I deal with a lot of crises in my business as a Turnaround Authority: bankruptcies, family feuds, failing businesses, gun-toting union members, just to name a few. So I’m always interested in reading articles about the topic of emergency situations — particularly about those who regularly deal with crises as part of their job.
Dr. Thomas Frieden knows a thing or two about handling emergencies. As head of the Center for Disease Control and Prevention, Dr. Frieden deals with public health crises all over the world while also leading 11,000 employees in 50 countries and overseeing an organization with an $11 billion budget.
In a recent interview with Sunday Business Editor Henry Unger in the Atlanta Journal-Constitution, Dr. Frieden said one thing that I wish every CEO or business leader who is in a crisis situation would read.
When asked if the top leader of a business or organization should manage the crisis, he was quite clear.
“No,” he said. “The CEO should not be the person running the day-to-day crisis response. That would be a mistake … If a CEO tries to manage every aspect of an emergency, he or she is going to mess it up. Other things are happening and the CEO will never be able to focus as much energy as you need to.”
It’s a smart CEO who knows when to call in an outside professional like me.
As a turnaround guy, I am like an ER doctor. The patient is in an emergency situation and I first have to stabilize the patient and prevent shock. Then I can perform the necessary surgery to save the patient.
Unfortunately, many CEOS in crisis think they can handle their emergencies themselves. They are bleeding from the jugular and think they can slap a Band-Aid on and stop the bleeding.
As Dr. William Osler, considered the father of modern medicine, said, “The doctor who treats himself has a fool for a patient.”
You’re not going to cut your own appendix out, right? You hire someone with years of experience doing just that. So if you’re facing a crisis, why not hire someone who has years of experience handling crises?
I am used to skepticism on being hired to turnaround a company. When I’m discussing conducting an initial assessment with a client I often hear, “Our business is failing. We can’t afford to hire you.”
I always respond, “How can you afford not to?”
Then I tell them, “If I don’t save you five to ten times what you pay me in the first year, I’ll give you your money back.”
I’m not saying I’m smarter than any of these CEOs. I’ve just been doing this a long time and have seen just about every situation. And one of the reasons that I have the ability to succeed where CEOs faced by crises do not is because it is not my business. It’s not my company, my employees, my money, my wife, or my life. That allows me to keep a clear head and an objective perspective where the CEO does not have one.
Personal involvement compromises the CEO’s ability to understand what’s important and what is not; the facts and information that manifest themselves during an assessment and what ultimately resolves a turnaround are rarely the same facts and information that the CEO initially deemed relevant.
If your company is in crisis, do yourself a favor. Hire a professional.