Managing the Unexpected: How to Survive and Pivot During a Crisis

When I was around 10 years old, I remember having a conversation with a Delta Airlines captain. We were talking about flying, I must have said something trivial and I have never forgotten his response.

He said, “Son, anyone can fly the plane in good weather.”

Through the years I have referenced that memory on occasion, and it seems perfect for the season we are currently in.

For the last 11 years we have been in a boom economy. For those with best laid plans and a strong work ethic, there has been a solid chance for predictable success.

And then boom. Unexpected turbulence. A totally unpredictable event that none of us have prepared for.

And this is the moment the passengers on the airplane as well as your employees and business, need the totality of your competence, confidence and transferable skills.

It has been so interesting to watch the phases business owners are going through. Shock, paralysis and ultimately action. That action may require a pivot.

Here is the good news. As an entrepreneur you signed up for this kind of life. You are built for this and are fully capable of getting through tough times.

Here are key steps to take in crisis:

1.   Phase One: Survival of the Enterprise. Whatever it takes to keep the business alive. Quick reads on the environment and take action to hunker down.

2.   Phase Two: Tactical Action. When revenue goes down, expenses must go down at a faster clip. A well-trained entrepreneur will avoid too much emotion in this step and take action. Now is the time to ensure there is a business at the end of this crisis. Short-term decisions versus non action is critical. Once through the shock, having slowed the cash drain, look around for every resource possible. In this case, Uncle Sam is doing all he can to bridge the gap. I assume we are all experts in this by now but if not, we can help: let us know if you need guidance through the various SBA, EIDL and PPP federal loan options.

3.   Phase Three: Pivot to Strategy. Using the best information of the day, start making plans on how your business will thrive after this crisis. The best information of the day is not on the daily news. Dig deeper into resources without emotion. Your trusted advisers, the CDC, respected scientists and economists, your own trade industry resources and as always, your instincts. Will it be a build back to business as usual? Have you discovered you have transferable skills that may create additional revenue opportunities?

At every step of the way, over communicate to your team, clients and vendors. It is okay not to have all the answers. Even the clarity of some uncertainty is more comforting than silence.  Remember: answers come as you take action.