Response to Crisis Leadership

CRISIS LEADERSHIP REPORT

Crisis Leadership Report

I. Identify and discuss the primary leadership style of Michael Brown in his handling of this crisis.

The primary leadership style that Michael Brown demonstrated in this particular crisis was autocratic leadership. This is more so the case given that Michael Brown largely exercised individual control over key decisions following the crisis. Although he makes an observation to the effect that he reached out to his managers, he clearly points out that the said consultative forum was to inform them about his decision to halt all Echinacea sales going forward. Also, this is a crucial decision that ought to have roped in Alexandria Marvel, the President and CEO. The firing of the Assistant Director of Purchasing also appears to have been done unilaterally.

II. Discuss an alternative leadership style that could have been used by Michael Brown that could have been better suited than the one he used.  

In my opinion, the alternative leadership style that ought to have been used in this case by Michael Brown is transformational leadership. This particular approach to leadership is instrumental in efforts to not only inspire but also motivate others towards the desired courses of action. In the present scenario, some hard decisions might have to be made to ensure that the crisis the company finds itself in does not spiral out of control. However, the relevance of ensuring that all key stakeholders are motivated or inspired to participate in tough courses of action cannot be overstated. This is a role that could be played effectively by a transformational leader.

III. What leadership competencies did Michael Brown present in the recent Echinacea crisis?

In the present scenario, Michael Brown presented a number of leadership competencies. One such competency, which also happens to be one of the sub-competencies (under leading the organization) highlighted by the Society for Human Resource Management – SHRM (2021), is solving problems and making decisions. Michael Brown was quick to get to the bottom of the issue, identify the source of the problem, and rally his team behind solid decisions in an attempt to reign in the problem. Also, Michael Brown demonstrated an ability to lead self, i.e. in relation to the demonstration of integrity and ethics (SHRM, 2021). This is more so the case given that when Happy and Healthy Foodmart executives reached out to him, he set in motion specific actions to help diffuse the situation without necessarily attempting to engage in any cover-up. In the absence of integrity and ethics, Michael Brown could have sought to ensure that the information did not leak out for fear of negative publicity and perhaps loss of market share. In this case, Michael Brown even came up with an immediate recall plan.

IV. Identify the leadership competencies beneficial for a crisis-ready culture.

Some of the leadership competencies that could come in handy in this case are inclusive of, but they are not limited to; decisiveness, credibility and trustworthiness, and long-sightedness.

To begin with, one of the principles for the effective management of the unexpected happens to be decisiveness (Wall Street Journal, 2015). For a crisis-ready culture, a leader ought to be decisive and bold in his decision-making efforts. This is more so the case given that crisis situations could be highly uncertain.

With regard to credibility and trustworthiness, there is need to ensure that the courses of action set in motion are rooted in honesty, truthfulness and principle. This is what George (2021) refers to as the ability to follow the true north.

When it comes to long-sightedness, leaders ought to ensure that they are in for the long haul. This is one of the crucial lessons for crisis management that George (2021) highlights. This is to say that the various strategies implemented for better management of a crisis ought to be informed by long-term considerations as opposed to short-term convenience.

V. Identify the role that EQ played in the Echinacea crisis.

It would be prudent to note that as Cherry (2020) points out, emotional intelligence - EI (also routinely referred to as emotional quotient - EQ) could be perceived as “the ability to perceive, control, and evaluate emotions.” EQ played a significant role in this particular crisis. To a large extent, Michael Brown appears to have managed and used his own emotions wrongly in efforts to not only defuse the crisis highlighted, but also manage the situation. Admittedly, he points out that he became furious when he discovered what the Assistant Purchasing Director had done. In anger, he promptly dismissed her. In my opinion, he ought to have assessed the situation from a more rational perspective because it is possible the problem could have been multifaceted. The failure to manage his emotions in a positive manner also adversely affected his ability to consult and communicate effectively. It is for this reason that the decision to halt all Echinacea sales appears to have been one–sided, i.e. with no significant involvement of both middle-level and top-level management.

VI. Identify the role of EQ for a crisis-ready culture. 

In as far as a crisis-ready culture is concerned, EQ happens to be instrumental. This is more so the case given that in seeking to piece together a crisis-ready culture, a leader ought to be skilled in the art of effective relationship management. This cannot be achieved if a leader has deficiencies on the EQ front. To a large extent, crisis situations require collective responses. Effective relationship management ensures that no person works at cross purposes. However, for one to be able to engage in effective relationship management, there is need to promote deep understanding and appreciation of the perspectives of others. This way, one is able to forge strong partnerships and ensure that everybody works towards the same goal. Crises also call for close collaborations between various stakeholders. For instance, in the present scenario, some of the key stakeholders are inclusive of, but they are not limited to; employees of the firm, customers, suppliers, media, etc. The proper management of the expectations of various stakeholders calls for the ability of the leader to avoid being judgmental, embrace criticism, and accept full responsibility. These are some of the crucial indicators of emotional intelligence that Cherry (2020) highlights.

