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Crisis Management

A presentation for CEE HQ team meeting

Peter Budai

on 27 March 2013

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Transcript of Crisis Management

You have unstable is part of your development process
is chance to reassess current plans
is an extension of your horizon Choice that we face are created by man. CRISIS? What does it mean A crisis is an... Crisis is the situation of a complex system (family, economy, society) when the system functions poorly, an immediate decision is necessary, but the causes of the dysfunction are not known. Crisis is also an opportunity: + Question:
Where is the opportunity and how to benefit from it? Question:
Why we face crisis and what is its nature? Apart from natural crises Only thing we have to fear is Concluding with an overview (or final reveal) can be a great way to bring the context of your story together. fear itself most of the crises dangerous and situation affecting an individual, group, community, or whole society but it requires larger perspective Unexpected
Creates uncertainty and painful
Seen as a threat to important goals Three so there is a need for change characteristics requires the ability to think of the worst-case scenario while simultaneously suggesting numerous solutions mindset response defines credibility Don’t try to solve the crisis alone, set up expert team Discover the true causes of the crisis. Don’t expect that short-term or halfway measures will resolve the crisis. Use the crisis as a time to reorganize your business and make it better. Be careful how you communicate during a crisis. Mistakes will matter. feel What people Uncertainty Panic Pressure Conflict Free up your creativity Franklin D. Roosevelt Successful examples In 1914, Sir Ernest Shackleton led 27 men, for almost two years, through a harrowing fight for their lives after the wreck of their Antarctic vessel, Endurance, left them stranded on an ice floe 1200 miles from civilization. Balance long term vision and quick victories
Set personal example with memorable symbols and behaviors
Preserve optimism and self confident but stay grounded in reality
Take care of yourself: maintain your stamina and let go of guilt
Reinforce team message constantly "We are one"
Master conflict, avoid needless power struggles
Find something to celebrate and laugh about
Be willing to take big risks
Never give up Shackleton Gerstner is credited with saving IBM from going out of business in the early 1990s. The subsequent refocusing on the IT services business (which grew to nearly 50% of the IBM's revenues) is widely seen as having resulted in one of the most remarkable turnarounds in business history Operation Bear Hug
Stop the bleeding
Creating right leadership team
Making big bets
Discipline of execution
Lead by principles Louis V.Gerstner Denial Confusion Anxiety Fear Depression Burnout Root causes unmitigated risks
human mistakes
overlooked problems
not controllable
Denial Impact behaviours Paralyzed decision making
Fear of mistakes
Loosing efficiency
Narrow focused vision Most common Put things into different perspective Test your leadership maturity Resilience and flexibility of the organization Make decisions fast based on solid verifiable information Take big risks Never give up!
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