Leading in Times of Crisis

We are in the midst of a financial and business crisis. It is unclear how deep and long the recession will be. People at all levels of an organization are apprehensive about the future. It is in times of crisis that true leadership surfaces.

There are several things that I think are essential for leaders to do in times of crisis and I want to share them with you. The first things leaders need to do is be visible and engaged during the crisis. The worst thing that a leader can do is hide and withdraw. As General George S. Patton said, “It is almost impossible to remain both aloof and effective”. Often we don’t give people enough credit for being able to handle the truth. If leaders don’t tell people the truth during a crisis, how can they expect people to believe them at other times. Leaders such as Rudolph Guiliani after 9/11, Winston Churchill during World War Two, and Abraham Lincoln during the Civil War, all left the comfort and safety of their offices to visit the scene of the crisis and to lead from the front not the rear. Leaders cannot isolate themselves from the crisis, but rather immerse themselves in the middle of it. People need face-to-face contact more than ever from leaders during these times.

Secondly, while facing the sobering facts of the current situation, leaders need to convey faith and optimism that things will improve and the company can get through the crisis. Throughout the early days of the Battle of Britain, Churchill constantly conveyed a vision of victory. He believed in his heart that Britain would survive and this was constantly communicated to the British population. On June 4, 1940 Churchill delivered a speech to the House of Commons right after the Germans had bombed Paris and the evacuation at Dunkirk. In what seemed to be a hopeless situation, Churchill delivered an optimistic and powerful speech.

“We shall fight to the end, … we shall never surrender, and even if, which I do not for a moment believe, this island or a large part of it were subjugated and starving, then our Empire beyond the sea, armed and guarded by the British fleet, would carry on the struggle, until, in God’s good time, the New World, with all its power and might, steps forth to the rescue and liberation of the old.”

In times of crisis, employees don’t want just to hear how bad things are, but also words and actions that make them believe that leaders of the company have the competence and conviction to overcome the current situation. Vision driven organizations will always have an advantage over visionless organizations when crisis hits.

The third thing that leaders can do in a crisis is not to deal with it alone. Wise leaders seek counsel and advice from others they trust. They involve others as much as possible in helping them deal with the crisis. They find a group with complimentary skills and talents to help minimize “blind spots” in their own thinking.

In his book on leadership, Guiliani makes the point that the events of 9/11 did not make him a leader, but rather the years spent developing his leadership skills prepared him to deal with the crisis. So in today’s environment, effective leaders communicate, give hope, and seek the help of others.