"Everyone has a plan until they get punched in the mouth." — Mike Tyson In complex business management, the unexpected is inevitable. Challenges will arise when navigating a major transition, market shift, or critical carveout. While you can’t predict every issue, you can prepare for them with strategic contingency planning. Contingency planning is more than just a safety net; it’s essential for mitigating risks and ensuring resilience. The process begins with identifying critical processes—those functions that must continue regardless of circumstances. This includes operations like payroll, IT systems, and customer service. Next, assemble a planning team with diverse expertise from finance, operations, HR, and IT to ensure a comprehensive approach to risk management. Assess your business's most significant risks and develop targeted strategies to address them. This might involve creating backup systems, cross-training employees, securing alternative suppliers, or establishing clear communication protocols for crises. Once your plans are in place, you can rigorously test them through simulations and drills to identify weaknesses. Update and review your contingency plans regularly to keep them relevant. Adjust your strategies to reflect new risks or priorities. In high-stakes situations like corporate carveouts, where continuity is crucial, robust contingency plans are vital. Ensuring that critical operations are covered gives you peace of mind and prepares you to face the unexpected confidently. No plan can account for every scenario, but by focusing on what can be controlled and preparing for likely risks, you position your organization to handle surprises with agility. So, what events would cause you the most concern? How prepared is your business to navigate them? Solid contingency planning will mitigate risks and build a more resilient organization. #RiskManagement #BusinessStrategy #Leadership #ContingencyPlanning #CrisisManagement #Execution
Why You Need Operational Resilience in Your Organization
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Summary
Operational resilience is the ability of an organization to withstand and adapt to disruptions, ensuring that critical functions continue no matter what challenges arise. Building this resilience is essential for protecting operations, maintaining trust, and preparing for unexpected events.
- Identify critical processes: Map out the essential functions your organization cannot afford to lose, such as supply chains, IT systems, or customer services, and prioritize their continuity.
- Plan for disruptions: Develop contingency strategies such as cross-training employees, diversifying suppliers, and creating backup systems to address potential risks and scenarios.
- Foster operational agility: Promote a culture of adaptability and continuous improvement by encouraging proactive problem-solving and maintaining open communication within teams.
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Many 'successful' corporations operate under a dangerous illusion—they think they're unbreakable. It takes only one major crisis for that confidence to evaporate. Just one disruption and everything crumbles, revealing a shaky foundation masked by years of growth. The fallout? Financial losses, shattered trust, and a disheartened workforce scrambling to recover. Building true resilience requires a shift from short-term success to sustainable strength. Implementing flexible strategies, fostering a culture of continuous improvement, and investing in risk management can fortify your business against unexpected challenges. Don’t wait for the crisis to find the cracks. Reinforce your foundation now—your company’s future depends on it.
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Supply chains are not just stretched. They are exposing the unprepared. What you may call a disruption, Resilient companies call a stress test. When tariffs spike and disruptions strike, companies that optimized only for cost are now paying the price in -> Delays -> Lost trust -> Broken promises A reactive supply chain is a liability. A proactive one is a competitive advantage. Here is how resilient organizations respond at every level: C-Suite: -> Shift your mindset. -> Supply chain is a strategic engine. Invest in diversified, localized, and tech-enabled ecosystems that can flex under pressure. Mid-Level Leaders -> Anticipate the breakpoints. -> Cross-functional coordination and early scenario planning are not optional, they are operational lifelines. Individual Contributors -> Your proximity to pain points is your power. -> Raise issues early. Escalate what others overlook. Supply chain visibility starts with you. Supply chains are no longer linear, they are living ecosystems. To compete, companies must evolve: ✅ Move from transactional to collaborative vendor partnerships ✅ Integrate AI and predictive analytics for real-time response ✅ Make agility a measurable KPI, not a buzzword ✅ Embed contingency planning into culture, not just crisis manuals The companies that win in this era will not be the cheapest or the fastest. They will be the most adaptable. How is your organization building supply chain resilience today? 👇🏻 ♻️ Share to help others shift their strategy 🔔 Follow Izabela for more insights
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The most dangerous phrase in infrastructure operations: "Only Brent knows how that works." Gene Kim's "The Phoenix Project" nailed this. Every company has a Brent or two. The insider who gatekeeps because they like being the hero or want job security. They intentionally or unconsciously hide information under the excuse "it will take too long to train anyone else" or "I'm the only person who understands this." When Brent takes vacation, systems don't get maintained. When Brent quits, institutional knowledge walks out the door. When Brent gets overwhelmed, everything becomes a bottleneck. Resilience starts with clear, steady communication and the confidence to set direction even in uncertainty. Leaders should equip their people with the tools, autonomy, and trust to make decisions, while reinforcing that setbacks are part of growth, not signs of failure. Post-mortems are critical, but they can't be fluff with no recommended actions. When companies don't have good pre and post mortem processes, executives crack down and either berate the team or find someone to blame and call it "accountability." Having your team's back and making it safe to admit failure creates courageous teams who raise their hands with ideas because they aren't afraid. As the old saying goes "What happens if we spend money to train our people and they leave? What happens if we don't and they stay?" Comp time after hard pushes. Summer Fridays to surprise the team. Pre mortems with BBQ asking "What about this project scares you?" This gets better results 100 out of 100 times than slapping a pizza party on after the work is done. By modeling composure and focusing on solutions, you create teams that stay agile and come out of adversity sharper than before. #TeamBuilding #InfrastructureLeadership #OperationalResilience