to exhibit their worth. The tendency
to rely only on a few favourites creates
negative vibes and vitiates the inter-
nal environment. In the long run, it
impedes the tempo of operations and
precludes timely attainment of objec-
tives. Senior leaders should institute
ingenious measures to discern signs
of mismanagement. Institutionalised
mechanisms of reporting invariably
fail to highlight ground realities as
leaders at various levels of the organ-
isation are part of the problem.
Strategic risk management is an
integral part of winning strategies.
In the fast-paced, disruptive and
turbulent environment of the current
century, risks can manifest speed-
ily in a multitude of areas. A more
comprehensive approach that goes
beyond the traditional operational,
financial and regulatory risks is nec-
essary to keep the strategy on track.
Anything which has the potential to
impinge on the smooth attainment
of strategic objectives and goals must
be factored into risk management
plans. Risks regarding the security
of personnel, material, operations,
finances, information, cyberspace and processes should be analysed in
detail to determine the probability of their occurrence along with the
cascading effects they could create. The risk management architecture
should include risk mitigation measures and processes, risk prevention
tools and tactics, and finally, contingency plans to deal with risks when
they cannot be prevented. Contingency and
disaster recovery plans should be updated
and practised regularly.
Implementing strategy while dealing
with risks requires decisive leaders, who can
keep their cool and make wise decisions in
a chaotic and nerve-racking environment.
The power of data and technology, including
artificial intelligence, should be optimally
harnessed for decision-making, capacity
maximisation and inf luencing internal and
external environments. However, given the
challenges of a dynamic strategic arena, it
may not be prudent to base critical decisions
entirely on the inputs from programmed machines. Decisions at the high-
est level, given their far-reaching ramifications, must be creative, innova-
tive and vetted through emotional intellect and a sense of belonging. While
both art and science are leveraged in strategy formulation and execution,
strategic leaders must never forget that in the final analysis, it is the art
that subsumes science and not the other way round. The supremacy of the
human mind must persist in the domain of strategic decision-making.The writer is former Chief of the Indian Army and
now sits on a company’s boardDECISIONS AT THE
HIGHEST LEVEL
MUST BE CREATIVE,
INNOVATIVE AND
VETTED THROUGH
EMOTIONAL
INTELLECT AND
A SENSE OF
BELONGING