Leadership requires constant refinement of many skills—communication, strategic vision, management. Each of these skills cannot be properly implemented without resilience. Resilience refers to the ability to respond to and recover from setbacks in a way that allows us to grow stronger. This is particularly important in a business setting where a leader is in charge of a dynamic system—the company—and has to maintain a clear and balanced mind when making decisions.

Developing this capacity is not just about bouncing back from failures but also about learning how to thrive in the face of adversity.

What is Resilience?

Before exploring how to develop resilience, or even why resilience is so important, it’s first important to define resilience. Drawing from both psychological and organizational research, resilience can be understood as being composed of two pillars:

1. the ability to adapt to change, also known as “antifragility”, and
2. the ability to remain composed in the face of adversity.

1) Resilience and Change

The world is a complex place with many pieces perpetually in motion. In the face of this change, resilience includes a capacity for flexibility and adaptability. This adaptive quality is akin to "antifragility," a term popularized by Nassim Taleb, which refers to systems or individuals that not only withstand shocks but become stronger in response to them.

2) Resilience and Adversity

Resilience also involves emotional regulation. It is about keeping calm under pressure and making decisions with a level head, even when circumstances become overwhelming or disheartening. This is not to say resilient people ought to suppress their emotions, just that they can manage their emotions, process them, and use that awareness to guide their responses constructively.

Why is Resilience Important for Leaders?

Resilience is crucial for leaders because it enables them to maintain effectiveness during tough times. Organizations are an example of a dynamic system, and the leader must remain aware and adaptable to each facet. During crises, leaders who falter under pressure can drag down the entire organization. On the contrary, leaders who remain composed and focused inspire confidence, help the organization weather the storm, and learn from the struggle.

Specifically, both pillars of resilience are necessary within a business context. For example, demand for a company’s products can be highly volatile over time. Technical innovation, competition, and cultural attitudes that affect taste and preferences can all create ‘problems’ for a business. A resilient leader can comprehend these changes and, with a calm mind, develop company policies to endure and capitalize on these changes.

Moreover, volatility does sometimes, and inevitably, represent a setback to the company's goals. Here, the leader acts as an example for the rest of the company. If a defeatist attitude sits in the mind of the leader, the company will follow suit. However, if the leader can take a breath, reflect on their emotions, and generate a plan, the company will similarly persevere.

While having technical knowledge in your area of work is crucial to being a competent leader, so too is possessing a skill like resilience. Although a qualification like an MSc in Lean Management, sets you up with the necessary knowledge to work in the professional world, building up your soft skills through experience and overcoming challenges is equally as important.

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How to Develop Resilience?

Beyond formal training, there are three core tenets one must implement to develop resilience:

1. constant exposure,
2. reflection, and
3. abstraction.

1) Constant Exposure

We naturally adapt to our environments, as such, one of the most powerful ways to build resilience is through exposure to challenges. It might be more intuitive to insulate oneself from difficulty - difficulty, after all, tends to be coupled with stress and anxiety. But resilience is exactly the capacity to deal with these difficulties, thus, by regularly putting yourself in situations that push you out of your comfort zone, you develop the mental and emotional fortitude necessary to handle future setbacks.

It is important to note, however, that constant exposure doesn’t mean seeking out unnecessary risks but rather embracing opportunities that stretch your abilities. Given the nature of life, we are never short of opportunities to take the lead. As such, search for the chance to take on new responsibilities, tackle difficult projects, or navigate complex environments. Doing so will constantly sharpen your resilience.

2) Practice Reflecting

Reflection is a critical component of developing resilience. After facing a challenge, take the time to reflect on the experience. What went well? What could you have done differently? What lessons can you carry forward into the future?

By regularly engaging in reflective practices, you gain valuable insights into your leadership style, your decision-making processes, and your emotional responses. Over time, this reflection will help you identify patterns and strategies that can enhance your resilience in future challenges.

3) Practice Abstraction

Finally, how can we develop control of our emotions in the face of adversity? When a challenge arises, we instinctively narrow our focus towards the, often stressful, stimuli. The problem with this is twofold. Firstly, the challenge is emotionally fraught, it will inevitably cause anxiety. Secondly, the solution to the problem is often non-obvious. As such, in the face of challenges we need to remember to abstract our perspective.

Practicing abstraction, or the ability to step back from a problem and view it in the context of the bigger picture, is essential for maintaining composure. This involves asking yourself questions like, “How significant is this issue in the grand scheme of things?” or “What can I learn from this that will benefit me or my organization in the long run?” By practicing abstraction, you train yourself to stay grounded during crises, making it easier to remain calm and collected.

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The Road to Resilience

Resilience is a skill that must be cultivated by any successful leader. The two pillars of resilience; antifragility and emotional regulation, can be developed through reflection and abstraction. Moreover, by practicing these tenets through exposure, you can build the resilience necessary to thrive in leadership and ensure the long-term success of your organization.

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