How Can Your Business Become More Resilient?
In today’s unpredictable world, business resiliency isn’t optional, it’s a necessity.
Resilient businesses don’t just survive disruptions, they thrive because they’ve prepared for them.
After a recent keynote talk I gave on navigating uncertainty, one question came up repeatedly during my book signing session:
“How can my business be more resilient?”
The answer lies in addressing three critical external risks that directly affect your business’s desirability, viability, and feasibility.
Here’s how you can start tackling these risks today.
Desirability Risk: Is Your Market Shifting Without You?
Your internal strengths, like a strong value proposition, aren’t enough if external forces are changing what your customers want.
Behavior Shifts
Do you have changing consumer behaviors? (sustainability, convenience, health consciousness)
What generational trends are emerging across segments?
Competitive Pressure
Are there new market entrants who are offering innovative or cheaper alternatives to your business?
Is your market getting more saturated with a lack of differentiation?
Cultural Changes
Do you see shifts in values or norms? (diversity, inclusivity)
Is there a growing preference for specific lifestyles? (remote work)
Tip: Stay ahead by continuously monitoring customer trends and fostering discovery to remain relevant.
Viability Risk: Can Your Business Sustain Itself?
Profitability isn’t just about your internal pricing model or cost structure.
External forces like the economy and market dynamics can make or break your viability.
Economic Stability
Are there fluctuations in currency exchange rates for global operations?
Have countries implemented tariffs or trade restrictions?
Variable Costs
Do you anticipate sudden increases in costs of materials or resources across the globe?
Is technology becoming more expensive as you scale?
Market Dynamics
Is there a decline in industry profitability or an increase in shrinking margins?
Have any major players consolidated or left the market?
Tip: Diversify revenue streams to weather economic uncertainty.
Feasibility Risk: Can You Operate in Changing Conditions?
Even the best strategies fail if they can’t be executed.
Regulatory Changes
Do you for see new regulations being enacted that impact your ability to run your business? (EU regulations)
Are specific licenses for your business becoming more strict?
Partner Volatility
Are you over reliant on a single supplier or partner who might fail?
Have you noticed some of your critical relationships eroding?
Technology Growth
Is there a new technology that could make your back end activities obsolete?
Do you have difficulty in adopting new technological trends?
Tip: Map out dependencies (e.g., suppliers, partners, tech) and create experiment plans for disruptions.
Why This Matters for Your Business
The 3 External Risks of Business Resiliency
Ignoring these external risks is no longer an option.
As I often tell clients during workshops:
“Resilient businesses don’t just manage what’s inside their walls, they prepare for what’s outside.”
For instance, one team I worked with realized their value proposition positioned them to thrive during a recession, while another team discovered their vulnerabilities could lead to a total collapse.
The difference?
Resiliency and experimentation planning.
Your Next Steps
Ask yourself:
Where is your business most vulnerable: desirability, viability, or feasibility?
How will your strategy adapt to address these external risks?
Can you ensure critical operations continue during and after a disruption?
Let’s work together to build your business’s resilience.
Whether it’s facilitating workshops, assessing risks, or crafting experiment plans, I can help your business prepare for whatever comes next.
