29 Factors Affecting Business Essay.


 

Introduction.

Through the following essay, the 10 most important factors that will affect organizations in this new year will be shown, the year 2022 leaves behind 2 years where they lived under a lot of insecurity at the expense of COVID-19.

Factors that involve the pandemic and others, such as environmental changes or new social cultures, will be explored.

According to the World Health Organization (WHO), coronaviruses (CoVs) are a “broad family of viruses that can cause various conditions, from the common cold to more serious diseases, such as the coronavirus that causes the respiratory syndrome of the East. Medium (MERS-CoV) and that causing severe acute respiratory syndrome (SARS-CoV). When we talk about the appearance of a new coronavirus, it means that it is a new strain of coronavirus that had not been found before in humans. " (Colón, 2020).

 


Factors Affecting Business

Background.

COVID-19

In January 2020, news of a future pandemic that would hit the economies, societies, and lives of every country on the planet was announced worldwide. The first outbreak of what would become known as COVID-19 emerged in Wuhan, China on December 31, 2019.

climate change in the world

COVID-19 and the organizations

COVID-19 affected different organizations and the world economy. A quarter of the companies suffered losses of 50% in terms of sales, an average 27% drop.

Salaries in some of the organizations had to make an adjustment of up to 65% in the payroll of their workers, reducing working hours, salaries, granting licenses or special permissions. Some 11% of the companies laid off personnel.

The poorest countries found it difficult to adapt to the digital era, approximately 34% of the organizations implemented the use of internet, digital platforms, digital media, etc.

17% of the companies invested in equipment, digital media, and different programs.

The organizations suffered because there was a low economic support from governments, 1 in 10 companies managed to receive government support.

Climate change in the world.

Emissions generated during 2021 are forecast to increase global temperatures by 2.7° by the end of this century.

The COVID-19 pandemic caused a drop in CO2 emissions by 5.4% in 2020, from 2010 to 2019 greenhouse gas (GHG) emissions increased by 1.3% per year on average. GHG emissions reached a record high of 51.5 gigatons of CO2.


 

Challenges for companies in 2022.

The year 2022 is a year that enters with high expectations, after suffering 2 years subdued under the COVID-19 pandemic, with the vaccine present, we see an end closer to a more productive and stable normality, although according to our world in data.

“59% of the world population has received at least one dose of a COVID-19 vaccine. 9.37 billion doses have been administered globally, and 30.16 million are now administered each day. Only 8.9% of people in low-income countries have received at least one dose.” (our world in data, 2021).

There is no doubt that COVID-19 continues to be a worldwide concern, now with the new Omicron variant.

However, although the evolution and progress of this new variant and this disease is being monitored, the organizations have other new challenges that are now shown with the arrival of the year 2022.

Factors Affecting.

1.      New World Models

2.      Sustainability

3.      Climate challenges

4.      Supply chain issues

5.      Digitalization

6.      Human resources

7.      mental health

8.      Ecommerce fever

9.      NFTs

10.  Promoting digital disconnection


 

New World Models.

The year 2020 brings with it a challenge that is called hybrid work, organizations learned to cope with working from home and being present in the office only a few days a week and 2020 presents this new way of working with pandemic or without pandemic, also, while the virus disappears organizations must have larger spaces to reduce the risk of contagion.

Companies will have to analyze and take note of the new buying trends of their consumers.

Sustainability.

Currently, companies face a challenge between taking care of the environmental impact that organizations generate and taking care of the economic sustainability of the organization.

Based on the emissions generated, companies must demonstrate their corporate responsibility, this is usually very costly financially and it is not easy to find a balance between responsibility and financial viability, not only are we talking about how costly it is to implement fully sustainable measures but finding the critical points of sustainability in its value chain and recovering the data is sometimes almost impossible.

Climate challenges.

With all these climate changes, companies must not only worry about sustainability or the environmental responsibility they have with the world, but also if a future natural disaster or extreme climate change can directly affect their operations and they must be ready to All this impact, companies today already suffer indirectly from all environmental change, their production has been affected by the lack of their resources as a result of extreme events and companies must find how to manage all these risks in order to cope with them.

