State Owned Company A

communication among top executives helps to inform decisions with diversity, which could ultimately shape the overall resilience of Zhongda in a better way.

Deputy general manager Zhang offers two varified opinions. He states that the attitude of the company in crises can determine the overall resilience of Zhongda by implying that a better result could be achieved with sharp skills and a better attitude. Also, lessons learned from external cases play an indispensable role under the concept of overall resilience from his view via assuming cultivating the awareness of employees, reinforcing the perception of risk responsibility, and increase the protection of the service contracts and employees.

Interestingly, both deputy general managers share negative attitudes on practicing replacement of CEO/president while the top leader cannot lead the response of crises due to some constraints.

Finally, all three participants agree that business continuity, as well as external impact, can affect the validity of overall resilience. Securing the functionality of normal operations, ensuring primary responders can handle crises, assuring ethics of professionalism, and quality of the service consists of the full picture of business resilience. Moreover, expanding the firm and stabilize the staff with precise methods and preparation could enable better performance of business continuity as well.

As for external impact, they believe that the macroeconomic policy of the nation, trade war, government guidance, public event, business expansion, and support from the state could all be seen as variables that can fluctuate on the practice of overall resilience.

5.3 State Owned Company A

Concept Trees of Various Topics on Crisis of the Company A

Figure 5.3.1, Figure 5.3.2, Figure 5.3.3, and Figure 5.3.4 portray the concept tree of business strategy, business resilience, CSR, and additional factors of the Company A based on descriptions of the research participant.

Figure 5.3.1 Concept Tree of Strategy of the Company A

Figure 5.3.2 Concept Tree of Business Resilience on Crisis of the Company A

Figure 5.3.3 Concept Tree of CSR on Crisis of the Company A

Figure 5.3.4 Concept Tree of Additional Factors on Crisis of the Company A Case Analysis

Conceptual Framework of Business Strategy of the Company A

As described in Figure 5.3.1, five elements consist of the business strategy framework of the company on crises. First, attention to the emergency becomes critical, for Company A must know about the external information. Notably, the company cares about the biased reports or reports

with adversity that could hurt it. Consideration of reputation impact, as well, is regarded as an essential factor. On the one hand, the firm would evaluate the size and the severity of crises so that it could decide to respond in a cold, passive way.

On the other hand, the business needs to observe the actions of the market, though the participant says that the bad memory to the company from the public usually would not maintain for a long time as long as the crises were appropriately solved. Moreover, the participant mentions the concerns of operation bottom line though the crises, in most cases, were unpredictable. In crises, a prompt response is a primary method of maintaining day-to-day business operations. At the same time, the company would activate its issue judgment, though with limitation, to try to grasp the overall picture of the situation. Then, emergency encountered is involved inside of the consideration of strategy. During crises, the spokesperson of the firm acts as the only communication channel between Company A and outside, while the company would unify its opinions internally. Last, the company also takes the observation of its competitors on similar situations into account, especially on how its competitors feedback quickly and how do they make decisions.

Conceptual Framework of Business Resilience of the Company A

Figure 5.3.2 reveals the business resilience framework of the company with eight idea nodes. The company believes that while the crises breakout, attention from outside would inevitably focus on it. Now, the formations of showing public attention are evolving, and sometimes the public proposals could intervene in business operation. Hence, while referring to emergency recognition, the participants imply a keen negative awareness on crisis prevention and management withhold the preception of nonsense and unpreventable on the terms. However, Company A confesses that the energy of the company would be distracted, so the regular operation of it would be affected by non-minor crises.

While considering the management and leadership, the participant prefers to believe that the efficiency of leadership during crises depends on reacting collectively while the decision on response shall be made swiftly in a centralized structure with a definite attitude. On the other hand, the managers in intermediate ranks could only report to their supervision layers without any eligibility for making the determination. Moreover, the participant states the unique structure of information collecting during crises. Given the background of as a state-owned business, the company must gather information from the administration line first, then combined with the update from the market to cultivating the method of crises responding. Meanwhile, the participant asserts that financial information could offer no clue on crises unless the bankruptcy were in a step far.

Last but not least, the company holds a view that sharing experience on crises widely inside is not necessary; on the contrary, only the members of top management should internalize such experience with accumulation.

Conceptual Framework of CSR of the Company A

Figure 5.3.3 manifests the concept framework of CSR of the company. While crises were about to

happen or they were occurring, the customers of the firm would notify the hazardous factors bounded by specific crises events. For employees, they could achieve no more than producing reports on crises. Investors are concerned about the financial performance of the company by looking into the financial statement. Finally, the regulator would supervise the process of response step by step with unambiguous claims.

Conceptual Framework of Additional Factors of the Company A

Several additional factors are considered to be able to affect the overall resilience of the company.

In case of the inability of top leaders to tackle down crises, it is the top management group to judge the temporary replacement with the current management structure. Concerns on business continuity lay as critical ones on contributing overall resilience. However, the methodology of the company to analyze business continuity is only filtering the severity of crises than to determine whether the business continuity could be maintained.

The participant describes the crisis detection efficiency of Company A is outstanding because of the concise management chain, which contributed positively to the current overall resilience.

Further, knowledge learned from the external environment, as well, could improve business resilience by accumulating crises cases with rich details. Ultimately, quick solutions design to tackle specific sorts of crises could evolve into ideal remedies for enhancing the performance of resilience.