This document summarizes a webinar on protecting a company's economic health during the COVID-19 crisis. The webinar focused on assessing the depth and duration of the economic impact, approaches to cutting costs depending on those factors, and the importance of transparent communication and engagement during difficult decisions. Speakers provided insights on riding out short disruptions with temporary measures or restructuring for long-term impacts through measures like layoffs or divestitures. They emphasized advance planning, scenario identification, and monitoring leading indicators to improve decision making and the company's position for rebounding from the crisis.

1. LEADING THROUGH AND BEYOND COVID-19 WEBINAR SERIES
PROTECTING
YOUR
COMPANY’S
ECONOMIC
HEALTH
Monday, March 23, 2020

2. 2
ESTHER COLWILL
Global Technology
Sector Leader
NATHAN BLAIN
Expertise in Organizational
Strategy, Cost Cutting
Agenda
ALEX JAKOBSON
Expertise in Mergers &
Acquisitions
SPEAKERS:
Introduction
Our insights
What you can do now
Where to find out more
1.
2.
3.
4.

3. A different kind of crisis
3© 2020 Korn Ferry. All rights reserved
The playbook companies used in 2008-2009 won’t work in 2020
Starts in
Communities, Not
at Work
A Humanitarian
Crisis, Not a
Financial Crisis
A Disruption,
Not a Recession

4. Assessing the likely impact
4
DEPTH OF THE ECONOMIC IMPACT DURATION OF THE CRISIS
Demand is generally weak, but uneven across
industries.
Small business – local retail, restaurants – will
be hit especially hard.
Government support is likely but not settled.
China has reached bottom in three months,
reporting no new cases across the entire country
Scientists unclear how the virus will behave
Changes in consumer and business behavior
may be lasting.
© 2020 Korn Ferry. All rights reserved
Leaders will need to monitor the depth and duration of the crisis in their industry and geography to
evaluate the right steps to take

5. © 2020 Korn Ferry. All rights reserved 5
Cutting with the rebound in mind
Employers will seek to
protect employees
and their productive
capacity as they
consider cuts to make.
Duration
Depth
Ride Out the Storm
Two Months Eighteen Months
> 50%
Revenue
Loss
Minimal
Revenue
Loss
▪ Unpaid furloughs,
hours reductions,
voluntary leave, exec
pay reductions.
▪ Supplier concessions.
▪ Near-term efficiency
measures.
PARE AND PROTECT
▪ Layoffs.
▪ Divestitures.
▪ Reorganization.
▪ Outsourcing.
▪ Capex cuts.
RESTRUCTURE
▪ Capturing variable cost
savings.
▪ Delay new hires, new
spending, raises.
▪ Cancel events, low
priority initiatives, travel.
RIDE OUT THE STORM
▪ Near-term efficiency
measures.
▪ Targeted layoffs.
▪ Prioritization of
strategic initiatives.
GET LEAN

6. EMPATHY FOR
DISRUPTION
Hard decisions, hard messages
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COMMUNICATING
THE CONTEXT
NEW
TECHNIQUES TO
MAINTAIN
ENGAGEMENT
Transparent and frequent communications increase the resilience of the organization.

7. © 2020 Korn Ferry. All rights reserved 7
Keep
the organization
engaged.
Engage
a diverse group in
identifying cost
savings options.
Identify
2-3 likely scenarios.
Monitor
leading indicators.
Improve the quality of your decision
making and the power of your rebound.
Advance planning

8. For further information
© 2020 Korn Ferry. All rights reserved 8
Get our latest thinking on KornFerry.com
www.kornferry.com/challenges/coronavirus
Use this QR code or click on the link in the chat box
to visit our coronavirus insights page and keep up to date with
our latest thinking on how you can lead
through and beyond COVID-19.

9. More webinars in the series
© 2020 Korn Ferry. All rights reserved 9
On-demand Leading in a time of crisis
On-demand Social distancing without revenue disruption
On-demand Keeping your people engaged and productive
through the crisis
Today Protecting your company’s economic health
Tuesday, March 24 Employing agile reward strategies for a volatile world
Wednesday, March 25 Crisis-proofing your talent processes
Thursday, March 26 Creating effective learning experiences in a virtual
environment
Friday, March 27 Cultivating personal resilience amid volatility
All sessions are being recorded and on-demand
viewing links, as well as registration links for upcoming
webinars, can be found on the kornferry.com
coronavirus insights page.

10. Thank you