Resilience to the fore as businesses cope with challenges

Hiran H. Senewiratne

GROWTH RATE: Last year Sri Lanka was able to record an over 7 per cent growth in the economy and most of the corporates are comfortable with their performances and were able to record high profits.

However, due to the prevailing situation certain business organisations are struggling to keep their heads above water while some really don’t feel it at all.

The business resilience under the crisis situation is an important factor and most companies adopt prudent marketing and business strategies to survive in their businesses.

It is said that most business organisations have been affected during the last few months and there is no doubt that the leisure sector is one of the worst hit industries. This impact has also had ripple effects on other sectors of our economy.

According to the Chairman of the Sri Lanka Tourist Board Renton de Alwis there are many areas of business that could be opened up for the local market as our business community is capable of coming out with innovative products to attract tourism during this period.

President of the Federation of Chamber of Commerce and Industries of Sri Lanka (FCCISL) Nawaz Rajabdeen said the current situation is not new to the country and it had prevailed for more than two decades. It is a fact that there is a lull in business and it has to embrace new strategies to penetrate other business opportunities.

Rajabdeen said day-to-day operations in all business organisations are functioning as usual.

Rajabdeen emphasised the need for having a disaster management plan for business entities. In the meantime they should adopt new technology and business strategies to survive in the business.

Managing Director Caltex Lubricants Lanka Limited, Kishu Gomes said the operating environment is dicey and vulnerable. All economic development indicators indicate we have a high level of inflation, security uncertainty and other crises.

‘We have noticed that businesses are not yet greatly affected. But in the last few months business people are over cautious in responding to the current situation.

Caltex being a leading lubricant dealer adopts many business models and strategies to improve the productivity and cost effective measures to be in business, he said. It has also enhanced the value to the internal and external customers, Gomes said.

Managing Director Laugfs Holdings Limited, W.K.H. Wegapitiya said they face a lot of challenges under the present circumstances. Their focus is to minimise cost and improve productivity as their business model.

Certain commercial banks including Hatton National Bank and Sampath Bank sources said they are mainly focusing on the mass market, especially retail banking businesses, to survive under the current circumstances. Certain leading hotels said they are going through a major crisis due to the current situation in the country.