Supply chain issues.

The demand and availability of has been affected by COVID-19 and different social and environmental phenomena, also speaking of the shortage of available labor to work, with these new times it has become unpredictable.

With the problem in the supply chain, reducing the environmental footprint and increasing revenue is compromised.

Digitalization.

With the current digital demand that exists, organizations must stay at the forefront in all the technological advances that have been generated, without a doubt COVID-19 taught us to use digital platforms and technological means that were not seen before, this triggers us a technological evolution that streamlines and improves its financial performance.

Human resources.

Unemployment is a concern that we have as a generation, seeking to improve the quality of life.

9 out of 10 companies tend to have problems to be able to cover a vacancy effectively, there is the problem of filling the ideal position with the ideal person.

With COVID-19, people were forced to work remotely and several of these changes made it possible to enjoy work from this new way of working.

Mental health.

The COVID-19 pandemic was a very difficult and hard time for individuals, so the mental health of the staff was specified as a need for organizations, it is necessary to improve the quality with which they work, the work environment is a point that must be improved today, and organizations know this.

Ecommerce fever.

After the COVID-19 pandemic there was a rebound in purchases through the internet, this triggered that some physical establishments had to close permanently.

Organizations are facing the internet shopping fever; they must join this new era where internet purchases reach millionaire stages and face-to-face sales are increasingly reduced.

NFTs.

The cryptocurrency created a before and after in the exchange of assets. But the Non-Fungible Tokens, many companies have learned to use this new model to give their products an innovative and exclusive character.

Promoting digital disconnection.

Undoubtedly, digitization was a key point for the advancement of organizations and the tasks within them in recent years due to the pandemic, but just as previously, they spoke about how tasks, methods and organizations should be digitized, too. A culture should be promoted in which it is not dependent on it and is detached in a certain way from daily activities, since with the arrival of telework, much was facilitated for the protection of workers' health, but this made many of the activities became dependent on this new way of working and it is necessary to foster a disconnection.

Conclusion.

Based on all the foregoing, we can lower than the organizations beyond challenges and challenges, they effectively expose factors by which companies and organizations must accept to continue at the forefront with this year that comes forecasting technological and social advances of great impact.

The organizations after being affected by the pandemic and the different climatic changes entered a stage of survival, most are not ready for an event of this magnitude, they were not prepared with a contingency plan for this, so they should create new plans and new strategies to be able to continue in the market, which is becoming more and more global.

SMEs are the ones that have to face these challenges the most, everything that was read above implies that it is aimed at large organizations, but many small and medium-sized companies must not only adapt but also must adopt all this in order to get ahead.


 

Bibliografía

Colón, K. N. (11 de marzo de 2020). En contexto. Lo que debes saber del Coronavirus según la OMS. Obtenido de diputados.gob: http://www5.diputados.gob.mx/index.php/camara/Centros-de-Estudio/CESOP/Novedades/En-contexto.-Lo-que-debes-saber-del-Coronavirus-segun-la-OMS

Cómo la COVID-19 (coronavirus) afecta a las empresas en todo el mundo. (17 de February de 2021). Obtenido de Banco mundial: https://www.bancomundial.org/es/news/infographic/2021/02/17/how-covid-19is-affecting-companies-around-the-world

EW Nutrition. (16 de December de 2021). Los 5 principales desafíos para las empresas en 2022. Obtenido de ew-nutrition: https://ew-nutrition.com/top-five-challenges-businesses-2022/

GONZÁLEZ, R. (3 de January de 2022). Retos a los que se enfrentarán las empresas en 2022. Obtenido de Cinco Dias: https://cincodias.elpais.com/cincodias/2021/12/29/pyme/1640809554_702664.html

our world in data. (7 de January de 2021). Coronavirus (COVID-19) Vaccinations. Obtenido de our world in data: https://ourworldindata.org/covid-vaccinations?country=OWID_WRL

UNEP, U. D. (26 de October de 2021). Informe sobre la Brecha de Emisiones 2021. Obtenido de Programa de las Naciones Unidas para el Medio Ambiente: https://www.unep.org/es/resources/emissions-gap-report-2021

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