Three Steps for Leaders to Thrive in Turbulent Economic Times
Economic and political uncertainty is shaking up businesses, yet many leaders are choosing to stay silent and hoping everything settles. But ignoring the potential impact on our businesses, customers, and team doesn’t make it go away.
I’ve always lived by the principle of avoiding religion and politics in professional settings. However, today’s shifting climate is making it increasingly difficult to avoid these topics because they can directly impact our business’s bottom line. That doesn’t mean we should engage in political debates or take sides. Instead, we must acknowledge reality—whether it feels like ‘business as usual’ or like the ‘house is on fire’, the truth is that these changes are affecting our customers and team members in various ways. We can’t afford to bury our heads in the sand.
Headlines, decisions, and policy changes are being scrutinized globally, breeding confusion and uncertainty that influence everything from strategic decisions to team morale. If we ignore these shifts, we allow Fear, Ego, Uncertainty, and Doubt (FEUD) to creep in. FEUD becomes a barrier to success, stalling decisions, damaging morale, disrupting productivity, and derailing execution.
Through my research and conversations, I’ve seen the real impact firsthand:
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• International clients are pausing contracts to “wait and see,” disrupting sales pipelines.
• Costs are already escalating, putting pressure on margins and driving layoffs.
• Change breeds opportunity, allowing businesses to pivot to new revenue streams, gain market share, and attract top talent.
• Team members are overwhelmed, struggling to concentrate and complete tasks.
Simply telling others, ‘Don’t worry about it’ only increases the FEUD, frustration, and disengagement. Instead of avoiding tough discussions, we need to take deliberate steps to minimize the uncertainty’s impact. Management is easy when everything goes according to plan; great leadership emerges in times of change.
Here are three simple steps to help you effectively lead during turbulent times:
1. Assess the Current Situation – take the time to consider the potential impacts:
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• Profitability and Costs: Consider the impact of new tariffs or changes on your business’s supply chain, profitability, and expenses.
• Customer Impact: Evaluate how current events are shaping your customer relationships and sales pipeline.
• Operational Effects: Identify potential changes in policy and processes that could help adapt your operations to the current climate.
• Team Engagement: Assess if team members understand their roles and the business changes. More importantly, assess how these changes are impacting their well-being and productivity.
2. Establish Contingency Plans: Change is inevitable, and your resilience and agility in adapting strategies—from go-to-market plans to internal policies—will be crucial. Whether it’s focusing on nurturing existing customers or introducing new communication channels to address employee concerns, staying ahead means being prepared.
3. Empower Your Entire Management Team: From C-suite executives to first-line managers and change agents, ensure all leaders are not just managing but inspiring and guiding their teams through these uncertainties with courage and clarity. Ill-equipped managers can sink your strategy.
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• Clarify strategy and company values, aligning responsibilities with business success. Define expectations and clear success metrics for the organization, individual leaders, and their teams.
• Assess capabilities and equip leaders with the necessary skills, messaging, and space to practice these skills, ensuring they can effectively navigate and lead through these challenging times and deliver results.
We are in a situation reminiscent of the early days of the internet, the 2008 financial crisis, and COVID-19. These were times marked by confusion, FEUD, and chaos, yet they also paved the way for innovation, resilience, and new opportunities. This should remind us that our role as leaders isn’t to engage in political discussions but to focus on the potential business and personal impacts and act accordingly.
Call to Action: Engage and Empower
This is not the time to be passive or hope things will simply resolve themselves. Now is the time to take charge—assess the potential impact, manage the FEUD, embrace courage and curiosity, and empower your leadership team to succeed. Engage deeply with your team, not just in routine check-ins but in real, open conversations about their needs and feelings, both personally and professionally. Create spaces where they can speak freely, feel supported, and analyze the potential impact and changes needed. This approach isn’t just about preventing productivity dips or navigating strategic shifts; it’s fundamentally about caring for the human element of our businesses.
Do not let fear and misinformation destabilize your team. Start conversations, provide reassurance, and listen—truly listen. If you’re unsure how to begin or find the right words, I’m here to help. Reach out to me directly, and let’s address these challenges together. True leadership ensures every team member feels supported and equipped to thrive, no matter the external conditions.