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Survival Guide for Asia’s StartUps from Matt Young, Nutanix

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CIOL Bureau
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Survival Guide for Asia’s StartUps from Matt Young, Nutanix

Startups have a constant struggle with fire-fighting, funding and ‘survival’ activities as it is. But the current disruptive environment has made them particularly vulnerable: efficiency, productivity and growth have come under much greater pressure, liquidity challenges, and funding just got harder and more selective.

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Most startups operate lean business structures, so any personal, social and practical distractions can magnify the negative impact on productivity. Absent, isolated or stranded employees further compound this.

Supply chains disruption is another area of concern. Established enterprises have diversified their supply chain over many years. Startups tend towards more discrete supply chains from a smaller group of suppliers.

As China is the primary bulk supply market for affordable basic components, the reduction in output due to factory closures and staff restrictions may cause order fulfilment and growth challenges in the near and longer-term. Likewise, the outsourcing of contact centres and back-office workflows is similarly restricted as the outsourcers struggle to maintain operations.

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A reduction in productivity and inability to fulfil orders will hinder cash flow and liquidity – the lifeline of any startups.

The good news, funding will not disappear. However, it will become harder, take longer to secure and be more selective given the current climate.

This will force accelerated supply chain diversification (although this is not a short term activity). Further, productivity, efficiency and resilience will be enhanced with stricter policies to ensure delivery and accountability, in or away from the office, and perhaps the most significant change, a shift from growth to revenue generation – as the need for cash becomes the critical driver for survival.

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Ultimately, we will see start-ups realign and adapt – and the faster they do the more chance for survival. Those start-ups that come through this will be stronger, more resilient, and much better equipped to adapt and re-invent themselves against any major hurdle in the future. Nutanix did.

About the Author

Matt Young is Senior Vice President for Nutanix Asia Pacific and Japan

Matt Young is Senior Vice President for Nutanix Asia Pacific and Japan, where he is responsible for leading all aspects of Nutanix’s operations across the region, including leading sales and support, business planning and strategy development, customer care, management of Nutanix’s country offices, and Nutanix’s alliances and channel strategy across the region while ensuring superior customer experience. Matt brings over 20 years of global sales and executive management experience to Nutanix, growing and scaling emerging technology companies.

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