Organizing Resilience Capabilities of Firms and Sustainable Performance during COVID−19: Effective Crisis Management during Adversity

Chang Xui^*
*Correspondence: Chang Xui, Department of Management, Beijing Normal University-Hong Kong Baptist University United International College, Zhuhai 519085, China, Email:

Introduction

Businesses must efficiently manage crises that result from many unanticipated and abnormal external occurrences, such as financial crisis, natural disaster, terror, industrial accident, among others, in order to maintain sustainable business performance and survival .Researchers studying crisis management have looked at how businesses react to risks and uncertainties associated with such occurrences at various crisis stages, including before, during, and after adversity .In particular, it has been extensively emphasised that during difficult times, a firm's ability to effectively communicate and internally organise resources depends on its leaders. For instance, certain characteristics of leaders, such as the ability to see a crisis as an opportunity, the impact of executives' emotions and intuition on their decision-making, and leaders' communication. Although the connection between crisis leaders' roles and organisations' responses to risks and uncertainty in times of adversity has received scholarly attention, it has not been sufficiently discussed which organisational capabilities and which arrangements of specific sets of them leaders need to coordinate and utilise for long-term firm performance [1,2]. Previous research tended to focus on the function of organisational capabilities in isolation, but they underappreciated the possibility that several resilience capabilities can have a substitute, competing, or complementing effect on firm performance during crises. It is known that many organisational capacities can work together to help an organisation react to adversity, leading to recovery and long-term firm performance in the face of adversity [3].

Discussion

In this study, we mainly advocate that organisations need to harness their resilience skills to resist disruptive and unanticipated adversity during crises by integrating crisis management and organisational resilience literature and drawing on the capability-based approach of organisational resilience. Prior research mostly focused on the characteristics of crisis leaders that can affect organisational recovery during crises, including emotion, intuition, and communication abilities. However, we point out that it is important to consider a multidimensional attribute of a firm's resilience capability. Financial, cognitive, and behavioural capacities are some of the components of organisational resilience. Through these talents, businesses can diagnose an urgent condition, develop prompt remedies, and put them into action. They can also absorb shock from an external crisis [4-6].

Conclusion

This study offers timely guidance for Chinese film and television companies on how to handle the COVID-19 epidemic crisis, as well as recommendations for organisational resilience capability combinations that are more suitable for various companies to boost firm performance in accordance with firm size. Our findings demonstrate that concurrent organisational resilience skills must be identified, organised, and made sure that their effectiveness is dependent upon the company size in order for a firm to perform sustainably in the face of adversity. The study's findings imply those crisis leaders' decisions in coordinating organisational resilience capabilities might lessen damages and achieve sustainable firm performance during the COVID-19 crisis. It is difficult for businesses to respond to and recover from a terrible crisis situation.

Acknowledgement

None.

Conflict of Interest

None.

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