How companies manage crises: Mastering challenges with courage

Unforeseen events require from entrepreneurs Courage and determination. In the CoronaCrisis the tourism industry in particular was faced with unexpected challenges. 3 companies show how they deal with the government restrictions and how travel in Future will change.

Unfamiliar situations, new challenges for companies

There are situations that have never been there before and Companys force a radical rethink. This includes, for example, the Corona crisis, which has significantly restricted the global economy, at least temporarily. Among the most affected Industries One of them is tourism, which came to a virtual standstill during the lockdown and was then subjected to severe restrictions.

The role of a crisis as a challenge for companies is often underestimated. But as we know, crises can change everything. You can force companies to change their Strategies, their organizational and management structures and the way they deal with their customers and employees deal with, change. You can significant positive changes and new ones ideas trigger. You can get the best of the People and get out of the company.

A crisis is a major challenge for entrepreneurs

Such a crisis is just for entrepreneurs, with high personal commitment and large Risks Building your business has been a huge challenge. Many entrepreneurs know when something this drastic happens that bankruptcy is a possibility, but they don't know how to deal with it. When you're about to collapse, you can't expect it at all anymore Shops . make

A crisis also means that the past and the future cannot be separated and that we cannot go back and start over. But the crisis also means that we cannot go forward and simply continue on the same path that we have taken so far. A crisis makes and in a very drastic way clear: There is no “normal” or “natural” state of the Welt. We all know that, but we sometimes forget.

When the crisis unleashes unimagined creativity

But a crisis can also be unexpected creativity set free and bring out the best in people. It's also why some entrepreneurs can find some truly brilliant ideas in the bleakest of conditions. And that applies to many tourism companies under Corona conditions.

The hosts and restaurateurs, who have been running their businesses with heart and soul, passion and inner conviction, sometimes for generations, hit the many restrictions particularly hard. How do you feel about the difficult situation? I looked at three very different companies and spoke to the people on site.

Social distancing as a basic concept

The Kranzbach is one of Germany's best wellness hotels and has received several awards. With its idyllic location between the Karwendel and Wetterstein mountains and its extensive range of health options, it is particularly suitable as a hideaway for stressed people who can afford the luxury of this seclusion:

While the modern extension of the building was cleverly built into the slope and is hardly noticeable, the stone-walled castle stands almost alone on its own 130.000 m² mountain meadow. It was commissioned in 1915 by the English aristocrat Mary Portman, and built by the English architects Detmar Blow and Fernand Billerey in the style of the English Arts and Crafts movement.

The advantage is that social distancing in Kranzbach is practically a Concept heard: Guests should have peace and quiet here for themselves lonliness enjoy and relax with a view of the imposing Wetterstein mountain range in the pool or with one of the many sports and meditation courses.

"Travel will change"

In order to allow the guests this form of slowing down, the hotel foregoes a number of sources of income, as the owner does Dr. Jakob Edinger reveals: "We cannot be booked via platforms, do not hold events or seminars, not even weddings are possible and we prefer to recommend specialized businesses to families." He is therefore sticking to his vision even during the Corona crisis: The hotel is voluntarily only 75 percent full and so the state-imposed restrictions, apart from masks and gloves, are barely noticeable at the buffet.

The success proves the hotel owner right: “We have a lot of regular guests and in general the guests bring a lot of understanding and Discipline with." But he has also noticed changes: "There is more demand, people have become more cautious and sometimes post bookings." Overall, Edinger, who also advises other tourism companies, is therefore convinced: “Travel will change. The demand for retreats, nature and fresh air will increase - across all budgets. But this is also an opportunity for companies to score points with trust and good quality.”

 "Vacation in Germany is trendy again"

Stefanie Ziegelbauer, who runs the Relais-Chalet Wilhelmy as a boutique and design hotel in Bad Wiessee am Tegernsee, has had similar experiences: “People have become more reserved and understanding, but the need for security has also grown, which is why many are now driving to Germany on vacation,” explains Ziegelbauer, who is also a change when it came to the duration of the trip: "Previously, guests only came for two days, now they spend their holidays here. Holidays in Germany are back in fashion.”

The small hotel with 28 rooms and 11 employees is a real, but very exclusive family business: the owners cook themselves, create their own flower arrangements, personally take care of each guest and work in the garden, cozy, modern rooms with balcony, terrace and garden view and mountains invite you to linger, a spa with sauna and pool offers relaxation and the Tegernsee is just a few minutes' walk away. Those who like it completely private can rent the luxurious Alm-Chalet with 120 square meters.

Carry on despite total failure and crisis

In addition, the house has small, exclusive Meetings specializes and offers two beautiful conference rooms with mountain views, which are also often used by international companies, a source of income that is currently lacking, of course. The Corona crisis also came in the middle of a major renovation phase for the hotel, and government requirements make additional staff necessary.

The company has taken extra precautions and has had one for 26 years Insurance against plant closures, which now does not want to pay for the damage. “That leaves only legal ones steps”, the hotel manager explains the difficult situation. In principle, she welcomes state aid and also the reduction in VAT, which has an effect, but: “We had a total failure for two and a half months, and despite state aid we can only compensate for this with loans,” explains Ziegelbauer. "After all, we want to continue."

When 40 percent of the income is lost in the long term

The situation is not easy for the German Youth Hostel Association (DJH) either: as a non-profit organization Organization If the association is not allowed to build up any significant reserves, it should still operate its houses economically and thus cover their costs. The corona crisis has created an imbalance that lasts well beyond the lockdown, the association gains 40 percent of its income from school trips. But that's exactly what doesn't exist at the moment - and not at least until January 2021, at least in Bavaria. "If it stays that way, we will have major losses that we can no longer absorb," explains Marko Junghänel, who works in the department Marketing & Education of the DJH Landesverband Bayern Communication responsible.

In the beginning, youth hostels were simply not in the political focus, Junghänel explains. At the instigation of the Bavarian state association, a petition was then started to awareness to direct to the situation. Active local politicians were also contacted. In the end, the DJH received almost 6 million euros. "That covers them Costs from the beginning of the lockdown until autumn of this year. Then we have to see how we can continue,” said the spokesman, who does not have long-term loans Solution sees. Rather, the association now wants to develop new concepts.

New concepts to deal with the crisis

New concepts are much more in demand: “We are currently actively approaching schools to enable them, for example, to outsource lessons. But our speakers can also support you with a media-pedagogical offer when catching up on unusual teaching material or conducting digital lessons. But there are also inquiries Teambuilding-Measures, in order to counteract the falling apart of the class groups,” reports Junghänel.

But the DJH is no longer just the target group for schools, many clubs and organizations also hold meetings and seminars here and are much less restricted by the restrictions. And youth hostels are also becoming more attractive for hikers and families who want to take a cheap holiday, as I discovered during my visit to Kreuth am Tegernsee: Like all youth hostels, the house has a large outdoor area with plenty of room to play and is in an idyllic location also a good starting point for other activities, be it hiking, paddling or cycling.

Sustainable orientation as a unique selling point

The DJH would also like to go further in its sustainable orientation, which represents a unique selling point in this price segment invest, as Junghänel emphasizes: “We will be significantly expanding the range of organic food from next spring. That was supposed to happen in March, but it was due to delivery problems and the short-time work of many Employees difficult. But we want to continue to offer our guests quality.”

However, one thing will not change either: the shared rooms typical of school trips. “Since the DJH has significantly expanded the range of smaller rooms in recent years, this of course makes us attractive for families. But we also keep getting feedback on how educationally valuable multi-bed rooms are for the students and we will definitely keep this concept. "