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What should businesses be doing during the coronavirus pandemic? That’s a tough question, and few of us imagined the challenges we face while being isolated from friends, family, and colleagues. Any crisis will serve up some market opportunities to help consumers adjust, and business leaders should seize them. While doing this, it is important to note that the role of corporations was already under pressure to change prior to the pandemic. Ensuring your business does its part as a good corporate citizen isn’t just the right thing to do. When the dust settles, consumers will remember how organizations acted. Former Ivey Professor Christine Pearson recommends executives focus on the following actions: hope for the best, prepare for the worst; make your role model proud; create a superb crisis management team; treat your employees right; and model healthy self-care. Ivey Professor Andreas Schotter advises multinationals to ensure they keep track of all vulnerabilities as they scramble to maintain operations because retreating from globalization is not a viable long-term strategy. Ivey instructor Eric Janssen recommends that early-stage ventures try to increase revenue; move to collect receivables; delay payables; cut non-essential spending; and consider temporary layoffs. To maintain morale, Ivey faculty member David Wood suggests end-of-week team parties on Zoom or similar platforms to give employees a virtual meeting that they can enjoy. Finally, Ivey Professor Paul Beamish notes that everyone in business should maintain perspective—the type of setback they experience as a hassle of doing business often manifests in poor countries as a life-or-death situation.

For people who aspire to drive change, studying the impact that character had on RBG’s judgment is as important as replicating her commitment and competence

Why today’s business leaders need to show that great stories about fighting for what really matters can exist beyond fiction.

This article examines the value of peer networks, then offers advice on how to maintain and grow professional relationships when physical gatherings are not an option. Developing a robust peer network has long been considered mission critical for business professionals. However, if you want them to last decades, networks require regular maintenance, which is more difficult when physical distancing requirements exist. Anyone who puts time and thought into virtual networking can build a more robust professional network that can help improve decision-making, identify career opportunities, and overcome personal challenges for years to come. The main obstacle to networking virtually is not taking the time to do it. Virtual networking, of course, will never replace connecting in person, so as you network online, think about ways to maintain and deepen your connections when larger physical gatherings become possible. No matter where your professional connections were formed, keep in mind that everyone on the planet has shared the soul-searching experience of being isolated from others during the pandemic. This represents an opportunity to connect with others like never before, which can help advance your career—not to mention improve how we collectively face the challenges and inequities that exist in the workplace and our communities in this disruptive age.

This article explores how companies can make themselves more competitive by understanding how crises open the door to innovation, then offers advice on how to foster innovation in good times and bad. Thanks to the coronavirus outbreak, organizations around the world are experimenting like never before, and this forced increase in experimentation represents a unique opportunity to take innovation to a higher level because it is taking place while everyone’s standard operating environment has been disrupted. One lesson for organizations experimenting during the pandemic is that there can be value in mistakes. Making sure that you don’t miss the serendipitous opportunity of a lifetime requires the willingness to venture down a rabbit hole without being held back by your original objective. Working without a clear objective can be wasteful, but it also opens the door to finding something unique and valuable. At the same time, the tension that typically exists between an organization’s fiscal stewards and its creative folks exists for a reason—failure is costly. As a result, building an innovative culture that is also a sustainable and profitable culture is a balancing act.

Smoking was once considered as American as apple pie, but times change. Cigarette sales in the United States dropped to 216.9 billion in 2018, marking the industry’s lowest level in demand since the tracking of cigarette sales began in 1967. But today’s smokers are not just being banned from lighting up at work—they are being banned from employment by companies like U-Haul, at least in the United States. (In Canada, the Human Rights Act theoretically protects nicotine users from this sort of selective hiring policy.) There is no question that well-designed wellness programs can benefit employers and society alike. But on the other hand, besides having the potential to negatively impact employee morale, aggressive wellness initiatives can spawn a culture of deceit, fostering unhealthy attempts to beat the system. In the case of weight-loss programs with financial incentives, studies have found that employees often attempt to manipulate results by binge eating and crash dieting. As a result, wellness programs must be well designed. Providing employees with knowledge, risk management tools, and positive incentives has a role to play in today’s workplace. But refusing to hire people who, for better or worse, use any legal product can do more harm than good.

