Crises are inevitable. Whether dealing with an economic downturn, a PR disaster, or internal conflicts, leaders are often put to the test. The key to thriving during these challenges lies in how leaders respond. Embracing calm and collected leadership can significantly improve crisis management and business success.

The Importance of Calm Leadership in Crisis Management

Remaining calm during adversity is a hallmark of great leadership. A composed leader sets a positive tone, reduces panic, and maintains team focus. This stability helps teams stay productive and efficient, even under pressure.

Mastering the Art of Receiving Bad News

A crucial aspect of calm leadership is mastering the art of receiving and processing bad news. Crises will occur, and leaders must be prepared to handle the news effectively. The goal is to separate the valuable information from the emotional turmoil.

Information vs. Emotional Reaction

Every message has two parts: the information and the emotional reaction. The information consists of the facts, while the emotional reaction encompasses the energy or emotion tied to those facts. For example, if an employee reports, "We lost Customer XYZ," the information is the loss of the customer. The emotional reaction might be their frustration or panic.

Maintaining Composure and Projecting Confidence

Avoiding emotional frenzy and mental cloudiness during crises is crucial. While energy is needed to address the issue, it’s essential to stay composed. Leaders must project confidence and concern without causing panic. As the leader, your demeanor sets the tone for the team. Remaining calm and confident increases the likelihood of navigating the crisis successfully.

Letting the News Move Through You

A useful practice is to let the news hit you and then move through you. This concept involves allowing the initial impact to fade before reacting. Let the news hit you, then let the emotional sting dissipate before taking action. This method helps maintain composure and clarity.

Understanding and Analyzing the News

The next step is to understand what the news means. Ask yourself:

  • What do I know?

  • What do I need to find out?

  • When do I need to have all the information?

For example, if an employee says, "Danielle, we lost Superior Cleaning as a client and I don’t know what we’re going to do," your role is to strip that down to the facts:

  • Are they no longer a client, or are they moving at the end of their contract?

  • Where are they going?

  • Why did they leave?

  • What kind of financial hit is this to us?

  • Who on our team will be affected?

  • Is this salvageable?

  • What immediate and short-term impact will this have on staffing, cash flow, bill pay, operations, etc.?

Conclusion: Leading with Calm and Confidence

In moments of crisis, maintaining calm and collected leadership is crucial. By focusing on the facts and stripping away emotional turmoil, leaders can make informed decisions and set a positive tone for their teams. Let the news hit you and then move through you, ensuring your response is measured and effective. By doing so, you'll be better equipped to navigate any crisis and lead your team to success.

Adam Tidrow

Adam Tidrow, MBA is the Founder and Managing Partner at Tidrow Capital Group, a firm that helps small business owners “keep more cash.”

adam@tidrowcapital.com

https://www.tidrowcapital.com
Previous
Previous

Unlocking the Power of Expert Guidance: How Outside Firms Like Tidrow Capital Group Can Identify and Resolve Hidden Business Challenges

Next
Next

Taking Decisive Action in Leadership During Crisis and Change