the people.
Cash was
king and Profit was queen. Today, “Purpose” is both King and Queen.
Victor
Cherubim