With Article 50 due to be triggered tomorrow, more than a third of companies (44%) still haven’t started planning for Brexit, reveals new research.
The survey found that while 77% of UK businesses are concerned about the impact of Brexit, a large number of UK companies still aren’t ready to handle the significant changes Brexit is expected to bring.
Many are still relying on outdated, disconnected methods for planning, including pen and paper (58%), email (81%), Microsoft Excel (86%), and Microsoft Word (80%).
Despite this lack of preparedness, nearly 1 in 3 (29%) decision-makers say that the UK’s choice to exit the EU has already positively impacted their organisation.
Benefits of preparation
Businesses identified losing access to the EU single market, regulatory changes and exchange rate fluctuations as the biggest obstacles facing them after Brexit, according to the survey of 250 decision-makers conducted by Anaplan.
Although leadership was identified as crucial for companies as they prepare for Brexit, UK companies believe leadership is lacking. A third of respondents said they do not trust anyone within the business, while only 20% of respondents said they trust their CEO to know what will happen post-Brexit, even though 40% believe the CEO is responsible for managing the impact of Brexit.
This lack of trust extends outwards, with only a quarter of those surveyed placing trust in the government, industry analysts or the Bank of England, according to the data collected between February and March this year.
“Unfortunately, there isn’t an approved script for how to cope with situations such as Brexit or the impending triggering of Article 50, but businesses can and should model and plan for multiple future scenarios and be ready to course-correct their strategy,” says Karen Clarke, Regional Vice President, Northern Europe at Anaplan.
“Looking at best- and worst-case scenarios to understand business impact will make organisations better prepared to manage and exploit whatever happens tomorrow or in the future,”
“Along the same vein, business leaders must equip themselves to pivot quickly in response to any number of outcomes and by taking a connected planning approach, they can get to work immediately. The tools are available, and now, in this time of uncertainty, is when organisations should harness technology to support their business agility.”