Rising to the Occasion of a Crisis

Dealing with uncertainty and complexity is par for the course for business leaders. They’re always on the lookout for threats from competitors, problems in the supply chain, and opportunities amid challenges. But when the stakes are highest, the most effective leaders take time to listen, make decisions that will best protect their people and business, and lead from the heart.?

Global disruptions—the Ukraine war, the pandemic, macroeconomic volatility, societal divisiveness—present leaders with the kinds of sensitive challenges they’re expected to address fast. Under pressure from stakeholders, including employees, customers, shareholders, and boards, leaders sometimes have to offer a public stance on a crisis, a position that can affect the future of their organizations.??

A few BCG experts share the kinds of moves that leaders can make to carry a business and its people through difficult times.?

WHEN YOUR PEOPLE NEED YOU, MAKE TIME FOR THEM?

From BCG’s Debbie Lovich : A crisis highlights what leaders need to do in all circumstances— care for people, create safe spaces for conversation, and inspire a sense of purpose. Leaders should become? “generative.” Generative leaders are always asking: How do we make every single person better off every time we interact with them? How do we ensure that every product we develop will make the world better? How do we continue to improve the speed, agility, fulfillment, and fun of day-to-day operations??

The skills that leaders need are the same in any crisis. In fact, these skills are important even if there isn’t a crisis. Crisis situations just call them out and make the need for them more noticeable. Leaders need to show empathy, understanding, and caring. They need to be there for employees. Ideally, they’ll also inspire their people with a clear sense of purpose and a vision that motivates and aligns them.?

LEAD WITH YOUR HEART AND HAVE THE COURAGE OF YOUR CONVICTIONS?

From BCG’s Jim Hemerling : What we have seen in times of crisis and uncertainty—when people are living amid constant change and, more broadly, massive societal upheaval—is that employees look for leadership from the heart. They seek a sense of purpose, recognition, coaching and development, empathetic listening, and deep caring for their physical, mental, and emotional well-being.?

In a crisis, clarity of purpose is particularly critical because in heated moments, when decisions might be made at a fast pace and with limited information, it is essential that leaders have a North Star to guide their actions. Purpose can also help provide much-needed inspiration at a time when people can feel overwhelmed and burned out by the pace of change and disruption to their lives.??

Everything generative leaders do is guided by their deep desire to positively impact not just their organization but also society, leaving the world a better place than they found it.?

MAKE THE BOLD CHOICE TO SIGNAL YOUR VALUES??

From BCG’s Mathieu Lamiaux : When war broke out in Ukraine, business leaders faced tough questions. They asked: What do we do with our employees in Russia? Should we find a way to help them leave the country? Should we keep operating in Russia??

At some point, leaders have to decide what they believe is right for their employees, clients, suppliers, and companies. I heard people say at the outbreak of the war that a leader’s response would be remembered for decades. Initially, I thought that was an overly emotional statement. But then I realized that sentiment is right. At a time of ESG concerns, at a time of trying to find purpose in what we do, I am convinced that some companies made the correct, bold choice to signal their values.?

For Further Reading:?

What Business Leaders Do in Times of Global Crisis and Disruption ?

The CEO’s Dilemma: Business Resilience in a Time of Uncertainty ?

The Business Leader’s Path Through Economic Turmoil ?

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