Winston Churchill famously said, “Never let a good crisis go to waste.” Obama administration strategist and chief of staff Rahm Emanuel took it a step further, explaining that, “You never want a serious crisis to go to waste. And what I mean by that is an opportunity to do things that you think you could not do before.”
Two men, at different points in history, with a front seat to many a crisis. Perhaps there are lessons here for the rest of us.
EMBRACING CRISIS AS A CATALYST FOR GROWTH
By definition, crises are events that are unplanned and out of the ordinary. They often come out of the blue, and they are incredibly disruptive. A crisis can happen within your organization or can be more widely experienced—a factory fire versus a pandemic, for instance.
What does it mean, then, when we say not to let a crisis go to waste? It’s all about mindset. We can use a crisis event to:
Accelerate Strategic Plans
Crises often force organizations to confront weaknesses and identify areas where change is needed. A well-designed strategy allows leaders to use a crisis to accelerate existing plans and capitalize on emerging opportunities.
For instance, the pandemic pushed fast food chain Chick-fil-A to accelerate their app-based marketing and drive-thru distribution strategy, leading to increased efficiency. As a result, today they are redesigning their stores to reduce the size of the dining room and increase their volumes.
Unleash Innovation
It’s said that necessity is the mother of invention. Crises demand resourcefulness and creativity, and encourage organizations to break free from conventional thinking and embrace new approaches quickly. The pandemic also forced a rapid adoption of virtual communication and digital tools such as QR codes, demonstrating how a crisis can drive innovation across industries.
Unlock Human Capital
Challenging times reveal the true mettle of a team. Crises provide opportunities for individuals to step up and showcase adaptability and leadership potential. Those who “run to the roar,” exhibiting a “next person up” mentality, become invaluable assets, capable of filling gaps and driving the organization forward. Crises can help leaders identify high-potential individuals and nurture their talents.
As well, a crisis can be a teachable moment for future leaders. Consider bringing them inside the process to observe how leadership makes decisions under pressure. How do leaders behave in crisis-management mode, and what principles steer their decisions? Especially for companies with a healthy culture, what should be modeled to future leaders who will one day be managing through crises? Having a front-row seat is beneficial for learning through osmosis.
Enhance Adaptability
Leaders who cultivate adaptability in their teams thrive in uncertain environments. Organizations with decentralized decision-making processes, where responsibility is delegated to the appropriate level, and everyone is playing to their highest and best use, can respond to crises with greater speed and agility.
Regularly simulating potential crises, like cybersecurity attacks, can help teams develop communication and teamwork skills under pressure, leading to more resilient and adaptable organizations for when the next crisis arrives.
CULTIVATING A CRISIS-READY MINDSET
The best way to never let a crisis go to waste is to anticipate that your organization will eventually be challenged in one way or another and act accordingly:
- Acknowledge The Inevitability Of Crises: Acknowledging that crises occur more often than anticipated is key. As much as we try to prepare for known risks, the most impactful events are those that emerge unexpectedly. Adopting a proactive mindset and fostering a culture of preparedness and resilience within your organization is the best way to maximize the opportunities that a crisis presents.
- Embed Resilience In Day-To-Day Operations: A crisis-ready organization isn’t built overnight. It requires a continuous focus on fostering resilience in day-to-day operations. Hiring practices can prioritize individuals who exhibit adaptability, innovation, and a willingness to step up. Leaders can encourage an “offensive” risk posture, where teams constantly seek ways to innovate and improve.
- Communicate Effectively: Open and transparent communication is crucial during a crisis. Regularly practicing conflict resolution and engaging in open dialogue helps teams develop the muscle memory needed to communicate effectively under pressure.
- Learn From Experience: Crises offer valuable lessons for the future. Leaders should conduct thorough “retrospectives” after a crisis, identifying what worked well, what could be improved, and what can be stopped altogether. These post-crisis evaluations help refine strategies and processes, leading to more efficient and effective organizations.
APPLYING THE “NEVER WASTE A CRISIS” MINDSET TO PERSONAL GROWTH
The same principles that apply to organizational agility can also be applied to personal growth. Leaders who embrace the “never waste a crisis” philosophy can:
- Re-Evaluate Priorities: Challenging times often force us to reconsider what truly matters. Personal crises, while painful, can serve as a catalyst for aligning our actions with our values and passions, leading to a more fulfilling and purposeful life.
- Develop Resilience: Overcoming personal setbacks builds resilience and inner strength. Just as athletes recover from physical stress to become stronger, navigating personal crises can equip us to handle future challenges with greater fortitude.
- Embrace Change: Crises often necessitate change. Embracing this reality and viewing change as an opportunity for growth can lead to personal transformation and a renewed sense of purpose.
Looking through the “never waste a crisis” lens can transform organizational challenges into opportunities for growth, innovation, and resilience. This proactive approach not only benefits your company, but also fosters personal development, and can empower you to be the leader you need to be during the next inevitable crisis.