The Next Crisis Is Inevitable. The Urgent Call For The Prepared Leader

The Covid pandemic was a crisis unlike any other, and the world was unprepared. Governments of large and small countries were caught off guard, developing processes and policies as new information emerged. They were flying by the seat of their pants. If this is how big government behaves, how can we expect organizations to have the know-how to do better?

Decades of research on crisis management by the University of Pennsylvania’s Wharton dean, Dr. Erika James, and Simmons University President, Dr. Lynn Perry Wooten, underscore that a crisis is atypical, infrequent, serious, yet inevitable. A crisis and its response have a pattern. Knowing and understanding the sequence of events can help leaders navigate anything from an oil spill to a pandemic.

According to James and Wooten, there are five phases of crisis management:

1. Early warning and signal detection;
2. Preparation and prevention;
3. Damage containment - limit financial, reputational or existential threats to your shareholders and organization;
4. Recovery - Recoup time, resources and lost revenue and figure out how to move forward;
5. Learning and reflection.

In their new book, The Prepared Leader, James and Wooten successfully argue that it is never too early or too late to prepare for a crisis. When first faced with a crisis, five steps need to be quickly addressed while under an incredible amount of pressure. These five phases have nine corresponding supporting skills. During the Covid pandemic, there was an added layer of complexity as these phases had to be accomplished while physically isolated from one’s team.

1. Collect critical information;
2. Understand the organizational structure, needs, vulnerabilities and strengths;
3. Identify urgent problems;
4. Make crucial and sometimes controversial decisions;
5. Create consensus and resources to execute them.

A crisis team is pivotal if you are to navigate your way out of a challenging situation. James and Wooten outline four steps to building a crisis team:

1. Build a diverse crisis team who consistently seeks new perspectives and knows how to solve new problems under pressure.
2. Establish a shared sense of purpose and accountability.
3. Create a culture where collaboration is the expectation, as well as ideating and sharing of information.
4. Empower your team to respond and adapt with speed and autonomy.

The idea to defer to experts in a crisis is illuminated repeatedly. It’s not the person with the most authority who should be the point person, rather, the person with the most expertise, often referred to as situational leadership. Egos must be checked at the door and the ability to be humble enough to let others take the lead as the situation dictates is the mark of a successful and prepared leader.

James and Wooten took on their respectives roles as dean and president on July 1, 2020, at the height of the Covid pandemic. Their years of research and work on crisis management allowed them to effectively lead their teams through the world’s most turbulent and unprecedented times. The Prepared Leader is a masterclass and blueprint for being adequately prepared to deal with your next crisis head on. Based on extensive research from nearly every industry from the NBA to England’s healthcare system, the tools and ideas are realistic as they are practical and actionable.