Wars and sanctions can disrupt the supply of goods from abroad, natural disasters can cause physical damage and completely stop the business, epidemics can temporarily interrupt financial flows. Unpredictable events of catastrophic force cannot be anticipated, but their consequences can be mitigated.
How to minimize: Financial cushion and prevention of deferral of payments from counterparties will help insure against force majeure. But the main thing is to be able to keep your cool and always have a “plan B” handy. For example, in 2020, when the pandemic began, companies that reacted flexibly and quickly to the first negative: they set up mask production, optimized business processes, quickly found alternative suppliers and additional financing, made recalculations and inspired their teams not to lose employees.