Crisis – The hidden cost

Crisis

The financial and reputational health of a company is not the only measure affected when a crisis hits. The damaging effects of crises can wreak on the psychological and physical health of senior managers and executives tasked with steering the company through challenging times. 

While being unprepared for corporate risks can impact negatively on a company’s turnover, there is often an unseen effect on the senior managers and leaders.  Respondents across the board report that being unprepared for dealing with crisis takes a toll on the health and well-being of senior managers and executives.

More than a third of business executives across the G20 report negative mental health issues, such as stress, worry, panic attacks, anxiety and depression as a consequence of time spent thinking about or actually dealing with crisis situations.  In the fast-paced world of the modern crisis, it seems that not enough time is given to protecting those who are in charge of making the right decisions.

As a crisis unfolds, companies need to provide their senior executives with regular access to new data and information to help inform their tactics and strategy.  They also need to consider the types of support provided in terms of gathering evidence to help executives conduct a diagnosis, develop solutions, appraise options and move onto effective execution in a crisis situation. 

Download Resilience Barometer 2020

For further information on how FTI Consulting can help your organisation to improve its resilience to critical events, please contact one of our experts here.

Get the latest from FTI Consulting and join the conversation #ResilienceBarometer