VII. Did either Michael Brown or Alexandria Marvel use Authentic Leadership in the Echinacea crisis?

It would be prudent to note that one of the most important attributes of authentic leadership happens to be genuineness (The Insights Group, 2014). With this in mind, it is clear that both Alexandria Marvel and Michael Brown did deploy authentic leadership in the scenario presented. On Michael Brown’s part, he demonstrated trustworthiness in his prompt move to bring on board all key stakeholders, including customers, when he was notified of the issue. This is especially important given that as The Insights Group (2014) points out, an authentic leader ought to “demonstrate behaviors which enable you to trust in them all of the time.” Alexandria Marvel also used authentic leadership in efforts to query the decisions made by Michael Brown and reach out for my insight. In essence, authentic leaders are always ready to “question the status quo” (The Insights Group, 2014).

VIII. What role should Authentic Leadership play in a crisis-ready culture?

As has been indicated elsewhere in this text, one of the most crucial authentic leadership components happens to be genuineness. In the absence of straightforwardness as well as honesty in engagements with employees and other stakeholders, a crisis-ready culture cannot be established. This is especially important owing to the fact that bringing everybody on board requires transparency. Any hidden agendas could get in the way of relations with others who could be instrumental in development and implementation of a coherent crisis management strategy. The creation of a crisis-ready culture is also an all-involving undertaking. This is to say that there is need to take into consideration the viewpoints and perspectives of others. Authentic leaders could be described as fair-minded and have a unique ability to resonate with others (The Insights Group, 2014). Thus, they deem decision making as a collaborative exercise, which could greatly help in attempts to ensure that all of those involved have ‘ownership’ of the culture – effectively promoting commitment to the same.

IX. Thinking about Michael Brown's actions in handling the crisis and Henrietta Higgins's actions leading to the crisis and the fact that Alexandria Marvel was excluded from the decision-making process about handling the crisis, what conclusions can you draw about LSN’s current culture played in the Echinacea crisis?

It is clear from the events leading up to the crisis, and the responses deployed, that LSN’s current culture does not promote teamwork and consultations. To begin with, Henrietta Higgins, who happened to be the company’s Assistant Purchasing Director, did not consult with anybody before making the major decision to engage a new supplier. The material nature of such a move ought to have called for the involvement of senior management and, at the very least, her supervisor or Director of Purchasing. Michael Brown’s unilateral decision to halt all Echinacea sales is also indicative of lack of teamwork and active consultation across all levels of management. This is more so the case given that as he clearly indicates, it is him who communicated the decision to the management. Theirs was just to rubberstamp the decision. He also made no effort to reach out to Alexandria Marvel, President and CEO of LSN, despite the said decision having a significant impact on the operations of the organization. Indeed, Alexandria Marvel appeared started by the decision – which she was not aware of. As a matter of fact, despite being the President and CEO of LSN, Alexandria Marvel came to know of the entire crisis after various decisions in response to the same had already been made. Ordinarily, she ought to have been one of the very first executives to be notified of the unfortunate turn of events. She also ought to have been part and parcel of the crisis management team. Ideally, such a team ought to have brought together other top managers or executives of LSN. The whole undertaking was, however, run as a one-man show.

X. Describe the relationship of strategy, culture, and structure for a crisis-ready culture.

In the absence of an ideal organizational structure and culture, an organization is likely to find it difficult to formulate and implement strategies to facilitate a crisis –ready culture. To a large extent, organizational culture is responsible for the way employees behave in an organization (University of Minnesota, 2021). This is more so the case given that it directs the organization’s assimilation of “new employees and teaches them the way things are done in the organization” (University of Minnesota, 2021). On the other hand, the organizational structure does also have an influence on various organizational processes. For instance, according to McDowell (2020), it has been established that flat organizations get in the way of effective leadership. In the present scenario, therefore, these two factors (i.e. prevailing culture and structure) could have a negative impact on the effective development of the approaches and strategies needed to respond and handle crises. With this in mind, it should be noted that there may be need to promote an organizational structure promoting of collaboration and teamwork and ensure that deliberate decisions are made to craft an overall organizational culture aligned with these ideals. Only then can LSN succeed in its efforts to have in place an ideal and functional mechanism to respond effectively to crises.