While resilience and sustainability have been business considerations for decades, ongoing accelerated change and uncertainty make it imperative to understand their multi-dimensional impact on business viability today.
The principles of resilience and sustainability are universal. Today’s column offers business leaders a macro/micro view of organizational resilience and sustainability and the impact of individual resilience and sustainability on their achievement.
The Macro View
From the macro-organizational perspective, leaders work with intertwined aspects of resilience and sustainability.
Long-Term Perspective. Both resilience and sustainability require a long-term perspective. Resilience involves planning and preparedness to ensure viability through potential disruptions. Sustainability practices entail meeting today’s needs while assuring provision for future generations.
Risk Management. Resilience and sustainability each necessitate effective risk management strategies. Implementing resilience strategies, such as disaster recovery plans and diversifying supply chains, can help mitigate operational risks. Employing sustainable business practices that mitigate environmental, social and governance (ESG) risks can help reduce vulnerability to external shocks, supporting greater organizational resilience.
Adaptability. Adaptability to changing circumstances is a primary component of resilience and sustainability. Resilient organizations are better equipped to handle technological changes, economic downturns or natural disasters. Adapting to market conditions, changing regulatory requirements and consumer preferences are fundamental aspects of sustainability.
Resource Efficiency. Resource efficiency is the common intersection of resilience and sustainability. Optimizing resource conservation, reducing waste and increasing operational efficiency support both.
Stakeholder Engagement. Prioritizing stakeholder engagement is a key aspect of organizational resilience and sustainability. Building strong trust with employees, customers, communities and investors, and transparently addressing environmental and social concerns, strengthens internal and external support through challenges and recovery.
Innovation. Innovation is essential to organizational sustainability and resilience, driving value, improvement and adaptation. Resilience grows by anticipating and responding to challenges or opportunities. Innovation creates value through new products and processes that serve stakeholders and minimize environmental impact.
The Micro Impact on Macro Achievement:
It may sound cliché, but business still gets done through people. Without individual resilience and sustainability, achieving organizational resilience and sustainability is improbable. Therefore, it stands to reason that one of today’s most critical risk management considerations is individual resilience and sustainability, or employee health and well-being.
This risk is of growing concern. Numerous and varied reports document increasing levels of burnout and chronic stress, which negatively impact perception, mental clarity, decision-making, emotional regulation, behavior, physical health, relationships and culture.
Recent findings reported in the May 2024 “The Truth About Worker Burnout,” conducted by the online series platform My Perfect Resume, speak to the grave reality of the problem. Of 1,200 U.S. workers surveyed, 88% acknowledged burnout. One in five thinks about quitting their job daily, and one in four experienced depression about their job.
Of disturbing note was the negative impact on the work environment, culture and business relationships. Eighty-seven percent of respondents reported having outbursts at work in the last six months, with 53% citing multiple outbursts.
SHRM’s Employee Mental Health in 2024 Research Series corroborates that burnout is worsening. Of its 1,405 U.S. workers surveyed, 44% reported feeling “burned out at work,” 45% reported feeling “emotionally drained,” and 51% reported feeling “used up” at the end of the day. It cites that “burned-out workers are three times as likely to be actively searching for a new job.”
Business leaders prioritizing organizational resilience and sustainability should strongly consider the undermining impact leader/team burnout and chronic stress have on them.
Long-Term Perspective. Chronic stress impedes critical thinking and clear decision-making. Short-sighted, quick decisions for current challenges may override sound long-term planning and sustainability considerations.
Risk Management. Risk management requires focus and the ability to make prudent assessments and decisions in times of challenge. Chronic stress narrows perception and openness to other viewpoints.
Adaptability. Adaptability requires flexibility, creativity and openness to new ideas. Chronic stress triggers the nervous system to look for threats, increasing resistance to change when most needed.
Resource Efficiency. Reduced personal efficacy is a hallmark of burnout. Focus and productivity are required to maintain resource efficiency.
Stakeholder Engagement. Cynicism, another hallmark of burnout and chronic stress, erodes trust, communication and collaboration, all vital components of stakeholder engagement that impact all other business aspects.
Innovation. Chronic stress impedes critical, creative thinking, collaboration and openness to change, stifling innovation and competitive advantage.
The Whole View
At its core, life continuously demonstrates the micro/macro interdependence of human, organizational and societal health, resilience and sustainability.
Prioritizing chronic stress and burnout reduction provides a solid foundation for resilience and sustainability from which business leaders can effectively create stakeholder value, mitigate risks and enhance competitiveness in an increasingly complex and uncertain business environment.
Kathleen Gramzay is an entrepreneur, body/mind resilience expert, speaker, author and founder of Kinessage LLC. The Kinessage® methods are taught nationally to transform stress, chronic tension and pain, and increase mental resilience and long-term health for greater well-being and sustainable success. Her resilience strategy consulting and programs empower leaders and teams to be present; think more clearly; and work more productively, confidently and collaboratively.
Did You Know: Fifty-five percent of workers agreed that their employer thinks their workplace environment is a lot healthier mentally than it actually is, according to the 2023 American Psychological Association Survey.
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