Lessons from when humanity chose to innovate in the face of adversity
By Ailun Gu & John Katsos
A crisis can either forge the resilience of societies and organizations or push them to the breaking point. In these critical moments, innovation emerges as the decisive factor that separates survival from failure for societies and organizations of all types, shapes, and sizes. Innovation (or lack thereof) in response to a crisis holds the key to determining the outcome.
In the wake of a relentless stream of crises in recent years, including the 9/11 terrorist attacks, the 2008 Global Financial Crisis, the Fukushima Daiichi Nuclear Accident, the COVID-19 pandemic, and the Russia-Ukraine war, one profound revelation has come to light. Crises, paradoxically, present a unique window of opportunity for societies to pioneer solutions and embark on innovative endeavors. Indeed, this ability to innovate stands as the cornerstone of crisis management.
But why is driving innovation during a crisis so important, and what can we learn from past examples of innovation in times of adversity? To answer these questions, GFCC members started a new initiative called Driving Innovation in Times of Crisis (DITC).
Within the framework of the DITC, our first step involved a comprehensive review of the various interpretations of “crisis” put forth by academics and practitioners spanning the past four decades. Next, we examined lessons from major crises of the past 100 years to understand what worked (and what didn’t) when innovating to overcome crises.
We then explored crises that significantly reshaped the 21st century through a webinar in April 2023. Next, we specifically surveyed lessons from two cases, the 9/11 terrorist attacks and the COVID-19 pandemic, through extensive interviews with individuals at the helm of these innovations. We talked to leaders, managers, former government officials, corporate executives, and industry pioneers. Their first-hand accounts and insights not only enriched the nuances of the narrative but also underscored the coordinated drive to innovate toward a safer future.
The devastating terrorist attacks of 9/11 and the ongoing COVID-19 pandemic emerged as pivotal instances that demanded innovation on a massive scale. Beyond the initial responses, like the wars in Afghanistan and Iraq, it is the often unnoticed and quieter innovations that ended up having an enduring impact and delivering invaluable lessons to others in crisis response. As interviews about the COVID-19 pandemic are still ongoing, here we present the key lessons learned from the 9/11 attacks.
Innovation in the wake of tragedy
In the aftermath of the 9/11 attacks, three key areas of innovation emerged: the travel industry, financial regulations, and national security. Each of them marked not just advancements in technology and processes but a leap in global cooperation that has had lasting impacts.
The travel industry witnessed a significant slump after the attacks, with passengers afraid to travel and airline passenger numbers at all-time lows. However, adversity birthed a new era of innovation. Airlines and airports boosted their security measures in coordination with government officials and adopted cutting-edge biometric scanning and facial recognition technologies. Safety-focused designs were introduced, focusing on reinforcing in-flight security and crew training.
A further wave of innovation arose in the field of financial regulation and a new global sanctions infrastructure. The global community came together to prevent financial systems from funding acts of terrorism. Regulations were tightened, compliance requirements were enhanced, and innovative technologies were implemented to make the system more resistant to fraudulent transactions.
Finally came the global coordination of national security. Nations began an unprecedented collaboration with intelligence agencies, sharing data and resources to prevent future attacks. Enhanced cooperation extended to international security alliances and within the private sector, leading to technological innovations that supported predictive capabilities, data analysis, and improved surveillance.
We hope that our study serves more than a record of transformation. It should celebrate our collective resilience and unwavering commitment to creating a better and safer future. After all, it is during times of crisis that the power of transformative innovation shines its brightest.
Ailun Gu is a Lecturer at the University of Auckland, and John Katsos is a Scholar at the American University of Sharjah and Queens University Belfast Centre for Leadership, Ethics, and Organization. They both conducted research for the DITC.
