When the COVID-19 pandemic hit, the importance of resilience and adaptability in every type of organization became paramount. Not all organizations came out even stronger, but some did! What was the differentiator in these cases? In many instances, it was strong, visionary leadership that saw past the crisis and reinforced these traits in their workforce.
Uncertain Times Continue and May Even Be Accelerating
Emerging disruptions include the adoption of artificial intelligence (AI), geopolitical turmoil, global economic shifts, and changing customer and workforce expectations. “Human beings have a natural affinity for order, predictability, and control. They will do everything they can to avoid chaos, uncertainty, and volatility.”*
A Global Study Across Sectors and Countries
A McKinsey Health Institute (MHI) survey of 30,000 employees across 30 countries showed that employees who are both resilient and adaptable report 3.8x higher levels of innovation than their peers. In the Baldrige definition of innovation(s), it describes innovations as “discontinuous or ‘breakthrough’ improvements in results, services, processes, or societal well-being.” And surely some of the emerging disruptions identified above may require innovation to address their potentially negative impacts.
Findings Regarding Resilience and Adaptability: Their Relationship to Business Performance
- Resilience and adaptability require investments in continuous-learning programs, yet according to another McKinsey survey, only 16 percent of global employers currently invest in those programs.
- If both resilience and adaptability are required for employees to feel positive and capable of handling unexpected events, only 23 percent of the 30,000 global employees surveyed answered favorably.
- As has been shown repeatedly in the healthcare sector, providing a culture of psychological safety enables employees to express concerns, offer bold ideas, and become more collaborative and innovative. The same is true for providing psychological safety when encouraging employees to be more resilient and adaptable in the midst of uncertain times.
- Additional MHI research shows that “when employees experience strong organizational support…along with psychological safety, resilience, and adaptability, their likelihood of reporting higher engagement or innovative behavior is (at least) six times higher than peers.”
The Importance of Purpose and Alignment Are Key During Uncertain Times
Long foundational elements in the Baldrige Criteria, purpose and alignment show up as key leadership components in reinforcing resilience and adaptability. “Pointing everyone toward a common North Star – for instance, some shared objectives and a few core principles or values (purpose, integrity, authenticity)” gives everyone something to hold onto for some sense of stability.
And leaders need to focus key measures on assessing progress toward achieving their North Star goals and communicate that data frequently with teams and individuals as a way to bring the organization together toward shared objectives and break down silos.
A Summary of the Differences to Inform Your Choices
“Resilience requires…the ability to view change as a challenge or an opportunity to bound forward, regulate thoughts and emotions, take lessons from prior experiences, and execute on change. Adaptability requires…the ability to approach uncertainty with an open learning mindset and to think flexibly and creatively about problems as they arise.” Successful leaders and organizations require an integrated approach during times of disruption. Are you prepared to leverage both attributes?