Managing cash flow during a period of crisis (COVID-19) has been saved
Managing cash flow during a period of crisis (COVID-19)
As a typical “black swan” event, COVID-19 took the world by complete surprise. This newly identified coronavirus was first seen in Wuhan, the capital of Hubei province in central China in December 2019. As at the middle of March 2020, the virus has infected over 160,000 people and led to more than 6,000 deaths. More than 150 countries are now reporting positive cases of COVID-19 as the virus spreads globally, impacting communities, ecosystems, and supply chains far beyond China.
The focus of most businesses now is on protecting employees, understanding the risks to their business, and managing the supply chain disruptions caused by the efforts to contain the spread of COVID-19. The full impact of this epidemic on businesses and supply chains is still unknown, with the most optimistic forecasts predicting that normalcy in China may return by 01 April with a full global recovery lagging depending on how other geographies are ultimately affected by the virus. However, one thing is certain: this event will have global economic and financial ramifications that will be felt throughout global supply chains, from raw materials to finished products.
This article will suggest ways organisations can mitigate damages to their business during this volatile event.