Leading Through Crisis: Showing Up When It Counts!

By Dr. Larrisa Palmer, Organizational Psychologist & Licensed Therapist

I’ve spent over a decade working in highly mission-driven organizations that often operated under constant crises and stress. In my work as an organizational psychologist and licensed therapist, I help leaders understand, prepare for, and skillfully navigate organizational crises with compassion, clarity, and courage.

First and foremost, no organization is immune to crisis or stress. Even organizations with stable resources and high psychological safety can experience unexpected disruptions. A crisis is an acute, unforeseen event that can negatively impact the organization or stakeholders if handled improperly (Coombs, 2006). While crises are typically sudden, it’s also important to recognize that prolonged, unresolved organizational stress can eventually evolve into organizational trauma if it overwhelms the system’s capacity to cope (de Klerk, 2007; Kahn, 2003; Vivian & Hormann, 2015). This highlights the importance of addressing and reducing organizational stress before it escalates into deeper, more systemic harm. It also underscores why having a proactive, thoughtful crisis management plan in place is essential to protect both people and mission, and to ensure organizations are ready to act quickly and effectively when the unexpected happens.

When a crisis happens, some leaders shift into crisis management mode to reduce the impact and help the organization remain resilient (Boin et al., 2013). But while crises may be unpredictable, leaders cannot wait until one strikes to figure out what to do. Preparation is essential. Many leaders find themselves unprepared to coordinate a response or mobilize resources effectively when it matters most. As Tafoya (2018) reminds us, a crisis is not the time to start building the plan; it’s the time to activate it.

During crisis situations, some leaders themselves may feel overwhelmed, question their competence, and lose confidence. Some leaders may switch to a rigid command-and-control mode, while others disappear altogether, leaving a vacuum that fuels anxiety among employees. Without clear communication, employees often create their own narratives to fill the gaps, leading to confusion, distrust, and fear (Goulston & Hendel, 2021). Inadequate leadership during a crisis can make things worse; these may include ignoring early warning signs, making poor decisions, or behaving in ways that suggest a lack of care (Boin et al., 2013). Leading through crisis requires a different skill set than leading in stable times. It demands a calm presence, emotional intelligence, decisive action, and the ability to keep people connected to the mission (Amooee et al., 2022).

How to Get Started on a Crisis Management Plan

Use these points as a guide to assess and strengthen your organization's readiness before a crisis hits. In addition to embodying strong leadership behaviors, having a clear, actionable plan helps ensure you are truly prepared.

• Identify potential crises: What types of crises might affect your organization? Examples include data breaches, natural disasters, leadership transitions, reputational scandals, financial fraud, workplace violence, supply chain disruptions, or sudden regulatory changes.

• Understand impact: Who will be impacted and how? Consider staff, clients, partners, and the broader community.

• Plan mitigation strategies: How will you reduce or contain the impact? For instance, creating contingency plans or establishing backup systems.

• Prepare resources: What resources will you need? Think about staffing, technology, mental health support, and communication tools.

• Define key roles: Who are the critical people to involve? Identify decision-makers, spokespersons, and operational leads.

• Develop a clear communication strategy: How will you communicate essential information? Use multiple channels (emails, team meetings, internal platforms) to ensure everyone stays informed.

• Train and practice: How will you make sure people understand and can execute the plan? Run regular simulations and scenario-based drills to build confidence and clarity.

These steps are well-supported by crisis management and organizational preparedness literature (Boin et al., 2013; Coombs, 2006; Tafoya, 2018).

What can leaders do during a crisis?

Here’s what I often share with leaders who want to show up when it counts and keep their people and mission at the center.

1.     Adopt a transformational leadership mindset

Transformational leadership is particularly well-suited for navigating challenges (Desyatnikov, 2020). These leaders focus on inspiring and engaging people, encouraging shared ownership of solutions, and adapting creatively to change. They step back to understand the bigger picture before reacting, remaining agile, logical, and collaborative. Example: Instead of immediately imposing a one-size-fits-all solution during an unexpected disruption, a transformational leader pauses to hear from different teams, gathers input, and co-creates a way forward.