In January 2020, a U.S. hunter-killer drone killed Iran’s second most powerful person, without congressional approval. During the fog of Iran’s response, Ukraine International Airlines Flight 752 was shot out of the sky over Tehran by jittery Iranian military defense personnel. Michael McCain, CEO of Toronto-based Maple Leaf Foods, blamed Trump for the accident, which claimed the lives of 176 people, including the wife and 11-year-old son of a Maple Leaf Foods employee. Without mentioning the president’s name, McCain used his company’s official Twitter account to express what he said were “personal reflections” about the tragedy. The corporate world was divided by McCain’s blunt assessment of Trump’s leadership, with critics insisting he had crossed a clear line by using the official Maple Leaf Foods Twitter account to spread personal opinions without any regard for the corporate bottom line. There is no question that CEOs are accountable to company stakeholders via corporate boards, but the guiding principles of corporate leadership and governance are constantly evolving. While fans of the shareholder primacy model are free to resist change, there is no universally accepted line that separates the duties of corporate leaders and the personal views they hold, especially not on matters of interest to the stakeholders they serve.

Jane Philpott, a federal member of Parliament and minister in the Canadian government's cabinet, had told voters during her election campaign in 2015, "For me, a seat in the House of Commons is not a target; it's a tool. It's the tool that you and I will use to make this community better-to make this country better." Four years later, Philpott was forced to examine her position and her potential to use that tool when a scandal brought to question the principles upon which the governing party had campaigned. Resigning over principles carried a great cost; was it the right decision for Philpott?

In 2018, Volkswagen Group's newly appointed chief executive officer renewed the company's commitment to Strategy 2025, an ongoing plan intended to radically transform the German automaker. Volkswagen was being challenged by tectonic changes in the automotive industry, including the phasing out of the long-standing internal combustion engine, ongoing digitization, the entry of new competition from technology companies, the introduction of electric vehicles, and the launch of ride-sharing applications. Strategy 2025 was designed to reshuffle the company's existing formal and informal structures and restructure the automaker into a nimble, agile, and innovative corporation ready to face the realities of mobility in the digital age. The new chief executive officer faced huge expectations concerning the effectiveness and sustainability of Strategy 2025. Was the automaker doing enough to transform into a competitive mobility company?

In 2018, Volkswagen Group’s newly appointed chief executive officer renewed the company’s commitment to Strategy 2025, an ongoing plan intended to radically transform the German automaker. Volkswagen was being challenged by tectonic changes in the automotive industry, including the phasing out of the long-standing internal combustion engine, ongoing digitization, the entry of new competition from technology companies, the introduction of electric vehicles, and the launch of ride-sharing applications. Strategy 2025 was designed to reshuffle the company’s existing formal and informal structures and restructure the automaker into a nimble, agile, and innovative corporation ready to face the realities of mobility in the digital age. The new chief executive officer faced huge expectations concerning the effectiveness and sustainability of Strategy 2025. Was the automaker doing enough to transform into a competitive mobility company?

Canada’s SNC-Lavalin affair has been compared to the U.S. Nixon Administration’s Watergate scandal, but the comparison is misguided. This article seeks to separate fact from misinformation in order to enable more constructive public discourse about the scandal. The second goal is to make the case for embracing negotiated settlements as a legitimate corruption-fighting tool based on the author’s experience as a financial-sector whistleblower during the dotcom era (which led to a long career as an investigative journalist covering white-collar crime). Finally, this article identifies key takeaways for managers and directors who are expected to drive growth and profit without breaking the law. In the SNC-Lavalin affair, an opportunity to improve how Canada fights corporate corruption appears to have been lost in the commotion. When fighting corruption, it is important to remember that organizations like SNC-Lavalin can also be victims, and that corporations do not decide to be corrupt—people do. Many corporate boards still rely heavily on senior management to report cultural issues, which is ridiculous, and not just because unethical executives rarely rat themselves out. It is time for more boards to proactively investigate the health of the corporate cultures they govern and doing this requires direct contact with lower-level employees, especially ones in specialist functions such as internal audit, compliance, and risk management.

