Resilient

The current crisis may serve as an opportune time for organizations to divest assets. A business carve-out can create significant value for the seller during challenging financial circumstances. But the process can be complex and time-consuming at a time when leaders need to make critical decisions in rapid timeframes. In this episode, three Deloitte leaders discuss how divestitures have been historically used during times of crisis and how leaders might approach them during the ongoing COVID-19 pandemic. They share insights on how leaders might go about identifying and evaluating the criteria for a successful "surgical" carve-out. They also discuss key factors that may drive increased value when a company is going through the sales process–and how the process itself may significantly affect the final price. Given the unique aspects of the COVID-19-related divestiture environment, they explore how organizations might manage the divestiture process virtually, balance speed with elegance to potentially minimize transaction risk, and increase resiliency in M&A strategies moving forward.

As the economic impact of the coronavirus pandemic continues to grow, many business leaders may be trying to understand the magnitude of their organizations' financial losses. But attempting to quantify incurred loss during an ongoing and evolving crisis is nearly impossible—only after it's over can the full business impact be determined. What steps can companies take now to calculate and recover losses sustained from the COVID-19 crisis? This episode of Resilient features Katie Pavlovsky, principal with Deloitte Risk & Financial Advisory, and Vincent Morgan, partner, Insurance Recovery and Advisory at Pillsbury Winthrop Shaw Pittman LLP. Together they explore what company executives may be able do to better to understand loss exposure and recovery coverage in the near-term, and how they might tap into potential relief. They also discuss the importance of cross-functional collaboration and data-driven analyses when evaluating the impact. And in a world where little is predictable, they share insights on how business leaders may be able to identify and plan for ongoing risk related to the crisis.

The US government continues to execute on its multi-phased plan for providing economic relief to the many individuals and organizations impacted by COVID-19. Its most recent legislation (phase 3.5), earmarks an additional $484B for the Paycheck Protection Program, hospitals, and COVID-19 testing. In this episode, three Deloitte leaders share insights on the likely collective impact of the government relief packages to date, as well as the business and economic implications of the most recently enacted legislation. They also look ahead to the next wave of stimulus (phase 4.0), exploring how this developing legislation may help spur economic recovery for businesses and consumers. As the US Congress considers potential tax policy changes and funding for infrastructure enhancements to support telehealth, telework, tele-education, rural broadband, and more, we discuss how business leaders might consider the possible opportunities and risks related to these various sources of aid.

The economy continues to experience the adverse effects of the coronavirus pandemic. As business leaders try to monitor the evolving downturn, what economic indicators and historical comparisons can they draw on for insight? And how can they apply that information to help respond to near-term pressure points and plan for the uncertainties in the longer-term outlook? In this episode, Dr. Ira Kalish, chief global economist of Deloitte Touche Tohmatsu Ltd, shares his perspective on the current global economic environment and how it might evolve as this crisis continues. He explains why typical economic indicators may not work in this situation, but that there are lessons business leaders can learn from history. He also explores the role that technology advancements and government relief measures might play in sustaining the economy while the outbreak is contained.

For years, many companies have used scenario planning as a tool to help understand what the future might bring and a framework for how business leaders could plan and prepare. In the current environment, this type of planning is particularly challenging since the short-term unknowns are in some ways greater than the longer-term uncertainty. In this episode of Resilient, Deloitte Consulting LLP Managing Director Andrew Blau and Salesforce's Senior Vice President of Strategic Planning Peter Schwartz discuss how executives can use scenario planning to ask questions to help anticipate, pivot toward, and create new opportunities. They also share practical advice across four possible scenarios from the Deloitte-Salesforce collaboration, The world remade by COVID-19. Planning scenarios for resilient leaders, to help business leaders tune their radar to see potential longer-term change happening before it creates surprise.

The COVID-19 pandemic has dramatically changed how and where we work—impacting executives and those leading finance teams. For many companies, the new virtual work environment creates operational disruptions to financial reporting, including annual reporting and the monthly and quarterly close processes. How are organizations adapting and innovating to address these challenges? In this episode of Resilient, two Deloitte leaders share how finance professionals impacted by an already tumultuous quarter can address the implications of virtual closes. They discuss the technologies companies are using to help decentralized finance teams and reporting functions complete the close process under unprecedented circumstances. And, they explore the new normal that may be facing finance and executive teams as businesses move from crisis response to recovery.

Enacted on March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) is a relief package designed to alleviate some of the consequences of COVID-19. It earmarks more than $2 trillion in assistance to federal agencies, state and local governments, health care, businesses, and individuals. In this episode of Resilient, three Deloitte leaders explore the details and implications of the largest aid package in US history. They share insights on the CARES Act from a variety of angles, including tax policy provisions, government administration of the program, and small business relief. They also discuss how companies can tap into the aid package now to access some much-needed funding during this uncertain time.

Disruption to the global supply chain and the web of third parties that companies rely on has become a significant business challenge in the COVID-19 crisis. How are organizations getting supplies and achieving the balance of supply and demand in a compromised chain? How well do they know the third, fourth, and even fifth parties their suppliers rely on? And how are they identifying and managing concentrated geographic risks? This episode features a conversation with three Deloitte leaders who've spent decades focusing on supply chain dynamics. They discuss how organizations are evaluating their supply chain risk and share pragmatic steps leaders can take now to combat disruption in the near term. They also explore how companies can prepare to move from response to recovery and position their supply chains and their organizations to emerge from this crisis stronger.

Many businesses are already feeling the impact of COVID-19 on cash flow. Given the significant slowdown of commerce in nearly every industry, what are the risks posed by the resulting cash crunch? And how can organizations access the funds they need to withstand the crisis and emerge stronger? In this episode of Resilient, three Deloitte leaders who specialize in financial risk management, transformation, and corporate restructuring share insights on the instability created by the demand for cash. They discuss how the situation may shape a new business-as-usual normal in the aftermath of the initial crisis. They also explore the levers finance leaders can pull now including cash forecasting, cash conservation, and scenario planning to access capital, preserve value, and eventually thrive in the new paradigm.