When I picked up this morning's Financial Post, the headline read "Awful, Ugly, Terrible, Horrible" which made me want to close the paper immediately and go back to my coffee in blissful ignorance.  However there is no avoiding the facts: the market is in a deep nosedive and the current "take no prisoners" climate has everyone running for shelter.  Indeed it will be very difficult for most companies across almost all market sectors in the coming 24 months.  Analysts agree that the recession will likely extend well into 2010, and that defensive sectors (utilities, telecoms and consumer goods, all defensive sectors that tend not to be economically sensitive) could be in for a "rough ride".  No kidding.  Talk about stating the obvious.   

Sounds pretty bleak.  Companies are going to have to really learn what their strengths are and play to them.  They are going to have to ensure they keep their top performers, and keep them happy, remain focused, and take the time to understand where their investments in human capital and technology generate a good return.  There will be cuts across all areas but companies need to be very careful when implementing cost-cutting measures that they don't "throw the baby out with the bathwater" so to speak.  There are certain expenditures that are necessary to ensure that performance can at least maintain acceptable levels.   

About the only measure of comfort is the fact that everyone (and I mean globally) is in this together.  I can't help but hope that given the far-reaching consequences that the banking system and regulatory watchdogs have wreaked on us that these sectors will undergo systemic changes to prevent another similar meltdown from ever occuring.  Perhaps I'm just an optimist at heart though. 

What do you think?  Is there hope for our global banking systems - will they change?  Or will they continue to crumble and suck up money like a sponge?  AIG has now received $180 billion dollars in bailout money from the U.S. Treasury.  I've got to wonder, at the end of the day, just how sound is this plan? 

How is your company dealing with these difficult times?  Are there things you are doing differently?  Ways of approaching old problems using new technology or approaches?  There's no question that as times get tougher, companies have got to be more proactive and creative in their approach.