Resilience as a Business Growth Strategy

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If the first wave of the current polycrisis that began in 2020 was about survival — keeping operations moving through the pandemic, adjusting to geopolitical shocks and supply chain disruptions, and navigating energy volatility — the second wave is all about corporate resilience.

As a result of operating within one of the more challenging periods in recent history, many companies are feeling more confident in their ability to thrive in the face of adversity.

Despite the bombardment of shock events during the past five years, most business leaders Gallagher surveyed were surprisingly upbeat, describing their companies as productive, resilient and innovative.

"The experience during COVID showed many organizations they were capable of far more than they believed because they had no choice," says Lisanne Sison, managing director, Enterprise Risk Management (ERM) at Gallagher.

"Disruption gives companies more permission to innovate and try new approaches. Organizations that embrace this mindset can make the most challenging situations. And that's what risk management is about: turning lemons into lemonade," explains Sison.

"Over the past five years, we've faced plenty of challenges, but we've also built the skillset to acknowledge that we can't prevent risk completely. Accepting that reality allows us to focus on what we can do, opening new opportunities. A growth mindset helps organizations adapt, innovate and thrive in the face of uncertainty," she concludes.

Risk appetite as a catalyst for a business growth strategy

In the immediate aftermath of a shock event, companies typically enter crisis response mode, prioritizing immediate actions such as ensuring workplace safety, activating contingency plans, enabling remote work arrangements and putting the right IT infrastructure in place. This reactive phase is critical for stabilizing operations and protecting staff.

Once companies address urgent issues, they transition into a business-as-usual ERM phase. Here, risk leaders focus on strengthening internal controls and mitigating vulnerabilities, particularly in areas like supply chain flexibility.

For some companies, the aftermath of the shock event ends here. For others, it marks the beginning of a more structured approach to risk, shifting from reactive risk mitigation to resilience building.

In this stage, companies invest in scenario planning, external risk monitoring and proactive stress testing.

By taking these actions, such firms will have greater confidence in their ability to manage future threats, not just because they can better anticipate them, but because they have built the processes, contingencies and muscle memory to respond quickly and effectively.

The Gallagher Global Business Risk Evolution Survey explores this shift, revealing that 81% of leaders reported feeling prepared to face future risks.

Rather than reacting to disruption, companies are shaping their future with intention, using risk as a lever for innovation and innovation as a lever for growth. This shift is especially evident among organizations that adapted during the pandemic.

Many strengthened their digital capacity, launched new offerings and diversified their operations. These measures were often guided by risk managers or brokers who provided a clear view into the future to better understand where it was possible to take on new risks.

According to Gallagher research, 27% of companies surveyed embraced innovation as a strategy for scaling up over the last five years, launching new products and services, including leveraging technology to streamline workflows. One in four respondents said they had invested more in research and development. There is a clear shift toward a business mindset that embraces innovation to anticipate challenges and pivot effectively.

"In 2020, many were forced to adapt, leading to diversification," says Neil Hodgson, managing director, Risk Management Solutions at Gallagher. "Faced with a catastrophic environment, people took on business risk management as a necessity for survival. This realization that opportunities can arise from negative circumstances is now more widely accepted."

Insurance strategies have evolved to support this innovation-driven approach to risk. Companies are expanding their coverage to safeguard against emerging threats, with 54% reporting increased insurance coverage purchases over the past five years.

This growing investment in risk financing protection reflects a deeper understanding of risk as a strategic asset that enables innovation. In this context, insurance is increasingly integrated into broader strategic planning, allowing companies to take bolder steps, enter new markets and test alternative income streams.

According to the survey, 78% of companies experienced a realignment of their revenue makeup due to the pandemic — with one in three losing their pre-pandemic sources and 44% seeking new, unplanned alternatives to stay buoyant.

Brokers have been instrumental in this shift, understanding the implications business decisions have on the company's risk profiles and ensuring the right insurance protection is in place. They've collaborated closely with businesses to develop solutions that enhance adaptability and, ultimately, resilience.

"Having a broker who understands the industry and the various existential challenges our clients face can empower them to take on more risk and make more informed decisions about how to spend every dollar in the insurance marketplace," explains Stacie Kroll, managing director for Higher Education at Gallagher. "We view that as a critical component of a well-rounded approach to strategic planning."

By aligning insurance decisions with innovation strategies, companies are building the resilience traits that will define the most successful businesses in the years ahead.

The traits of resilient companies

While the past five years have brought varied challenges across industries and regions, resilient organizations share some common traits. Business leaders identified these top characteristics:

• Strong leadership
• Ability to adapt
• Strategic planning
• Strong vision and values
• Empowered employees

It all starts with leadership and communication, notes Aidan Hewitt, head of Culture, Change and Leadership at Gallagher UK. "The key takeaway is the importance of acknowledging the past without dwelling on it," he says. "We can't undo what's already happened, but we can commit to moving forward."

