Managing Through Crisis: What Is Crisis Management?

Summary

In this 'Managing Through Crisis' webcast, Professor Dutch Leonard discusses crisis management and leadership during the coronavirus pandemic. He emphasizes the importance of real-time problem-solving and innovation in unprecedented situations, where traditional playbooks are ineffective. Leonard advises leaders to convene diverse teams, embrace a learning process, and communicate honestly while offering hope. He also highlights the opportunity for businesses to leverage their core capabilities to contribute positively during the crisis.

Takeaways

• 😷 The COVID-19 pandemic is a true crisis with significant novelty, requiring real-time problem-solving and innovation, as traditional playbooks are not applicable.
• 🌟 Professor Dutch Leonard emphasizes the importance of distinguishing between routine emergencies and true crises, highlighting the need for a fundamentally different approach to leadership in a crisis.
• 📚 The Bloomberg Harvard Mayors Initiative is conducting special sessions to address the challenges faced by mayors in leading their communities through the pandemic.
• 🔍 In a crisis, leaders must focus on the process of problem-solving rather than seeking immediate answers, as the situation is constantly evolving and unpredictable.
• 🤔 The script underscores the importance of convening a diverse group of stakeholders to represent different interests, understand the evolving event, and leverage the organization's unique capabilities.
• 🛠️ Effective crisis leadership involves assembling a critical incident management team tasked with embracing the full range of issues and iteratively working towards solutions.
• 🗣️ Communication during a crisis must be based on truth and reality, with leaders being brutally honest about the situation while offering a rational basis for hope.
• 🚫 Leaders should avoid the pitfall of providing quick answers in a crisis, as this can lead to decisions made without full understanding of the situation, which may need to be reversed.
• 💡 The script encourages businesses to find opportunities where their existing skills and capabilities can be helpful during the crisis, rather than trying to develop new ones.
• 🤝 HBS students, trained in problem-solving through case studies, are encouraged to use their skills to contribute positively and make a difference during the crisis.
• 🌱 The pandemic presents an opportunity for businesses and individuals to demonstrate their resilience, creativity, and ability to innovate in the face of unprecedented challenges.

Q & A

What is the main focus of the 'Managing Through Crisis' webcast?

The webcast focuses on discussing a range of business topics related to the coronavirus crisis, featuring Harvard Business School faculty and their insights on leadership and crisis management.

Why is Professor Dutch Leonard considered an expert for this discussion?

Professor Dutch Leonard is an expert in crisis management and leadership, making him the perfect person to discuss how to lead through a crisis like the coronavirus pandemic.

What is the Bloomberg Harvard Mayors Initiative?

The Bloomberg Harvard Mayors Initiative is a program sponsored by Mayor Bloomberg that convenes around 50 mayors annually for an online program, focusing on crisis management and leadership.

How does Professor Leonard describe the difference between routine emergencies and true crisis events?

Routine emergencies are more familiar and have established playbooks for response, whereas true crisis events have significant novelty, invalidating existing playbooks and requiring real-time problem-solving and innovation.

What is the main challenge leaders face during a crisis according to Professor Leonard?

The main challenge leaders face during a crisis is the need for rapid innovation under stress and fear, as they must deal with unprecedented situations that require real-time problem-solving without a predefined script.

What does Professor Leonard suggest as the best approach for leaders during a crisis?

Leaders should adopt an entrepreneurial and innovative forward-looking stance, convening a process for real-time problem-solving, embracing all issues, and learning their way forward through iterative and continuous improvement.

What is the significance of the '20 Things for Organizational Leaders to Know About COVID-19' document?

The document serves as a guide to help leaders understand the evolving nature of the COVID-19 crisis, its implications, and how they should respond, emphasizing the need for forward-looking planning and adaptability.

How should leaders balance transparency with the need for real-time decision-making during a crisis?

Leaders should communicate based on truth and reality, being brutally honest about the situation while offering a rational basis for hope, acknowledging that they may not have all the answers and that the process involves learning and adapting.

What opportunities should businesses look for during a crisis?

Businesses should seek opportunities where their existing capabilities can be helpful in the current circumstances, focusing on their core skills and finding ways to contribute positively to society without taking advantage of the situation.

What pitfalls should leaders avoid during a crisis?

Leaders should avoid giving quick answers when no one knows the solution, as this can lead to poor decisions. Instead, they should embrace a problem-solving, experimental approach, treating all actions as tentative and reversible.

What advice does Professor Leonard have for HBS students regarding leadership during a crisis?

Professor Leonard encourages HBS students to use their problem-solving skills, get engaged, and find ways to help, emphasizing that their training and abilities can make a significant difference in addressing the crisis.