Preparing for the next crisis: what can organizations do to prepare managers for an uncertain future?

Abstract

Purpose

Executives are poorly prepared for the next crisis. In order to be able to lead organizations through crises, executives need to have knowledge about the structures and processes they introduce with the goal of maintaining the organization's capacity for action.

Design/methodology/approach

The argument is based on the author's personal experience as consultants and experts for leadership development. Organizations are oftentimes too slow or too quick to implement measures. The adopted measures do not have long‐term effects. Many measures are inexpertly implemented, leading to a long‐term loss of employee trust. Executives do not measure up to their role's modified demands. Dedicated executives leave the organization or are on burnout‐induced sick leave.

Findings

Executives act within their professional role and not as individuals as a whole. A group of executives who are resilient as individuals does not yet make for a resilient executive team. The executive team's resilience depends on the collective capacity for action. Crises are threats to individuals and social systems, both regarding their subsistence and their identity. The fight to maintain the social system's identity obstructs the fight to maintain its economic survival.

Practical implications

There are four fields of action for executive development: crisis management expertise; interpersonal skills and self‐reflection; strategic resilience; and personal resilience.

Originality/value

The concept of “resilience” could help prepare executives, teams and organizations for upcoming crises. In addition to individual abilities, organizations also need to adjust habits, structure and culture in order to be resilient.

Citation

Faustenhammer, A. and Gössler, M. (2011), "Preparing for the next crisis: what can organizations do to prepare managers for an uncertain future?", Business Strategy Series, Vol. 12 No. 2, pp. 51-55. https://doi.org/10.1108/17515631111114840