CEO perspectives on crisis management experiences and expectations
- Published: Monday, 13 February 2017 08:50
For its latest CEO Pulse, pwc spoke to 164 global CEOs about their views, struggles and approaches to crises. 65 percent of the CEOs interviewed said that they had experienced at least one crisis in the past three years. Over half ‘have gone through two or more during that time and 15 percent say they’ve been hit by five or more crises in the last three years’.
Other key findings from the interviews include:
- Rapid, real-time and pervasive communication has substantially increased CEOs concerns over the speed at which a crisis can escalate.
- When asked about the types of crisis they have faced, the majority of CEOs (80 percent) say they have experienced a financial crisis. Just over half say they have been hit by an operational crisis (such as a disruption to their supply chain, a facility failure or a recall of products, etc.) or a human capital one (such as a strike, a failure in succession planning or high staff turnover, etc.).
- 91 percent of CEOs said they are in charge when a crisis hits. That certainty is a key element of strong leadership. But it needs to be supported by a strategy, a clear plan and a structure to first tackle then recover from the crisis.
- 65 percent of CEOs feel most vulnerable about their ability to gather information quickly and accurately during a crisis; 55 percent worry about communicating with external stakeholders in a crisis and a similar number have the same concerns when it comes to their own employees.
- 57 percent of CEOs feel vulnerable because of an out of date business continuity plan.
- 39 percent of CEOs state that their ability to manage a crisis well has actually contributed to revenue growth, while a further 44 percent say that a well-managed crisis has not had a negative impact on their top-line growth.