The psychological role of the leader in turbulent times

Date17 April 2009
Pages30-35
DOIhttps://doi.org/10.1108/14754390910946558
Published date17 April 2009
AuthorCatherine Sandler
Subject MatterHR & organizational behaviour
The psychological role of the leader in
turbulent times
Catherine Sandler
Abstract
Purpose – This paper aims to deliver a psychological perspective on the theme of leading in turbulent
times.
Design/methodology/approach – Drawing on 20 years’ experience of consulting, coaching and
teaching in the field of leadership development, the author outlines the dynamics that businesses face
during an economic crisis. Based on her extensive observation of workplace behavior, the author
describes the psychological and emotional role that leaders need to play if they are to optimize morale
and productivity during turbulent times. The author’sideas have been developed as a result of coaching
numerous leaders and top teams at board and director level in FTSE 100 and 250 companies and top
professional services firms, as well as SMEs and not-for-profit organizations. Her private sectorclients
come from every area, including investment banking, oil and gas, IT, property,retail, law, accountancy
and venture capital. Many of these organizations operate in highly competitivemarkets where managing
uncertainty and change is the norm. However, the economic downturn has presented additional
challenges, especially to those at the sharp end of the credit crunch and the collapse in consumer
confidence.
Findings – It is concluded that four leadership behaviors are critical in times of crisis. Taken together,
they enable leaders to support their workforce effectively during turbulent times, so maximizing morale
and performance. The paper also highlights the role of HR and specific ways in which seasoned HR
professionals can help leaders manage their own emotions and demonstrate these four behaviors.
Originality/value – This article reflects the author’s original, practice-based observations about
organizational dynamics and leadership behavior during challenging times.
Keywords Leadership, Economic depression, Leadership development
Paper type Research paper
Business leaders face huge challenges during economic recession. Qualities such as
courage, self-confidence and the ability to make tough commercial decisions under
pressure all come to the fore. Less widely appreciated and understood is the crucial
psychological and emotional role that leaders must play during periods of acute uncertainty
if they are to optimize the long-term performance of their business.
Leaders must understand the dynamics that lie ‘‘below the surface’’ of their organizations
and skillfully address the unspoken needs of their staff. This takes maturity and skill but will
maximize the chances of weathering the economic storm and emerging strengthened when
times improve. Those businesses that do not achieve this will find their commercial problems
compounded by destructive internal dynamics and underperformance.
While leaders may have had setbacks during their career, mostwill not have experienced a
global downturn. They face a steep learning curve if they are to succeed in the new business
environment. The support and guidance of HR professionals can be a critical success factor.
PAGE 30
j
STRATEGIC HR REVIEW
j
VOL. 8 NO. 3 2009, pp. 30-35, QEmerald Group Publishing Limited, ISSN 1475-4398 DOI 10.1108/14754390910946558
Catherine Sandler is
managing director of the
Sandler Lanz Ltd, London,
UK executive coaching
practice.

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