Most board meetings don’t start with a chairperson screaming, “Let’s get ready to rumble.” But it’s not a bad idea. After all, proxy advisory firms and executive development experts say managers and directors need to be ready to defend themselves like never before as the Age of Disruption threatens to stretch shareholder patience to the limits. Thanks to regulatory advantages, Canada has long been considered the land of milk and honey for activist investors. As a result, the annual number of proxy contests has jumped significantly since the turn of the century. However, existing securities laws do not adequately address the fact that control of public companies, along with their cash and assets, can be won by storytellers willing to mislead shareholders and foster discontent. Today’s boards must understand the power of gossip and myth in order to prepare for the kind of populist revolutions they can ignite. The go-to source of information for mom and pop investors is online opinion—not court rulings, corporate documents, balanced media reports, or independent expert advice. Thus, getting the retail crowd onside and prepared to defend you requires a comprehensive retail investor relations program that actively counters misinformation while effectively helping all shareholders understand how the company is working to serve their interests. Communicating the firm’s story needs to be a priority year-round, not just an initiative tied to annual meetings.

America’s Business Roundtable (BRT)—currently comprised of nearly 200 CEOs, ranging from General Motors’ Mary Barra to Apple’s Tim Cook—recently issued a statement that says making money for shareholders is not the only responsibility of management. For decades, a shareholders-first model was widely considered corporate orthodoxy in the United States, where boardroom focus has long been influenced by University of Chicago economist Milton Friedman’s 1970 essay “The Social Responsibility of Business Is to Increase Its Profits.” In August 2019, the group of CEOs updated its thinking on the matter in a 300-word statement that doesn’t mention shareholders until the end of a list of commitments that starts with “delivering value to our customers” and “investing in our employees,” then moves on to “dealing fairly and ethically with our suppliers” and “supporting the communities in which we work,” before finishing with “generating long-term value for shareholders.” The BRT’s shift in thinking comes at a time when corporate America faces distress due to global discontent over income inequality, harmful products, and poor working conditions. The BRT has diplomatically signaled that corporations should be more careful than they were in the past when the short-term financial interests of shareholders conflict with the interests of other stakeholders. This could have significant implications for dividend and share-buyback programs.

Calgary’s city manager sought to build stronger relationships with the community to attract development and retain investment in the city. He knew that implementing the Proximity Initiative guidelines, a collaborative effort between the Railway Association of Canada and the Federation of Canadian Municipalities, while intended to limit potential safety risks in the case of a derailment or volume release, would simultaneously limit urban development opportunities, particularly within the downtown. The guidelines did not consider the balance of public safety with economic diversification so specific to Calgary's context. The manager had to consider an appropriate solution for his city.

Calgary's city manager sought to build stronger relationships with the community to attract development and retain investment in the city. He knew that implementing the Proximity Initiative guidelines, a collaborative effort between the Railway Association of Canada and the Federation of Canadian Municipalities, while intended to limit potential safety risks in the case of a derailment or volume release, would simultaneously limit urban development opportunities, particularly within the downtown. The guidelines did not consider the balance of public safety with economic diversification so specific to Calgary's context. The manager had to consider an appropriate solution for his city.

According to research into what makes leaders great, executives can leverage the power of music to improve performance while taking a taxi or flying on a plane, or even in the shower. “Having established the importance of leader character for sustained excellence in organizations,” says Ivey Business School Professor Mary Crossan, “the next frontier is researching how to activate and develop character on a daily basis.” Crossan has been exploring how music can activate dimensions of character that may lie latent. In particular, Ivey has been exploring how music can exercise the character dimension of humility and its associated behaviours in future leaders. But while Crossan’s research explores the positive and negative impacts that music can have on character development, she notes that it is misguided to think that one person’s positive playlist will work for another individual. The key to deploying music for leadership development is reflection and self-awareness. Indeed, you first must adequately explore the current state of your strength of character to determine imbalances among your character dimensions. This can be done using a Leadership Character Insight Assessment tool developed by Ivey researchers in partnership with SIGMA Assessment Systems. You then design a song library to promote character dimension balance based on what moves you emotionally in the areas that require development.

