AGILE CRISIS MANAGEMENT

What does the Agile Crisis Management mean?

Agile Crisis Management is a combination of classical, financial-based crisis management and specific elements of Agile operations, which provides sufficient sensitivity to the potential of individual products, services and specialised areas in the responses given to the crises.

What problems does it address?

When it becomes clear that previous operations are not fully sustainable, it responds according to the temperament of each subject. Agile Crisis Management's basic focus of analysis is on which products and services to retain and which to outsource or eliminate completely.What problem does it answer?

What are the main steps?  

Agile Crisis Management combines classic corporate financial analysis tools with Lean portfolio prioritisation:

  • In order to ensure that our go/no go decisions are supported by the right information, we primarily look at characteristics and metrics such as market share and potential, revenue generating capacity, cost structure, employment.
  • We then develop and support the practical implementation of a prioritisation methodology based on the Lean-Agile portfolio management methodology, carried out by a defined set of evaluators. Here, we develop the evaluation matrix primarily taking into account company philosophy, strategy, organisation, knowledge, technology and fit.
  • The combined assessment of the results according to the two sets of criteria gives the so-called "survival matrix".

TYPICAL QUESTIONS

  • Why don’t we cut what takes the most money?
    Just looking at the cost level, even from a numerical point of view, is a one-sided solution. The ability to generate income and revenue should also be looked at in absolute terms and in relation to other activities. And not just for the moment, but for the long term.
  • Why should I pass entire industries to others?
    If we are not able to do a particular activity effectively in a given situation, we are taking resources away from our other, more successful activities by keeping it going. It can be assumed that if we cannot succeed in the market conditions in the area we are operating in, then neither will other companies of our size. A smaller company may be able to operate successfully at a much lower cost level than ours, but there is no need to compete with them in a crisis.
  • If I I only cut 30% of everything, then I only have to build 30% of everything back, right? 
    True, but what happens if, even outside the crisis, it turns out that activities B, C,....Z are not sufficiently profitable? Then I limit my key activities to the 70% capacity and cash reserves I maintain in other areas during the crisis.

Rólunk mondták

Anonim ügyfél

Without you I would have kicked the chair out from under me.

Gódor Sándor

ÜgyvezetőEzerszín KFT

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