A challenge of the upper management could be the external show of strength they have to present despite personal fears and anxieties.
TRA Research’s ‘Coronavirus Corporate Insights 2020’ report indicates that corporates perceive it will take 66.1 weeks (16.5 months) to achieve economic normalcy, while for full health normalcy, they feel it will take 15 weeks (3.8 months) more. The survey was conducted across 16 cities with 101 corporate respondents from April 8 to May 4, 2020.
N. Chandramouli, CEO, TRA Research, says, “The biggest concerns of Corporate India are of Global recession which is 66 per cent on the Worry Index, followed by India’s inability to overcome the health crisis at 59 per cent. Three important factors of business survival, India’s bleak economic outlook and social unrest, all had a Worry Index of 57 per cent, showing the many concomitant challenges that corporate India was grappling with at the moment. Shaky consumer confidence remains lowest on the Worry Index at 39 per cent showing ‘little worried’, possibly implying corporates are currently more concerned about the larger picture leading to disruptions.”
“Considering the covid impact, the highest was revenues for the year at 75 per cent Impact Index, followed by Advertising at 64 per cent impact, showing that the first cuts were in immediately controllable expenses, especially in the light of the negligible demand for many sectors during the lockdown,” Chandramouli adds.
The survey revealed the Coping-Worry gap among Upper Management was the highest at 32 per cent, and perhaps there is just too much on the plate of the top management to cope with everything together. The other challenge of the upper management is perhaps the external show of strength they have to present, despite their personal fears and anxieties.
On the priority of corporates, OPEX reduction has the top slot with 69.5 per cent priority, CapEx reduction is the second highest priority at 65.5 per cent, business strategy taking 64.5 per cent priority, company operations are at 56.5 per cent priority and, contrary to what many would believe, manpower cost reduction is the very last what that corporates look at, which stands at 51.5 per cent priority.
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