It can be noted that the economy contracted 7.3% in FY21 due to pandemic setbacks, and the lingering impact due to a new wave means that it is little likely the economy will hit double-digit growth rate fueled by a weak base in FY 22. Either.
The survey indicates that 73% of those polled plan to divest within the next two years, as the COVID-19 pandemic has created a need for capital to meet the needs of businesses.
“Timely divestment of assets can provide businesses with the necessary funds to manage liquidity and fuel growth during this crisis,” he said.
Consulting firm partner Naveen Tiwari said divestitures can help companies “build resilience” during the crisis and also focus more on their core business.
One of the biggest challenges facing business leaders is identifying the right time to divest assets, according to the survey, highlighting a finding that 70% of companies surveyed said they held assets. too long.
Successful divestment requires that the process be seen as part of business strategy rather than a one-time decision. A clear vision of the strategic alignment of each business, supported by rigorous portfolio reviews, can help CFOs identify good divestiture candidates and focus more on core businesses, the consulting firm said.
Preparing for a hybrid future
The business world has made a decisive shift from a full office work model to one that combines work in the office and work from home. Even as the pandemic rages around us and most people work from home, there is an almost universal shift towards a hybrid work model. This creates new challenges for the chief operating officer of the organizations, the COO.