Examining the impact of COVID-19 on Business Continuity in Saudi Arabia’s Telecommunication Sector

Abstract

The COVID-19 pandemic caused unprecedented disruptions to multiple sectors, resulting in businesses shutting down, job losses, and profit loss. In the telecommunication sector, the impact was slightly different because while other industries experienced a decrease in demand, the telecom sector experienced a surge which caused other challenges, compelling telecom-sector related companies to address the disruption and its concurrencies. Despite telecommunication being part of critical infrastructure in Saudi Arabia, there are few studies investigating the impact of the pandemic and strategies for business continuity. This study examines the impact of COVID-19 pandemic on the telecommunication sector in Saudi Arabia, and the business continuity strategies used to manage it. To obtain a comprehensive view, level of disruption caused and processes affected were identified. Data was collected through survey questionnaires sent to telecom-related Saudi companies; twenty-four respondents from different companies at varying employment levels participated in the study. Data was analysed using a mixed approach combining quantitative and qualitative data analysis. Findings show that Saudi telecom industry was affected in its operations by interruptions in supply chain and surge in demand of services. Interactive operations such as HR management and customer services were affected by social distancing. This research found that organisations that successfully coped with the pandemic had well-formulated business continuity plans (70%) that were updated to stay relevant (75%) and well-integrated into organisational culture (67%). Major themes related to strategies used by organisations that successfully coped with the pandemic include leveraging digital technology, effective leadership, agility, and collaboration with government agencies. The study recommends recognising and developing strategies for the new reality created by the pandemic.