2009 in Review: Crisis and Leadership

December 30, 2009 by Taylor Studios in Professional & Industry Tips

Peter F. Drucker wrote, “The most important task of an organization’s leader is to anticipate crisis.” Taylor Studios experienced a crisis in 2009 as many firms did. We were a subcontractor of Design Craftsmen on a project for the Marine Museum. This was a six figure project built into our schedule for the year. Design Craftsmen went out of business and we lost the work. Ouch! Ironically, I had asked my executive management team the month before what would we do if we lost that job. We had a plan of attack in case this very thing happened. The very day we read the Midland, MI newspaper article on Design Craftsmen’s demise we took action.

The first step was to communicate to everyone in the company that there was a crisis. Within a few days I also shared the following quote with my staff:

“It is not the critic that counts, the credit belongs to the man who is actually in the arena, whose face is marred by dust and sweat and blood … who knows the great enthusiasms, the great devotions; who spends himself in a worthy cause; who at the best knows in the end of the triumph of high achievement, and … if he fails, at least fails while daring greatly, so that his place shall never be with those cold and timid souls who know neither victory nor defeat.” – Theodore Roosevelt

Taylor Studios’ management had to make some very tough decisions, including layoffs. I think we were marred by dust and sweat and blood, but because of our management team’s effort we came out of the arena still standing and strong. Even though we were stunned by the news, we were able to make very quick decisions. In reflection, I am really proud of how we came through this storm and how well we implemented our plan. Leaders have to make painful decisions. It is a poor leader that doesn’t make them at all or waits too long.

Our armor is shined up and we are ready for the 2010 arena! It is looking like it will be a great year.

How well do your leaders handle crisis?

Posted by: Betty