Crisis Anticipation
There are techniques for turbulent times that would be useful in developing the foresight that is a hallmark of today’s effective business leaders.
Crisis Anticipation is the technique that involves us looking ahead as far as we can and asking, “What could possibly change or go wrong that would threaten the survival of our business?”
What would we do if interest rates doubled, as they have done in the past? What if our best selling product or service, suddenly stopped selling, as often happens in high tech industries in times of rapid change. What if a key executive left unexpectedly or all of your records were suddenly destroyed by fire? What if we lost our key customer or a major source of revenues?
These and other questions can only be asked and considered by the leader, the person ultimately charged with the overall responsibility for the results. The failure to think through possible crises in advance can open you and others up to fear, panic and confusion if something goes wrong.
Epictetus the Greek philosopher said, “Circumstances do not make the man; they merely reveal him to himself.” A crisis is the genuine test of courage and effectiveness of a true leader. We may greatly improve our abilities to function in a crisis situation by thinking it through in advance and by developing a contingency plan just in case.
The mastering of decision making is another technique. It involves asking, “What is the worst possible thing that can go wrong in this situation?” Once we have asked this question, we must decide whether or not we can live with the consequences. For example, in an investment, or new product introduction, or new promotion, the worst possible outcome may be that we lose every penny. Can we live with that? Will the business survive? There are many different types of decisions and one of them is the decision we cannot afford to make. Most big failures result because someone made a commitment of resources without carefully considering the worst possible outcome.
The great oil billionaire John Paul Getty said that one of the greatest secrets of success was to always determine the worst thing that could happen with any investment and then make sure it did not happen.
Here are two simple ways you may apply these techniques to your own situation.
Make a list of the three worst things that could happen to your business. What would you do if they happened? Next practice crisis anticipation in each key area of your business. Then develop strategies to deal with these situations if they occur.
“Remember, Success is always Within Reach”
#terry ogburn #Business #entrepreneur #business coach #Business Sales #Business Development #business mentor
Crisis Anticipation is the technique that involves us looking ahead as far as we can and asking, “What could possibly change or go wrong that would threaten the survival of our business?”
What would we do if interest rates doubled, as they have done in the past? What if our best selling product or service, suddenly stopped selling, as often happens in high tech industries in times of rapid change. What if a key executive left unexpectedly or all of your records were suddenly destroyed by fire? What if we lost our key customer or a major source of revenues?
These and other questions can only be asked and considered by the leader, the person ultimately charged with the overall responsibility for the results. The failure to think through possible crises in advance can open you and others up to fear, panic and confusion if something goes wrong.
Epictetus the Greek philosopher said, “Circumstances do not make the man; they merely reveal him to himself.” A crisis is the genuine test of courage and effectiveness of a true leader. We may greatly improve our abilities to function in a crisis situation by thinking it through in advance and by developing a contingency plan just in case.
The mastering of decision making is another technique. It involves asking, “What is the worst possible thing that can go wrong in this situation?” Once we have asked this question, we must decide whether or not we can live with the consequences. For example, in an investment, or new product introduction, or new promotion, the worst possible outcome may be that we lose every penny. Can we live with that? Will the business survive? There are many different types of decisions and one of them is the decision we cannot afford to make. Most big failures result because someone made a commitment of resources without carefully considering the worst possible outcome.
The great oil billionaire John Paul Getty said that one of the greatest secrets of success was to always determine the worst thing that could happen with any investment and then make sure it did not happen.
Here are two simple ways you may apply these techniques to your own situation.
Make a list of the three worst things that could happen to your business. What would you do if they happened? Next practice crisis anticipation in each key area of your business. Then develop strategies to deal with these situations if they occur.
“Remember, Success is always Within Reach”
#terry ogburn #Business #entrepreneur #business coach #Business Sales #Business Development #business mentor