The pandemic has changed business models. The method of working remotely became permanent for large communities.
Participating in the “34th Meeting of Senior Executives” in issue 490 of Koç Group Publication News from Us Magazine Levent Çakıroğlu, CEO of Koç HoldingThe speeches of.
Emphasizing that the world was not prepared for the epidemic, Çakıroğlu said: “The health of our colleagues, business partners, distributors, suppliers and their families was our first priority during the pandemic process. We were very fast, careful and sensitive. . it banned travel and announced quarantine measures before the announcement of the pandemic on March 11. “
“WE HAVE PERFORMED THE REMOTE WORK PRACTICE QUICKLY”
Çakıroğlu said that the ‘remote work’ model, which has been quickly adopted in the community due to the Covid-19 pandemic, is within the Koç Group. It will be made permanent for 35 thousand office workers “We are not afraid of change, we trust ourselves,” he said.
Levent Çakıroğlu said: “We quickly started working remotely. We immediately took all necessary measures for our colleagues who continue to work in the workplace. In this difficult period, we have also considered the protection of employment and the prevention of loss of income from our colleagues as a priority, we try to be, ”he said.
Noting that measures relating to liquidity, activities, balance sheets and even business models of group companies are also being taken rapidly, Çakıroğlu made the following assessments:
“From the ventilator to the intubation cabin, from the visor to the mask, we design, produce and distribute quickly. They were not products that we had our production experience. What we did was appreciated both in our country and on international platforms. But more importantly, by reinforcing the “we can do it if we want to” feeling, we also give ourselves up to society in difficult times. First, our production facilities continued production uninterrupted or after shortcuts.
Our bank branches, concessionaires, stations, stores and warehouses have responded to the needs of the people and have supported the national economy by continuing their activities by taking all kinds of health measures. We are at the center of a great ecosystem.
We have around 10,000 distributors and services and hundreds of suppliers. We feel your responsibility in the same way. During this period, we showed each of them that we were there to meet their needs. We open the maturity when necessary and help them manage their stocks. On the other hand, our companies fulfilled their obligations to their suppliers on time. ”
THE WORLD HAS 5 YEARS IN DIGITALIZATION IN 8 WEEKS
According to a report by McKinsey, Çakıroğlu stated that consumers and businesses have taken the expected distance in the field of digitization in 8 weeks in 5 years. In this period, online sales have grown exponentially, preferences for private vehicles instead of public transport they have increased. and bike and scooter rental apps have grown rapidly.
Çakıroğlu noted the following:
“While the world economy is expected to grow 3.3 percent going into 2020, we are experiencing the hardest economic contraction since World War II. A global contraction of 4.4 percent is forecast for the end of the year. This situation naturally affected the prices of raw materials. The strong fluctuations in oil prices were the ones that affected us the most. At the beginning of the year, oil prices were expected to stay close to 2019 levels and hover around $ 60. However, due to the sudden contraction in demand, it quickly fell to $ 13, while the WTI traded at a negative price, albeit for a short time.
This shock at the beginning of the epidemic was compared to the Great Depression of 1929; Once again, that process was preoccupied. However, this time, the states moved quickly. They implemented comprehensive financial support packages to address the effects of the epidemic. The volume of this financial support reached 12 trillion dollars, which corresponds to 14 percent of the world economy.
As a result, the relationship between countries’ budget deficits and national income increased rapidly. In addition to expansionary fiscal policies, central banks also carried out enormous monetary expansion by buying in bond markets. In 2020, the total size of the balance sheet of the Fed, the ECB, the Japanese and Chinese central banks reached $ 27 trillion, with an increase of $ 8 trillion. On the other hand, the states also supported companies that they considered strategic. “
FILE: CAN YOU KEEP WORKING FROM HOME?