Great leaders break down complex challenges into manageable steps, build momentum by celebrating wins and empower teams with clear direction. "This approach encourages high performers to step up and say, ‛I want to be part of turning this around. I want to be part of the solution,' " Hewitt adds.

Leadership also reinforces a strong organizational culture, which is essential during times of disruption. "It's hard to overcome challenges in an organization where a leader doesn't believe in the value of risk management," observes Sison.

When employees are trusted and supported, they become active participants in the organization's transformation. This sense of ownership fuels adaptability and keeps the business moving forward, no matter what the challenge.

"A turbulent climate offers opportunities for companies that lean into it," says Hewitt. "Suddenly, there are plenty of organizations and vendors that have pivoted faster than others, and they're now contenders.

"Because they're more able to change, they can thrive in a volatile post-COVID world," he adds. "Uncertainty and complexity are no longer barriers — they're opportunities for growth."

Bold new leaders build trust and cohesion

The past five years have transformed how organizations operate. Companies rapidly invested in secure remote capabilities and flexible arrangements — and most expect these changes to remain in place.

According to Gallagher's research, a striking 94% of those that adopted remote, hybrid or flexible work during the pandemic expect these models to continue through 2030.

"COVID taught us we can do a virtual stand-up in 10 minutes to discuss an important topic," says Hewitt. "There's no longer a compelling argument that everyone has to endure a lengthy commute to meet face-to-face. The return-to-office push has been more people-centric than operational, generating resistance from employees."

People risk gains focus as the workplace evolves

While managing risk and ensuring operational coverage is critical, managing human capital is equally important. Organizations may achieve their business goals, but if that occurs at the expense of employee morale and workplace culture, leaders face a different kind of risk — people risk.

The polycrisis has reshaped how organizations view people risk. Increased stress and retention challenges threatened productivity across sectors. The most resilient firms recognized that wellbeing must be embedded into culture and not treated as an add-on.

"A thriving business isn't just about operational efficiency," says Hewitt. "It's also about creating an environment where employees feel valued and engaged."

By acknowledging the interconnected nature of mental, physical, social and financial wellbeing, organizations can deliver targeted benefits with greater impact. This holistic approach builds a stronger support network for employees, empowers managers to act on early warning signs and ensures that organizations use resources efficiently to enhance workplace experience.

Companies are also facing challenges in their culture building and employee engagement.

The "North Star" for businesses is constantly shifting, and strategies need to pivot accordingly, Hewitt adds. "The quicker you can get your people on the same page and motivated to execute, the better positioned you'll be. If you've covered your risks, you're not spending all your time worrying about what could go wrong, which gives you the freedom to focus on growth and progress."

As Daniel Smith, regional director of Strategic Growth at Gallagher, says, "Since the pandemic, organizations are thinking about how to engage employees more when they're working from home and not in a group environment all the time. How do you make someone feel like part of the team when they might only see that team a handful of times a month?"

The impact of continuous change

Five years of continuous change is taking a toll. For the first time, the Gallagher Employee Communications Report identified change fatigue as one of the top five barriers to success.

"Plenty of businesses are thriving from their tech investments and tightened belts during COVID," Hewitt adds. "You might see CFOs pausing spending due to tariffs or other events. It causes temporary jitters, but things eventually settle down. It's the people risk that's the bigger challenge."

Addressing change fatigue and people-related risks is now central to building resilience. "The best leaders shrink the change," Hewitt explains. "They boost positivity, focus on why wins are happening, build momentum and empower teams by providing the vision and inspiration, along with clear guardrails.

"History shows us that leaders who inspire loyalty and resilience help their teams navigate change more effectively."

Transparent communication has also emerged as a defining trait of resilient cultures. Leaders reframed "change" as "improvement," clarified priorities and closed feedback loops — building trust and alignment across teams.

"Resilient cultures come from trust," says Hewitt. "People want to know why change is happening and how it benefits them."

Building resilience for what comes next

The past five years have shown that resilience isn't just about weathering storms; it's about evolving through them.

"Before COVID, many leaders were comfortable looking in the rearview mirror, managing claims and reacting to events that had already happened. But the pandemic changed that approach," explains Sison. "Resilience has become a core capability — not because we can predict the next crisis, but because we're better prepared to face whatever comes next."

Companies that pivoted during the pandemic, embraced risk, invested in innovation and integrated insurance into executive-level decision-making are now leading the way in shaping a more agile, confident and future-ready business landscape.

"We have seen a significantly higher level of interest from the C-suite in recent years, particularly in practical approaches to enterprise risk management, the development of risk registries, and clear ownership of risks," explains Michael Burg, executive vice president and managing director, Manufacturing, at Gallaher US. "Our advice for clients is to consider an approach that is practical and executable."

Published January 2026