The economy is in a spin, shares are sinking quicker than you can say Wall Street Crash and companies are not so much going to the wall as being dashed against it by the giant slingshot of global financial crisis. Can there be a bright side to such a massive change for the worse?

One source of comfort for managers is that change is an ever-present factor in their lives. The current economic turmoil is no reason to hide under the duvet; managing change is what managers do.

A survey by the Chartered Management Institute, The Quality of Working Life 2007: Managers’ Health, Motivation and Productivity, indicated that 65 per cent of respondents had experienced some kind of organisational change in the previous year.

“For me change has always been a good thing,” says Liz Jackson, the managing director of Great Guns Marketing, a specialist in tele-marketing. “I embrace it and I find it really exciting. We grow at more than 50 per cent a year, so at that rate you get used to change.”

Geared up for gloom and doom

Managers are feeling insecure but optimistic that they can steer a path though the current malaise

BACKGROUND

• Look to the constants in a bumpy future

• Managing is easy when times are good

• Are you ready for the future?

• When it comes to the crunch

BACKGROUND

• Don’t panic and stay close to your clients

• Some sources of help and inspiration

• Be master of your own fate

• Communication is key

That robust attitude is crucial, not least at times like these, Jackson says. “When people become victims they are good for nothing.” She believes the mindset should be: “We can get through this – and more than get through it.”

For Jackson, managing change successfully means having innovative people around her. “Being innovative at this time is really important because it brings competitive advantage.”

Although the workforce sometimes needs people who are content to do the same thing each day, Jackson says change offers chances to those who are happy to “go into the unknown”. She compares it to a roller-coaster ride: “Take that feeling of loving fear into the workplace.”

But the fears generated by the current crisis may be uncharted territory for many, says Terry Corby, a senior executive with Accenture, the global management consultancy. “There is probably a whole generation of management that has not experienced a downturn before. They have not been through it and it is very unsettling.”

It is vital, therefore, that senior staff keep their teams informed and do so without using jargon, Corby believes. For instance, it is not always obvious to individuals what terms such as “credit crunch” mean.

Durable companies manage change well by reinventing themselves again and again. He cites Walt Disney, which, with its films, theme parks and merchandising, has entertained successive generations.

The business imperative is that change has to be managed; it cannot just happen in some chaotic way. “Know what your plan is and stay true to your objectives,” Corby says. “Execute that plan with absolute excellence and do not be tempted to move from your long-term objectives.”

The rules apply as much to individuals as to organisations. “Do everything you can to the best possible level of quality you can,” Corby says. “If, in 12 months, the company has a difficult time and is looking for workforce reductions, it is going to look at who is performing at the right level of quality.”

Ruth Spellman, the chief executive of the CMI, emphasises the need for strong leadership during times of change. “Managers need to be part of the change themselves – to manage rather than be managed. They need to interpret the environment and translate that into really clear messages.”

To give clear messages demands good information. Another institute report published last year, Leading With Political Awareness, described the importance of managers being able to detect longer-term issues, including small changes that signal bigger shifts in the economy or society. Spellman adds: “Part of your job is to make sense of the external world.”

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