How Global Trends are Impacting Business Resilience

Takeaways from our conversation with renowned economist Mohamed El-Erian

Confronted with a rapidly shifting landscape, business leaders are pivoting to meet unexpected challenges while balancing what’s best for their company, customers and employees. 

Dave Kucera, a senior executive with Capital One’s Commercial Bank, recently talked with economist Dr. Mohamed El-Erian about business resilience. 

A former chief executive officer, investment analyst, investor and market commentator, El-Erian was inducted as President of Queens College at the University of Cambridge in September 2020.

In this video, you'll hear Dr. El-Erian's perspective on the global trends impacting business. Here are 3 key takeaways.

You’re on a bumpy journey to an uncertain destination.-Dr. Mohamed El-Erian

1. Business leaders have increased their focus on resilience.

In the past, many businesses were overly focused on efficiencies in areas like inventory and supply chains. Now, they’re investing more resources into contingency and scenario planning for “tail events,” which El-Erian describes as events that have a low probability of occurring but a large impact.

2. Businesses have recognized that employees can be productive remotely.

More companies are realizing their employees can work both from home and from the office while still maintaining productivity. 

3. There’s a greater awareness of environment, governance and corporate citizenship responsibilities.

Goodwill among employees, customers and the community will help companies emerge stronger from the shock of the pandemic. 

“You’re on a bumpy journey to an uncertain destination,” says Dr. El-Erian. "And if the journey is bumpy, and the destination is uncertain, then the range of potential outcomes is much larger than you've ever thought of before." While navigating the road ahead, it’s crucial for business leaders to manage both the journey and the destination. 
 

More videos in this series
El-Erian addresses the importance of decision-making during uncertain times

 


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