What does it mean for your leaders
The financial crisis during 2008-2009 has shown that a high share of the leaders were unwilling or unable to lead during a crisis. Many companies discovered also that underestimated leaders can step up in unexpected ways. Therefore there is a strong need to monitor closely and to adapt your organization during a crisis period to have the right leader at the right place.
Attack or defend
During crises most important shifts in competitive ranking occur. Defensive measures are essential, but the best leaders also think strategically about opportunities to defend your market position and to go on the offensive.
Let rising leaders lead
A very common reaction of senior leaders during a crisis is to assert control, stripping away leadership responsibility from their direct reports in an effort to mitigate risk. As a result, rising executives become operators and executors, not leaders and decision-makers. Your team’s leadership skills will atrophy, and those weaknesses will echo through your leadership ranks for years afterwards.