Managing a Communications firm during a pandemic
Last week our mailing “Practical Thoughts for Managing Your Firm” provided a list of strategies and tactical examples for leading your business during the challenges of COVID-19. We asked you to send us information on what you’re doing. Thanks for the terrific input. We combined it with our experiences working with clients around the country during the last three weeks to generate this list of actual examples.
We hope it will be useful to you.
What Agency Owners are Doing…
Under the category of “Be diligent with your financial management:”
Everyone is conserving cash by cutting expenses, collecting A/R and accelerating billing. Cash flow planning is clearly a priority.
Owners and their teams are reviewing client rosters for risk and potential erosion of revenue, then developing Q2 and Q3 P&L plans accordingly. Most are doing both conservative and moderate scenarios.
When cuts to staff are necessary or being contemplated, the underperformers are the first targeted cut. Owners are keeping in mind if replacements will be needed in three to five months to determine what true savings will actually be realized.
Many are considering or implementing plans to cut salaries for senior staff prior to across-the-board reductions.
Of course, there are examples of deferring salary increases and promotions, freezing any new hires, reducing freelancers.
Some owners are speaking to their banks and landlords for needed support. And, reviewing the eligibility and feasibility to access the government’s bailout fund.
Maintain your culture virtually:
Owners have been “transparent but confident” with staff communications. Everyone recognizes your teams look to you for leadership in times of crisis (Governor Andrew Cuomo of New York is often referenced as a role model for effective crisis leadership).
Virtual all-staff meetings and “happy hours” are scheduled (often) to keep up morale. Other ideas include an online book club, cooking classes, shared movie night, online newsletters (agency brief) and awards for at-home creativity.
One owner is encouraging his team to offer pro bono counsel (within reason, of course) to favorite small business owners to help them manage through the challenge. Others are providing virtual outreach and support of local charities.
Several reported efforts to understand the personal situation of every employee to ensure expectations are not unreasonable. They are demonstrating that understanding through emails, personal phone calls, video chats.
One owner with a 2020 priority to determine possible successors is using this opportunity to delegate certain responsibilities to his leadership team to test potential.
While agencies are developing “worst case scenarios,” there is an understanding that avoiding layoffs until there is a better understanding of the economic recovery will engender valuable loyalty.
Demonstrate your value to clients in these unpredictable times:
Most owners reported being very busy currently assisting clients with pandemic-related communications to all the priority stakeholders. “It’s been a great opportunity to demonstrate our capabilities and commitment.”
Several issue regular communications to clients (and prospects) to provide observations, insights and best practices by industry, geography, stakeholder.
Keep your staff engaged by developing marketing plans:
Healthcare agencies are focusing marketing around “facts and myths” of COVID-19.
Public affairs agencies are sharing government policies, programs and edicts locally, regionally, nationally and globally.
A Hispanic firm is reminding clients and prospects of the most effective crisis communications strategies for the diverse Latino audiences.
Several agencies are sending mailings and offering webinars on how to manage through the crisis.
We hope these ideas will work for you as well as they are working for others. Use this challenging time as an opportunity to remind your team, your clients and prospects why your firm is so outstanding and indispensable. Learn from the experiences. Take action you know is right before you only have the option of reaction.
As we said last week: Stay in charge of your success. And, stay healthy.
We're here to help.
Prosper Group exists to help the owners of independent marketing communications agencies achieve their ambitions and maximize the value of their lives’ work.
Our team of former agency heads focus their deep experience on implementing proven proprietary methodologies across our three practices of agency performance, owner exit planning and M&A transactions in order to drive owner and agency success.
Developed by Alex Halbur/Partner & Managing Director, Rich Jernstedt/Senior Counselor and John Seng/Senior Counselor