The pandemic has turned many businesses upside down. Some were closed for months, started to tiptoe back to a new way of working and operating and now back to being closed. Others moved entire work forces into home offices overnight.
We are in a recession and like any other recession it is filled with uncertainty.
So can your business recover from these challenges?
The answer is probably ‘Yes’ if you believe you can, and ‘No’ if you are not sure if you 
have what it takes.
Let’s break it down into key elements…

  1. You need the resources to survive. That really means enough cash or the ability to generate it or borrow it. Without enough money, it really doesn’t matter how good you are at running your business. But in this current low interest rate economy, where most banks are awash with money, this shouldn’t be a problem for any good business with good plans.
  2. As always, you need to deliver what customers want, and in the way they want it. That certainly means adapting to the ‘new normal’ everyone keeps referring to. As Darwin said, the ones that survive are those most adaptable to change. If you think nothing needs to change, then think again.
  3. You need belief. Your own, and from those around you. There are many variations of the message, but the “If you think you can’t, you won’t” adage is usually right.

Let’s just explore this last point.

A university experiment trained 20 novice boxers to fight. They were graded 1 to 20, best to worst. Rather than match number 1 and number 2, they matched 1 with 11. So all matches ranked boxers 10 places apart on ability. The trainers spoke with the boxers before each fight. They told the better boxer that they were probably out classed and likely to lose, but to ‘give it their best shot’. They told the weakest of the pair that they were actually the better boxer, and it should be ‘a walk in the park’. In 9 of the 10 bouts, the weaker boxer won. This experiment was conducted in many different ways, and the clear evidence is that self-belief enabled people to perform better, and self-doubt usually lead to poorer performance, regardless of whether their self-belief or self-doubt was valid.

We have all met people with much more confidence than ability, and self-belief does not replace skill, or effort. However, most business people we meet have the necessary skills, work hard, and get most things right most of the time, but many still have that nagging doubt about whether they are really good enough. Now this is given the grandiose name of ‘imposter syndrome’. That feeling many people have of… “I’m making it up as I go along, and someday someone is going to catch me out”. How can you create self-belief? It’s not easy, as one of the characteristics is that you are reluctant to be open with people, just in case they do point and call you an imposter! Try working with other business owners and professional advisors, to share knowledge, experience and confidence. You will probably find many of them feel the same as you, or did so in the past. If enough people say “That’s a great idea” you may start to believe you aren’t an imposter after all!

Another key element to self-belief is preparation. Few have the confidence, or ability, to tackle a problem without warning, thinking on their feet and shooting from the hip. Whether handling a challenging employee, winning that new account, or persuading your bank to lend you money. Preparation, preparation, preparation. 

Plan the meeting. What are the key issues to address? What are likely questions or challenges you need to handle? Do you know all the facts and figures? Are you clear on the outcome you want? Confidence can come from knowing you have things under control.

The point is that any success you achieve is in part determined by your belief that you can achieve it. There are big challenges coming in the next year or two. Those who attack with confidence and proper thinking and planning, will do considerably better than those who don’t really believe they will survive, but carry on because they don’t have a plan B. It is helpful to have enthusiasts around you, but also important to understand their perspectives…

Many of your team are pessimists. It’s in their DNA, they can’t help it. They spend their time moaning about the fact that things have changed, and looking for the bad news in every situation. Often saying “I knew that wouldn’t work”, but always after the event!

Some are optimists. Enthusiastic because they really do believe things will get better. Right now you can hear that as “Can’t wait until things get back to normal”. They have no idea how things will return to normal, but they believe they will. The problem is that they aren’t proactive about change, as they feel things will sort themselves out.

The key group are the realists. They believe change is needed and that it won’t happen unless they change it. They analyse the situation and develop practical, workable plans that can help the business adapt to reduce risk and seize opportunity. You probably have a good instinct as to who fits in which category, but the important issue is to ensure that the pessimist’s voices don’t drown out the others, and the optimists are directed with clear goals. The realists are the ones that need encouragement and support because they may also have imposter syndrome and not see their value in their contributions.

One final thought on your whole team. In the premier league, home teams would typically win around 45% of the time, away teams 25% and 30% end in a draw. The recent results in both UK and other leagues, where teams are playing to empty stadiums, show that away teams are now winning more often than home teams. Why?

Clearly there is an advantage of having 60,000+ people shouting encouragement, and certainly greater pressure on players to perform better in front of their own fans. There is also a slightly greater expectation of a home win, and an acceptance that an away win is a bonus, because of this ‘home advantage’. What this also underlines is that performance is not just a factor of the situation and the resources available, but expectation of success, self-belief, and people on the side lines cheering you on, will have as big an impact on your success.

So believe in yourself and build a team around you that encourage and support you through these choppy waters.

THINK PLAN ACT