Assess Moves For Returning To Normal After Covid 19
After weeks of the spread of Covid 19 pandemic and widespread lockdown, we must take stock of how the crisis has disrupted the strategic decision-making framework for organisations and try to build a new one to look beyond the immediate crisis. The following three horizons framework approach illustrates how organisations sustain growth, while maximizing the future opportunities
for growth.
Horizon one represents those core businesses most readily identified with the company name and those that provide great profits and cash flow. Here the focus is on improving performance to maximize the remaining value.
Horizon two encompasses emerging opportunities, including rising entrepreneurial ventures likely to generate substantial profits in the future but that could require considerable investment.
Horizon three contains ideas for profitable growth down the line, like small ventures, research projects, pilot programs or minority stakes in new businesses.
Time should be treated as a prompt for when to pay attention - now, later, or much later. Organizations must manage businesses along all three horizons concurrently. Rather, it suggests the cycle by which businesses and ventures move, over time, from Horizon two to Horizon one, or from Horizon three to Horizon two. The Axis represent the growth in value that companies may achieve by attending to all three horizons simultaneously.
A major disruption like Covid 19 pandemic has put us through looking glass, the horizons are turned around, and a world envisioned by futurists is playing out in real-time on data terminals, social network feeds and TV screens.
Almost overnight, Horizon three has become Horizon one, as fashion houses scramble to convert production lines to make masks, automotive companies to make ventilators and brewers and perfume companies to make hand sanitizers. The final Horizon represents the world that used to be the first one: the one where people can leave their houses to go to cafes and movies, go shopping and purchase non-essential goods, and travel domestically and internationally more or less freely.
Covid 19 could push half a billion people into poverty. And yet in this new world, we can still use a version of the three horizons framework, one shaped by the nature of pandemic and our responses to it. This is an emerging crisis horizon, where society is scrambling to respond to the radically situation and taking drastic measures to flatten the curve of the pandemic.
Most likely this will be followed by a Second and Third horizon push.Taking a three horizons framework can help not just business but also Governments, social enterprises, and even families
and individuals, in assessing their priorities and allocating energy and resources, so that they are
not overwhelmed by tunnel vision during the crisis and recovery.
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for growth.
Horizon one represents those core businesses most readily identified with the company name and those that provide great profits and cash flow. Here the focus is on improving performance to maximize the remaining value.
Horizon two encompasses emerging opportunities, including rising entrepreneurial ventures likely to generate substantial profits in the future but that could require considerable investment.
Horizon three contains ideas for profitable growth down the line, like small ventures, research projects, pilot programs or minority stakes in new businesses.
Time should be treated as a prompt for when to pay attention - now, later, or much later. Organizations must manage businesses along all three horizons concurrently. Rather, it suggests the cycle by which businesses and ventures move, over time, from Horizon two to Horizon one, or from Horizon three to Horizon two. The Axis represent the growth in value that companies may achieve by attending to all three horizons simultaneously.
A major disruption like Covid 19 pandemic has put us through looking glass, the horizons are turned around, and a world envisioned by futurists is playing out in real-time on data terminals, social network feeds and TV screens.
Almost overnight, Horizon three has become Horizon one, as fashion houses scramble to convert production lines to make masks, automotive companies to make ventilators and brewers and perfume companies to make hand sanitizers. The final Horizon represents the world that used to be the first one: the one where people can leave their houses to go to cafes and movies, go shopping and purchase non-essential goods, and travel domestically and internationally more or less freely.
Covid 19 could push half a billion people into poverty. And yet in this new world, we can still use a version of the three horizons framework, one shaped by the nature of pandemic and our responses to it. This is an emerging crisis horizon, where society is scrambling to respond to the radically situation and taking drastic measures to flatten the curve of the pandemic.
Most likely this will be followed by a Second and Third horizon push.Taking a three horizons framework can help not just business but also Governments, social enterprises, and even families
and individuals, in assessing their priorities and allocating energy and resources, so that they are
not overwhelmed by tunnel vision during the crisis and recovery.
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