2.      Act decisively and be visible

During a crisis, people need to see their leaders. Leaders become emotional containers for the team, meaning they help hold and process the team’s fears and anxieties, creating a sense of stability and hope. Presence is not just physical; it’s about being available and engaged.  Example: The leader shows up at key meetings and in day-to-day spaces, offers real-time updates, and is present to listen and support staff.

3.      Communicate clearly and through multiple modes

Important information should be shared consistently and across various channels to ensure people get what they need to know, when they need it. This reduces confusion, anxiety, and builds trust. Example: The leader provides updates through emails, team meetings, internal platforms, and one-on-one conversations to ensure everyone feels informed and included.

4.     Show emotional intelligence and vulnerability

Leaders are also experiencing the crisis and similar emotions. It’s okay and often powerful to share that openly. Expressing empathy and your own feelings helps normalize the emotional experience for others. Example: A leader might say, “I know many of us are feeling anxious and uncertain, I am feeling that too. We’ll navigate this together, and I’m here to support you.”

5.      Prepare and train in advance

Effective leaders don’t wait for a crisis to figure things out. Proactive planning and practice make crisis responses more effective and less chaotic. Example: The organization runs regular scenario-based exercises (such as system failures or sudden leadership transitions) so teams understand their roles and know how to act confidently.

6.      Empower others and encourage collective problem-solving

No single leader can solve everything alone. Bringing people together to share ideas and solve problems builds stronger, more sustainable responses. Example: Cross-functional groups are formed to quickly identify solutions, gather feedback, and implement new approaches collaboratively.

7.     Stay anchored to core values and mission

In the middle of chaos, leaders must keep decisions rooted in the organization's core values.  Example: When responding to external criticism, the leader reiterates the organization's commitment to integrity, fairness, or community, guiding actions and communication in line with its true mission.

The bottom line

Effective crisis leadership is critical for an organization’s survival and long-term health. It means directing response efforts, coordinating across teams, ensuring transparent communication, and mobilizing resources, all while staying grounded in humanity and mission. It’s about showing up, even when it’s hard, and leading in a way that builds trust rather than breaks it.

References

• Amooee, Z., Movaghar, M., & Abedin, B. (2022). Investigating effective organizational leadership indicators in COVID-19 crisis management. International Journal of Management, Accounting and Economics, 9(5), 300–321. https://doi.org/10.5281/zenodo.6774400

• Boin, A., Kuipers, S., & Overdijk, W. (2013). Leadership in times of crisis: A framework for assessment. International Review of Public Administration, 18(1), 79–91. https://doi.org/10.1080/12294659.2013.10805241

• Coombs, W. T. (2006). Ongoing crisis communication: Planning, managing, and responding (3rd ed.). SAGE Publications.

• de Klerk, J. J. (2007). Healing emotional trauma in organizations: An O.D. framework for psychosocial intervention. Journal of Organizational Change Management, 20(5), 721–739.

• Desyatnikov, R. (2020, July 17). Management in crisis: The best leadership style to adopt in times of crisis. Forbes. https://www.forbes.com/sites/forbestechcouncil/2020/07/17/management-in-crisis-the-best-leadership-style-to-adopt-in-times-of-crisis/?sh=27f8010f7cb4

• Goulston, M., & Hendel, M. (2021). Why coworkers and leaders avoid difficult conversations and what to do about it. Harvard Business Review. https://hbr.org/2021/10/why-coworkers-and-leaders-avoid-difficult-conversations-and-what-to-do-about-it

• Kahn, W. A. (2003). The revelation of organizational trauma. The Journal of Applied Behavioral Science, 39(4), 364–380.

• Tafoya, M. A. (2018). Recognizing and healing organizational trauma. OD Practitioner, 50(2), 19–25.

• Vivian, J., & Hormann, S. (2015). Organizational trauma and healing. CreateSpace Independent Publishing Platform.