Business Transformation - Post-pandemic economic recovery will be based on survival of the fittest

Arun Leslie John , Special to Business Transformation Mar 28, 2021

Noted LSU Professor Leon Megginson once famously quoted on the ever-changing world dynamics that it is not the strongest or the most intelligent who will survive but those who can best manage change. And no better time than in today’s scenario to realise its relevance.

The phrase Survival of the Fittest was initially based on Darwinian Theory of Evolution. Initially related to more of biological and mechanical aspects of life, the theory has been deeply percolated to other aspects of life including economics and modern political warfare.

With over 108 million global Covid-19 cases and 2.38 million deaths so far, the world is about to enter a new phase of life. From homes to boardrooms, individuals and business alike are now staring at new reality. The new reality has affected both the personal and professional lives of the people.

At a personal level, families and bread winners are looking to save more and invest prudently as last year’s ill experience of the initial pandemic spread stays fresh on everyone’s mind. At professional level, individuals and corporate are gearing up for a more skilled and qualified work environment where past excess redundancies are done away with.

Amidst the market debate regarding what to focus on and what not too, some of the key major themes that have formed over the course include:

• New and enhanced healthcare solutions and investment pick up. Vulnerabilities in the global health care systems have been clearly highlighted with even the most developed countries struggling to keep pace with ICU beds to treat active and serious cases. This implies additional investment on healthcare front.
• Digitalisation and increased adoption of work from home culture is increasingly gaining traction since past couple of months. Online web meetings with clients have re-defined the way businesses are conducted.
• The pandemic had nearly wiped-out decade’s build up in US job gains. The new normal has meant special areas of focus like skill refinement, adaption of products and services towards the new system, digitalisation trends and its incorporation in core business processes.

Unlike the earlier market crash events including the 2000 Dot Com bubble burst and 2008 subprime mortgage crisis, the current crisis is a health related one. Not only have jobs been lost but also thousands of people have died. In some cases, even the young individuals at their prime working age have suffered.

The initial health crisis gave way to a major economic shock for the entire world last year. People are likely to take more measures and precautions to make themselves secure in the outside social environment. As a result, proper economic recovery will be a long-drawn affair and will need to be sustainable in nature.

Key takeaways

• New and enhanced healthcare solutions and investment pick up.
• Online web meetings with clients have re-defined the way businesses are conducted.
• Proper economic recovery will be a long-drawn affair and will need to be sustainable in nature.
• People are likely to take more measures and precautions to make themselves secure in the outside social environment.

Source: Business Transformation