<small>Leaders know where they are going, and they lead the way.
Leaders know where they are going, and they lead the way. To do this they need vision and a sense of direction. But they must also be able to share that direction with others. Ideally, they lead by example. This is because they must be trusted if they are they are to be effective leaders in difficult times.
From February 2020 to the time of writing in May, whole sectors of major economies have been suddenly shut down to try to stall the spread of the SARS-COV-2 virus. In February and March, business leaders had to hurriedly reassess risks and opportunities, explore what support might be available, envisage scenarios, develop alternative plans and coordinate their organisation’s response.
For most, cash flow was the most urgent concern. Ensuring the welfare of their people and preserving the strengths of the business were priorities too. Within a few days, major consultancies such as the Boston Consulting Group were sharing their insights into how business leaders should respond. 1
'Never allow a crisis to go to waste. Start planning for the future. This has to be the last pandemic that creates an economic depression. We're going to have more pandemics, but this has to be the last economic depression'.
Rahm Emmanuel, former mayor of Chicago, March 2020 2
One of the key messages was that if a business is to be resilient and get back to business promptly, its leaders must maintain contact and communicate openly with staff, customers, suppliers and other stakeholders. The challenge is to maintain their trust. Unfounded assurances are not convincing. Misinformation can be discredited by the truth. It is important to be open and honest. Thinking about a new future after the pandemic comes next. Transforming business for the digital age had probably been on the agenda already. The crisis could provide the burning platform needed for that change.
Leaders would need the skills or qualities to restore and develop the trust of customers, suppliers, employees, funders and other stakeholders if business were going to survive and prepare for the post crisis economy; whether that might be a return to business as usual or a new normal.
1 COVID-19 Rapid Response Checklist, Boston Consulting Group 23rd March 2020 2 Washington Examiner 24th March 2020