Leading in Times of Economic Uncertainty

Are you the type of leader who’s dealing well in these trying economic times?

Who confronts reality? Who figures out what needs to be done? Who communicates with confidence? Who finds opportunities in chaos, despite uncertainty, inevitable change, and unpredictable sales?

If you’re like most, you’ve never before experienced such tumultuous time . Reports about the end of the recession in 2021 – 2022 mean little if your company continues to fight cash-flow problems.

You cannot allow yourself to be afraid . Others look to you for strength and guidance . You must give the best you have and move quickly, even when faced with incomplete information .

Leading in uncertain times is not for the faint of heart . Some management teams navigate these challenging times well, while others fail miserably. Indeed, those who lead well during the difficult times will emerge as shining stars for tomorrow’s top businesses in your community .

In the book, Leadership in the Era of Uncertainty, by Ram Charan, he states there are fundamental rules to follow if you want to get the right things done in difficult times.

• Pay attention to salespeople’s contributions . • Accept guidance from your mentors/mastermind groups and other business leaders . • Understand how various business functions must be aligned and coordinated . • Communicate candidly and frequently . • Respond to external pressures in realistic, yet positive ways .

I believe the ability of a business owner to stare into the face of uncertainty, accept change, and the ability to make decisions with incomplete information is crucial . As bitter and painful as it may be, survival depends on cutting costs and raising cash . Now is the time to target your focus and concentrate on your business core: the invaluable assets you cannot afford to lose . Choose the market segments and customers you will continue to serve, the products you will continue or begin to make, and the suppliers from whom you will continue to buy . Most importantly, choose the people in your organization who can help you get there . Eliminate the rest .

6 Key Leadership Traits for Hard Times

The following behaviors characterize a good leader in these trying times:

1 . Honesty and credibility . Nobody can be certain about the business environment and its direction . The only viable options are intellectual honesty and humility . Your authority depends on your ability to facilitate understanding and solutions – not just from omniscience .

2 . Your ability to inspire . Many people are incredibly anxious . Work with your team and your customers to toughen their resolve . People need a vision that sparks the creativity required to develop needed ideas and solutions .

3 . Real time connection to reality . Reality is a moving target . Update your picture of it, continuously monitoring change with ground level intelligence . Do not get locked into one point of view – gather info from unconventional sources . Allow the picture to change as you gather new intel .

4 . Realism tempered with optimism . The first order of realism is to understand and accept the problem’s magnitude. Then, with your people, focus on what is possible . Energize others to search for actions that will help produce positive results .

5 . Manage with intensity . Dig into the right details . Get hands on . This is how you gather ground level intelligence to pivot when and where it is necessary .

6 . Boldness for building for the future . The need to conserve cash and survive may pressure you to think in a short sided way . You must resist . It is critical to place strategic bets with unknown payoffs, where there is little money and uncertainty . That is what running a business has always been about- we forget when times are good .

The most successful business owners are leaders who are finding realistic solutions, communicating, and doing diligent, frequent follow- through. If you’re a capable leader, you will have a more robust business after the downturn than you did before .

TAKE ACTION: What are three things you can do right away to create the most favorable environment for innovation and forward-thinking to dim the effects of this current business environment?

To your best future, Coach Nancy

Want to learn more? Feel free to reach out to me at any time for follow-up or just a chat. Plus, get your complimentary PRINTED copy of my book, Focused Leadership: Powerful Guide to Leadership Excellence for more information on how to to help you enhance your skills as a business owner ://proffit