Crisis management of enterprises under war conditions

Abstract

The article examines the specific features of crisis management of enterprises under the conditions of full-scale war in Ukraine. The study aims to analyze the transformations in enterprise management during wartime, identify the risks arising in a crisis environment, and justify effective mechanisms of crisis response and adaptive strategies to ensure the viability and development of businesses under war conditions. It is determined that the full-scale invasion of Ukraine has caused radical transformations in business operations. An analysis of the production volumes of large, medium, and small enterprises during 2021–2023 reveals the impact of war on various economic sectors and the adaptive responses of businesses. The construction, manufacturing, extractive industries, and agriculture have been the most affected. At the same time, the role of small and medium-sized enterprises has significantly increased, particularly in the fields of IT, finance, trade, and services. Certain sectors, such as education, culture, and water supply, continue to stagnate. Small and medium-sized enterprises have proven to be the most flexible and adaptive. The study substantiates the need to rethink managerial functions and implement flexible strategies and comprehensive crisis response mechanisms focused on risk minimization and enterprise resilience. The main risks faced by enterprises during the war: operational, financial, logistical, human resources, reputational, legal, informational, strategic, environmental, and regulatory, have been systematized, along with relevant management tools and responsible functional units for implementing anti-crisis measures. It was found that effective risk management under wartime conditions requires cross-functional interaction, rapid decision-making, the use of digital technologies, and the development of analytical tools to monitor the external environment. The study highlights the critical importance of human resource risks that have become especially acute due to mobilization and labor force exhaustion, necessitating adaptive approaches in HR management, including flexible employment formats, remote work, and psychological support for staff. Overall, the research emphasizes the unquestionable importance of strategic adaptation, digitalization, and social responsibility in ensuring business viability during wartime. Under these conditions, crisis management becomes a key factor in the recovery and development of national business, shaping a new management paradigm focused on rapid response, strategic foresight, and prioritization of human capital.