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Practical wisdom (PW; phronesis), as one of the human virtues, is experiencing a renewal in the contemporary management literature. The aim of this conceptual paper is first, to explore the core practices of managers and leaders in the literature and second, to demonstrate how PW can manifest itself in these practices.

The research follows the interpretivist research philosophy, inductive approach, qualitative method and the theory-building research strategy. The data collection method is a literature review. The practice ecosystem framework is applied to demonstrate the presence of PW in the core practices of managers and leaders.

The paper proposes a practice-based paradigm of management and leadership. From the literature study, envisioning, enabling, energizing, engaging and executing as five fundamental practices are identified.

The most significant literature was selected based on decisions of the author. Therefore, it might be that important sources were overlooked. The paper proposes future research questions, and it calls for an empirical validation of the proposed conceptual model in management and leadership practices context.

The practical implications for managers and leaders are in applying the framework developed in this paper as a tool or guidelines to cultivate PW in their practices. The paper offers implications for management education, traditional educational institutions and educational practitioners because they are the key influencers of wise thinking and actions of future managers and leaders.

The novelty of this paper is in making explicit how the eight features of PW can manifest themselves in the everyday actions of managers and leaders. Applying the practice ecosystem framework for this purpose is an original contribution.

Micro and small enterprises (MSE) play a critical role in the Swiss economy but had no meaningfully adopted working from home (WFH) policy before the COVID-19 crisis. The timing of the study’s data collection allowed a unique assessment of Swiss MSEs’ adoption of WFH enabled by the adoption of digital technologies due to the first government-mandated COVID-19 lockdown. The study also set out to assess the permanence of any changes in the adoption of WFH by MSEs after initial government COVID-19 restrictions ended.

The study uses a threefold theoretical framework combining social, technical and spatial dimensions. Data were collected via telephone interviews. The utilised sampling frame included 153,000 small businesses with 4–49 employees, and the realised sample for the study was 503 interviews with MSE owners and managing directors (MDs).

The Swiss government’s COVID-19 crisis lockdown policies accelerated the digital transformation of work by employees in Swiss MSEs by increasing the number of employees WFH. However, the number of MSEs with WFH employees decreased after the first lockdown ended. Small business leadership is an important influence on the persistence of any increases in WFH.

The data collection uniquely captures the effects of externally driven digital transformation of work in small businesses by the adoption of WFH. The findings show that small businesses can rapidly learn new ways of working and support the claim that Swiss MSE MDs play a critical role in the adoption of WFH. They also confirm the importance of digital leadership and culture for realising the potential of WFH in small businesses.