How a leader responds to adversity reveals how effective that leader truly is. Reactions to setbacks or crises not only test leadership character but define it.
Some difficulties are devastating, and unfortunately, they’re often compounded by poor leadership responses. There’s no real training for adversity on the leadership ladder—only experience. A leader who fails to deal with challenges effectively will likely succumb to them, and the rest of the organization won’t be far behind.
Leaders can prevent this by using specific methods to defuse setbacks. These approaches make subsequent crises more manageable and make leaders stronger. Using simple, logical steps, leaders can conquer setbacks and even find new advantages that wouldn’t have been possible otherwise. Leaders with these skills will weather any storm, regardless of its cause.
From Setback to Success
Ryan Holiday, in The Obstacle Is the Way: The Timeless Art of Turning Trials into Triumph (Portfolio/Penguin, 2014), claims that leaders can turn roadblocks into paths to success. Ironically, obstacles are often gifts.
When a leader encounters a crisis, fear and anger may be triggered. Staying in this state, however, results in paralysis and derailment. Instead, leaders can view obstacles as self-motivating challenges and an opportunity to strengthen their resolve. Challenges become a test to thrive, despite the crisis.
The Three-Part Weapon for Overcoming Obstacles
According to Holiday, leaders can tackle obstacles with a three-part strategy:
- Mindset: Developing the right perspective on the situation.
- Motivated Action Plan: Crafting and implementing a focused action plan.
- Inner Drive: Cultivating a sustained willpower to keep going.
The Right Mindset
When leaders develop a rational perception of a situation, they place it in the right context. Instead of dwelling on negative emotions, effective leaders view a setback with logic and discernment, focusing on facts rather than fears.
The first step in dealing with a crisis is to stay calm. Composure promotes clarity and positively impacts others. Anxiety only worsens the situation, so wise leaders redirect distracting thoughts to build mental strength.
The second step is to frame the problem accurately. Clear decisions come from an accurate understanding. This clarity often requires data, multiple perspectives, and understanding the root causes of the issue.
The third step is to break the crisis into manageable chunks. By handling simpler aspects one at a time, leaders create small successes that help build momentum. A day-by-day approach keeps emotions and strategies in check, focusing on the present rather than future worries.
With a positive outlook, leaders view each challenge as a chance to learn, adapt, and improve. Failure becomes a stepping stone to future success, allowing leaders to develop resilience in the face of adversity.
A Solid Foundation
Effective leaders create a stable foundation before taking action. Immediate reactions can be hasty, so wise leaders focus on building steadiness within the organizational culture. As the leader strengthens their mindset, they inspire staff to commit to the same level of perseverance.
The Best Action Plan
With the team aligned on mental and emotional approaches, leaders can take deliberate, impactful actions. Avoiding rushed solutions, they focus on manageable steps, tackling each aspect one at a time. A disciplined approach builds resilience, as evidenced by the failures of companies like Kodak and HP, which suffered due to a lack of adaptability and foresight.
Leaders ensure their teams stay focused, guiding them patiently through the ups and downs of a crisis. Non-traditional approaches, such as tackling a problem from an unexpected angle, often lead to breakthrough solutions.
The Will to Win
As solutions are implemented, setbacks are inevitable. Leaders must display humility, resilience, and flexibility, motivating their teams to persevere. Demonstrating a strong will to succeed, they encourage everyone to stay determined and engaged until challenges are overcome.
True leadership is about guiding others through trials with courage and insight, learning from each experience, and emerging stronger than before.