America faces a previously unimaginable leadership crisis. And that is why businesspeople fleeing White House advisory councils over Trump’s response to the tragic events in Charlottesville—where a civil rights activist was killed during a violent clash—should be applauded, not attacked. Unfortunately, millions of Trump supporters don’t see a problem with the comfort that racists are taking from his leadership. And because these Trump supporters are also consumers, it is risky business for CEOs to take a stand against the man. Simply put, Trump doesn’t understand or care why there should be no presidential ambiguity when it comes to discrimination. As things stand, the president of the United States does not understand good leadership. His behaviour is dangerously erratic, childish, and divisive thanks to his unhealthy need for applause. Perhaps watching more and more CEOs choose to serve the country and their corporate stakeholders by taking a stand against his administration rather than supporting it will eventually cause Trump to reflect on his flaws as a leader. Either way, when something far more important than profits is on the line, choosing not to be associated with someone who has repeatedly attacked the foundation of American greatness is a sound business decision.

Hillary Clinton was expected to succeed U.S. President Barack Obama, but not because of her character. Americans were expected to elect her as the candidate often seen as the “lesser of two evils,” but U.S. voters shocked the world by handing the Oval Office to Donald Trump. Being a good head of state requires being a good leader who goes about nation-building in a sustainable and socially responsible way, and this requires more than competencies and commitment. Good leadership requires having what Ivey calls “leader character” in order to ensure that competencies are deployed in ethical and effective ways for all stakeholders. Character in the White House matters more than ever before. After all, what mainly set America apart in the past was its ability to create wealth while maintaining a perceived commitment to religious tolerance, equality, and freedom. The pivotal role that character plays in good leadership has been articulated by Ivey research on the causes of the 2008 financial crisis. But as Ivey research notes, the expensive lessons learned in the aftermath of that crisis already appear forgotten as high-profile cases of appalling corporate behaviour continue to undermine capitalism. While Trump could prove to be a strong president who creates American jobs in the medium term, the example he has set as a leader is far from presidential and his election does not bode well for those who care about social responsibility and economic sustainability.

A year after a massive data breach at its Ashley Madison adultery service, Avid Life Media relaunched in 2016 under a new name. The move was designed to help the business recover from the hacker attack that had exposed its security and governance issues and dashed the desire of investors to take the company public. It was also a strategic step to regain the trust of customers who had been outed as would-be cheaters. Now known as Ruby, the company has new leadership, and Ashley Madison has dropped the tagline “Life Is Short. Have an Affair.” and replaced it with “Find Your Moment.” While announcing these moves, the CEO assured wedding-vow breakers that the controversial business intended to remain “true to our roots.” <br><br> Ultimately, a business founded to help people deceive their partners will have a fraught reputation regardless of the parent company’s name. That’s why Ashley Madison is a case study that keeps on giving. Long before a hacker group exposed the personal information of millions of Ashley Madison members, we developed an Ivey case study based on Avid Life’s first attempt to go public in 2010. Back then, the business’s controversial nature and aggressive founder were seen as free publicity. Further, the company was considered well-run and profitable. Yet Avid Life failed to attract investment in 2010, which raised issues about the function of businesses, e.g., the shareholder perspective versus the stakeholder perspective. Boardrooms still debate how best to balance the duty to generate returns for shareholders with growing public expectations of corporate social responsibility. To help understand the reputational issues involved, there is perhaps no better case than the jilting of Ashley Madison by investment bankers, who are not typically seen as the moral compass of society.

Few business leaders will ever confront the challenge that Landsbankinn CEO Steinthór Pálsson faced in mid-2010, when he attempted to rebuild Iceland’s oldest full-service financial institution. After the nation’s banking industry collapsed two years prior, the government seized control of a greed-dominated sector. Excessive leverage and aggressive expansion, combined with inadequate risk management and, in some cases, criminal executive behaviour, brought the country near bankruptcy. Angry citizens protested against massive personal and corporate losses and change was demanded, especially at Landsbankinn. Over the past four years, Pálsson has systematically restructured Iceland’s oldest bank. In this interview, the change management expert discusses Landsbankinn’s restructuring strategy and why he took a significant pay cut to take on what appeared to be an impossible task. Pálsson opened up all senior management positions at the bank to internal and external competition and took out ads in major newspapers promising to restructure customer loans and improve governance. Despite bank employees facing threats and physical attacks, he preserved the bank’s brand. He emphasizes the importance of allowing debate among his senior team and says, “Good ideas are worth one point and a good plan is worth 10 points, but good execution is 100 points.”