Ask The Expert - July 2009

Leadership Development

How good leaders deliver bad news during tough times

by Jason Lindstrom

    In a time when the business world faces falling profits resulting in budget cuts, layoffs, salary decreases, benefit reductions and never-ending bad news from Wall Street, leaders are faced with the immense challenge of navigating their organization and team through these unchartered waters.

    It is more important now than ever to create a corporate culture that embraces camaraderie, loyalty, organizational unity and a system that celebrates successes both large and small. It is those businesses that have and can maintain, or even build upon, a strong corporate culture that will be able to sustain their businesses and set them up for even greater success when times change.

    Good leaders master the ability to deliver bad news while still motivating their employees to provide exceptional customer service and increase sales.

_{1. Be honest.}

    At our recent all-company meeting, we shared our financial and strategic plans with everyone of our team members, even going as far as opening our books and budgets to them. We coupled this with empowering each of them to identify where they get to make an impact on the profitability and future success of the company.

    Honest communication allows strong leaders to embark on a journey with their team that encompasses a clear direction and vision for the future.

_{2. Be decisive and consistent.}

    Hard decisions are a reality for today’s business leaders. Strong leadership involves focusing on taking the necessary steps to ensure the company’s viability, then making those decisions quickly and delivering the news with the same levels of passion and confidence with which positive news is conveyed in times of prosperity.

    Decisiveness and consistency of message during difficult and uncertain times inspires confidence in your team, who in turn will vest into your vision and perform at higher levels of efficiency.

    We must master our ability to focus and take intentional action. When we do, we achieve our greatest, most fulfilling accomplishments.

_{3. Take feedback and apply it.}

    I have found that top performers have an intentional focus, a purposeful action and they allow themselves to be accountable. This combination drives them toward results that many people only dream of achieving. 

    Inspire others to find their voices. Empower your team to become part of the company’s solution to the challenges the market presents. Ask for feedback…and use it.

    In a changing and challenging environment, the word “collaboration” has taken on new meaning and significance. No longer does it simply mean working together. Instead, it means leveraging the talents, resources, and ideas of many to become and to stay competitive. It means working as a team to execute a vision and competing as a team to win.

_{4. Celebrate successes.}

    Create an environment that overcomes the negativity of today’s headlines. Remember the power of fun.

    Quickly find a success to celebrate after difficult decisions have been made. While goals may not be as lofty as in the past, your company and your team are working hard and even the smallest amount of recognition will create a positive momentum in the office.

    Eventually, all leaders are faced with the challenge of delivering bad news. And, with challenge comes opportunity. Take the opportunities that you are faced with today to strengthen your vision and your company’s culture. Stand strong with, and for, your vision. Your team’s inspiration will be defined by the strength of your vision and how passionately you, as a leader, live it.

Jason Lindstrom
Jason Lindstrom is the President and CEO of Rapport Leadership International.