MTI Consulting has launched that latest version of its Trim & Fit consulting solution to support businesses with accelerating out the current health and economic crisis.
In response to the challenges and opportunities which businesses will face in a post Covid-19 landscape, boutique management consultancy MTI Consulting has launched the latest version of its ‘Trim & Fit’ methodology, which draws on the lessons learnt during previous economic crises. The performance-driven consulting solution aims to help companies not just survive but prevail through the tough times by seizing upside opportunities.
“A common feature in all financial crises that the world has faced since the Tulip Crisis in 1637 to the current Covid-19 crisis is the failure of some of the strongest companies that enjoyed meteoric rise in the good times,” said MTI CEO Hilmy Cader, who founded the Sri Lanka-based international consultancy in 1997. Research clearly shows that, how companies respond to the crisis, is what separates the ‘living’ from the ‘departed’.”
Here, the firm states that most organisations tend to cut costs indiscriminately and freeze all forms of developmental work during or in the wake of a crisis, while adopting a ‘wait & see’ approach. These MTI dubs ‘Chop & Cripple’ companies. In contrast, it says, ‘Trim & Fit’ companies may demonstrate caution but also take the opportunity of a crisis to critically evaluate every aspect of their strategy, structure, staffing and systems.
In addition to “challenging every dollar and every stroke of work as to the value added”, these smarter companies also recognise the upside of acquiring low valued assets, strengthening their market position during the lower levels of competitive and marketing activity, and overall gearing the business toward the upturn. MTI says that its approach takes a ‘direct-2-bottomline’ route to ensure sustainable results with the optimum level of resources.
Describing the change process as lean and effective, the ‘Trim & Fit’ methodology is geared around three phases – analyse, strategise and realise – with the first phase featuring a swift assessment of scenario assumptions, value-chain financial analytics, opportunities, and a strategic risk assessment. Understanding these elements, the firm says, could have a profound impact on the following ‘strategise’ process.
At the ‘realise’ stage, once the organisation has ‘de-slacked’ strategy, processes, structure and work habits by challenging assumptions of value and identifying redundancies, MTI contends that the aftermath of a crisis is an opportune time to institutionalise a lean culture and lean processes while also tech optimising. Then businesses should be the lookout for ‘acquisition’ opportunities – as to businesses, products, brands, channels, and people.
Writing in a separate report, MTI notes; “The global economy has come to a screeching halt with the novel Covid-19 virus. This resulting crisis has erupted a decline in consumer spending, manufacturing and trading activities that has led to an erosion of business profits and a large surge in unemployment. While a global recession presents many uncertainties, one thing has remained certain: the inevitability of M&A in a post-recession scenario.”