Embracing the unexpected

Junior consultant Maurizio Cuttin asks how organisations can flourish in the ever-changing tides of circumstance

The late Harold Macmillan is remembered for many things, not least his handling of the Suez Crisis, his modernisation of British defence, and his economic and social reforms. However, perhaps his most memorable legacy as prime minister is encapsulated in his famous quote in response to a young boy who asked him about the greatest challenge for a statesman: "Events, dear boy, events."

This phrase has been memorised by generations of students revising for A-Level Government and Politics exams, and it resurfaces regularly in the political airwaves when governments face the unexpected.

In the realm of governance and organizational management—and indeed of life in general—it is essential to recognise that while events can disrupt stability, they can also present opportunities for growth and transformation.

Negotiating the peaks and troughs

Stability is indeed a friend of progress, but the true key to success, especially as far as governance is concerned, lies in an organisation's ability to foresee strategic challenges and be prepared for the unexpected. As I argued in a previous article, organisations should not shy away from the unpredictability of events. Rather, they should embrace it.

I have long held that life mirrors a traditional business cycle, characterised by peaks and troughs. When friends face challenging times, I remind them that just as there are downturns, good news is often on the horizon. Conversely, when I experience a string of successes, I can't help but wonder when the next challenge will appear, reminding me that equilibrium is just around the corner. This cyclical nature of events holds valuable lessons for organisations.

Every organisation’s trajectory is shaped by events. Some are foreseeable, allowing for proactive measures, while others arrive unexpectedly, jolting leadership and stakeholders alike. To thrive, public-purpose organisations would do well to recalibrate their perception of such events from burdens to strategic opportunities.

Easier said than done

Admittedly, this shift in mindset is easier said than done. Organisations often grapple with the fear of disruption, particularly in the face of events such as economic downturns or vast regulatory upheaval.

However, imagine a public-purpose organisation struggling against rising costs due to the National Insurance increase. Instead of viewing this challenge as a death knell, they could reframe it as an opportunity to advocate for their interests. By openly addressing their challenges in a way they wouldn't have done before when they were just struggling, they can rally support from stakeholders, influence policy discussions, and push for changes that benefit not just themselves but the entire sector.

This proactive stance allows organisations not only to survive but also to prosper. It transforms the narrative from one of victimhood to one of resilience, empowerment and (authentic) strength. Advocacy born out of adversity can shine a light on shared hardships, fostering a sense of community among organisations facing similar struggles and amplifying their collective voice. It also has positive implications for governance: a larger shot at survival in the short term and transparency over the long term.

This is obviously just one example. There are, of course, instances, such as with NHS England's new guidance on integrated care boards, where the organisation in question (in this case, ICBs) has limited options available to it in terms of shaping events.

That said, the principle stands: through adversity, we are most challenged, and so, the challenge is to keep pushing and turn crises into opportunities for streamlining governance and operational efficiency.

Consider how airline companies responded to the sudden decline in air passenger numbers due to Covid-19. They adapted by shifting their focus to cargo shipments, even retrofitting commercial airliners to transport freight. Similarly, youth organisations downsized their in-person programmes after the pandemic. They realised through experimentation that they could provide comparable services through digital platforms—like hosting virtual pizza Tuesdays, saving on costs and reinvesting in the young people they work with. The same applies to a lot of other public-purpose organisations during (and after) the pandemic.

Shape or be shaped

While this article is not about debating the benefits of online versus in-person, it is a reminder that leaders aren't born overnight; they are moulded during trying times.

Moreover, embracing events doesn't just mean reacting to them; it means anticipating them. Organisations should invest in strategic foresight—utilising data analytics, trend analysis, and scenario planning—to better understand potential shifts in their environment. By doing so, they not only prepare for what lies ahead but also develop a proactive approach to addressing forthcoming challenges before they escalate.

In conclusion, events are inevitable; they will continue to shape the landscape of organisational governance, whether we like it or not.

The critical question is whether organisations choose to be shaped by these events or to shape their responses to them. By cultivating a mindset of preparedness and resilience, organisations can transform challenges into catalysts for growth, turning obstacles and 'liabilities' into stepping stones for success and escaping a tough bind.

As we navigate the complexities of our times, let us embody the wisdom of Macmillan's quote and remember that while events challenge individuals and public purpose organisations alike, they also hold the potential for remarkable transformation.

By embracing the unpredictable and actively shaping our responses by 'governing the now', we can ensure that civil society not only survives but flourishes amid the ever-changing tides of circumstance.