Crisis Management during and after COVID-19 pandemic
The coronavirus (COVID 19) pandemic has made the crisis management an important part of every leaders arsenal.
Low-Probability High-Consequence events are unexpected events that can not be foreseen and we have little historical similarities. However, they do happen, and their impact is extreme (high consequence). As there are only a few events available to learn from, it is
- close to impossible to understand by a single person,
- difficult to undestand by a stand-alone company or organization
This is because we do not have enough facts, or learning opportunities to design the decision making process and risk mitigation procedures, and properly address the hazards.However, there are similarities and common principles hot to manage companies in crisis situation and how to lead them through radical changes.
The current global crisis caused by the COVID-19 virus is an exceptional situation, not previously seen in our lifetimes. To cope with this, the approaches and measures tested in the past may not be enough and CEOs are faced with the need to act quickly and proactively to manage a time of great instability and uncertainty. The temptation to ‘wait and see’ is very high, but it may not be the right choice.
At the moment it is impossible to predict the impact on consumption and customer behaviour, the reaction of the capital markets, how long it will take to return to a ‘normal’ situation and indeed what the ‘new normal’ might look like. Ultimately, we do not know what the final impact of this crisis will be on international and local economies, on production/supply chains, and on the different business sectors.
This is an emergency situation and we must act with speed and focus, combined with the ability to redefine normal corporate hierarchies and responsibilities. Tasks and roles not previously experienced must be assigned and decision-making processes must be reconfigured on agendas with common extraordinary objectives.
We therefore need a ‘crisis room’ that basically produces 3 results:
- mobilisation of the leadership team on common objectives and continuous call to action both for the period of the crisis and for the period immediately following
- development and modelling of scenarios to anticipate the different consequences on the impacted areas and the preparation of reaction plans in readiness for action
- accurate and reassuring communication to all stakeholders (inside and outside the company).
Turn this crisis into an opportunity: let’s talk about it together.
Over 30 years of experience supporting companies through change, with experts in Crisis Management, in the UK and worldwide.