Why Leaders Should Be Thinking About the Next Crisis

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Lynn Perry Wooten, president of Simmons University, and Erika H. James, dean of the Wharton School at the University of Pennsylvania spoke with TIME about why they believe preparedness should be the “fourth P” in a company’s bottom line

Why do you think that leaders were so woefully unprepared for the pandemic and other crises before it?We don’t generally like thinking about or anticipating bad news, and the notion of a pandemic of this scale, we’ve seen signals or smaller versions of this in the past 20 years or so. But we’ve always been able to navigate them. They didn’t have hardly at all the effects that the pandemic of COVID-19 had on a country or certainly around the world.

You write in the book about “sudden” and “smoldering” crises. Could you explain how leaders’ responses to those should differ?The smoldering crises are the ones, hopefully, that you have time to prepare for—you’re constantly scanning the environment, you’re looking for signals. You’re saying “what could happen, possibly.

. And when I was sharing that book with some neighbors, they said, “Oh, is that a parenting book?” That was such an unusual response to a book titled, but in hindsight, you realize that, as parents, we’re constantly doing the work of crisis leadership. We’re constantly scanning to see what could go wrong with our kids. We’re constantly trying to prepare them for the next step in their life. We’re constantly trying to put out fires when something bad happens to our children.

And with that kind of risk-taking, when it is something like the pandemic you are having to make those decisions very quickly as well.Yep. Part of being quick is you’ve got to have the data, and you have to have the theory of change—”why am I doing this? What does the data show me?” And being ethical. All the stakeholders are going to be involved in your risky decision.

 

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