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The Devil lies in details! : How crises build up within organizations

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  • Christophe Roux-Dufort

    (EM - EMLyon Business School)

Abstract

In this paper, we show that crises result from the combination of two parallel cumulative processes: first, an undercurrent accumulation of organizational imperfections that lay a favourable ground for crises to occur and second, the development of a growing ignorance that keeps managers blind to the presence of these imperfections. The central idea is to demonstrate that organizational imperfections are allowed to build up and grow into vulnerabilities because they are not noticed or taken into consideration. This managerial ignorance is described as a self-nourishing retreat from reality that decreases leaders' ability to pay sufficient attention to the increasing process of accumulation of imperfections and vulnerabilities. A case study in a French chain of supermarket is used to illustrate this process of crisis.

Suggested Citation

  • Christophe Roux-Dufort, 2009. "The Devil lies in details! : How crises build up within organizations," Post-Print hal-02311859, HAL.
    • Handle: RePEc:hal:journl:hal-02311859
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    Cited by:

    1. Alexis Habiyaremye, 2021. "Co-Operative Learning and Resilience to COVID-19 in a Small-Sized South African Enterprise," Sustainability, MDPI, vol. 13(4), pages 1-17, February.
    2. Williams, Trenton Alma & Zhao, Eric Yanfei & Sonenshein, Scott & Ucbasaran, Deniz & George, Gerard, 2021. "Breaking boundaries to creatively generate value: The role of resourcefulness in entrepreneurship," Journal of Business Venturing, Elsevier, vol. 36(5).
    3. Davor Labaš, 2017. "The Impact of Organizational Crisis Preparedness on Firm Business Performance," Tržište/Market, Faculty of Economics and Business, University of Zagreb, vol. 29(1), pages 75-92.
    4. Bastien Soulé & Julie Hallé & Eric Boutroy & Bénédicte Vignal, 2023. "Revisiting innovation: the organizational vulnerability of small or medium companies innovating in the outdoor sports sector," Post-Print hal-03360833, HAL.
    5. Sarkar, Soumodip & Osiyevskyy, Oleksiy, 2018. "Organizational change and rigidity during crisis: A review of the paradox," European Management Journal, Elsevier, vol. 36(1), pages 47-58.
    6. Anouck Adrot & Jean-Luc Moriceau, 2013. "Introducing performativity to crisis management theory : an illustration from the 2003 French heat wave crisis response," Post-Print hal-01451075, HAL.
    7. Brahim Herbane, 2014. "Information Value Distance and Crisis Management Planning," SAGE Open, , vol. 4(2), pages 21582440145, April.
    8. Bastien Soulé & Julie Hallé & Eric Boutroy & Bénédicte Vignal, 2023. "Revisiting innovation: the organizational vulnerability of small or medium companies innovating in the outdoor sports sector," Working Papers hal-03360833, HAL.
    9. Ali E. Ahmed & Deniz Ucbasaran & Gabriella Cacciotti & Trenton A. Williams, 2022. "Integrating Psychological Resilience, Stress, and Coping in Entrepreneurship: A Critical Review and Research Agenda," Entrepreneurship Theory and Practice, , vol. 46(3), pages 497-538, May.
    10. Sylvain Mondon, 2021. "Temporalités d’action et pratiques d'anticipation stratégique en contexte extrême : le cas de l’émergence d’une crise en course au large," Post-Print halshs-03324387, HAL.
    11. Labaš, Davor & Pršir, Andrijana & Puškar, Julija, 2018. "Evolving Crisis Management - Current Jobs and Required Employee’s Skills and Characteristics Analysis," 6th International OFEL Conference on Governance, Management and Entrepreneurship. New Business Models and Institutional Entrepreneurs: Leading Disruptive Change (Dubrovnik, 2018), in: 6th International OFEL Conference on Governance, Management and Entrepreneurship. New Business Models and Institutional Entrepreneurs: Leading Disrupt, pages 524-582, Governance Research and Development Centre (CIRU), Zagreb.

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