Feasibility Studies – Decision making without fear
Until 2007 we lived in comfort, safety and with relative stability. Real estate projects, especially until 2007, were escalating and feeding many industries and workers, both national and foreign.
In 2008, the US had a cold that turned into global pneumonia, and the tap was turned off. In this 21st century we had not experienced anything similar and it took until 2017 to recover and very little by little. In 2019, a light beam began to be glimpsed, which finally materialized in the first months of 2020, where all industries report growth versus 2019 of about 30%.
And then in March comes a second global crisis, the COVID 19 pandemic.
In March Spain and Europe came to a standstill. We were unable to react to the double chaos caused by the state of alarm and the state of confinement. Many people were left without work or charging minimums and without prospects due to lack of information and knowledge.
Whether we are large or small, the question is what should we do? Shall we open? Do we not open? Questions keep ongoing mostly unanswered and today June 2020 we have been gradually opening a faucet that does not cover expenses in the hope that our clients will stay loyal.
But have we really done the homework? What do we do in these moments of uncertainty, complexity and risk? Have we looked at all those projects or ideas we had in the background that we never implemented because we were doing “fine”? Have we explored new ventures of Innovation, Change or Transformation? New lines of business, new channels of sales, new ideas to develop? Maybe its these that will bring NEW OPPORTUNITIES in THE NEW NORMAL.
I propose you use these basic tools for decision making and you incorporate them for good to your business strategy:
1) Your Values
Our Values are the Compass that will help us decide if we want to open in the same format or in another, if we ally, collaborate, compete or reinvent ourselves.
Our Values will give us the necessary Strength to make the best decision. Self-knowledge is essential for self-leadership. And in this situation, as in all times of transition, we must be our own leaders.
2) Feasibility Studies
Feasibility studies follow this process:
a) Purpose: Why do we want to do what? Do we want to change, innovate, transform?
b) Situation analysis: let’s make our own SWOT and identify our potential and talent in the current circumstances, what do we do better than the others? Do we have clients for it?
c) Study of alternatives: this stage is decisive, it must have diversity of opinion and experience, creative and disruptive ideas, that consider all possible alternatives from various points of view and create multiple possible scenarios.
d) Options filter: Finally, the alternative options can be 2 or 3 well detailed and tangible.
e) Choice of an alternative: Detailed Action Plan with times, cost and required quality.
f) Constant review of the viability of the project: even having taken the best decision with the information available, the study must be regularly questioned and the variables that made it up must be adjusted. It is decisive for the success of the project that it is revisited and the initial parameters are adjusted to show the reality of the project.
These two tools will allow us to make sustainable decisions now and always: 1) Our Values and 2) Turning Abstract ideas to Concrete decisions through feasibility studies.