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mdc-c-button--ghost mdc-c-button--size-medium FullHero_mck-c-full-hero__arrow__jtXdj" data-click-track="true" data-layer-event-prefix="UI Item" data-layer-action="click" data-layer-category="article" data-layer-text="skip article header section" data-layer-region="full hero"><span data-component="mdc-c-icon" class="mdc-c-icon___oi7ef_2734c4f mdc-c-icon--size-xl___3BEee_2734c4f mck-arrow-down-icon"></span></button></div></div></div></div></div></div></div><div data-component="mdc-c-module-wrapper" data-module-theme="dark" data-module-background="deep-gradient" data-module-category="AnchoredHero" data-module-gradient-position="bottom-right" class=""><div class="FullHero_mck-c-full-hero__second-fold__gUeV7" tabindex="-1"><div class="mck-c-full-hero__second-fold-content"><div class="mck-o-container"><div class="mck-o-container--wrapped mck-o-container--mobile-spacing mdc-u-grid mdc-u-grid-gutter-xxl"><div class="mdc-u-grid mdc-u-grid-col-md-12"><div class="mdc-u-grid-col-md-start-2 mdc-u-grid-col-md-end-12 mdc-u-grid-col-lg-start-3 mdc-u-grid-col-lg-end-11"><div data-component="mdc-c-description" class="mdc-c-description___SrnQP_2734c4f mdc-u-ts-8 FullHero_mck-c-full-hero__description__WOtti"><span>For many executives, the coronavirus pandemic is a crisis unlike any other in recent times. Five leadership practices can help you respond effectively.</span></div></div></div></div></div></div></div><div class="FullHero_mck-c-full-hero__background__tdkXY"></div></div></div><div class="mck-o-container"><div class="mck-o-container--wrapped mck-o-container--mobile-spacing mdc-u-grid mdc-u-grid-gutter-xxl"><section data-layer-region="article-body-header" class="mdc-u-grid mdc-u-grid-col-md-12 mck-u-animation-blur-in-400 byline-share-container"><div class="mdc-u-grid-col-md-start-2 mdc-u-grid-col-md-end-8 mdc-u-grid-col-lg-start-3 mdc-u-grid-col-lg-end-8 mdc-u-ts-9"><span> </span><span class="AuthorsByLine_mck-c-authors-byline__author__XdrlD"><span class="AuthorsByLine_mck-c-authors-byline__no-wrap__Ced0j"><a data-component="mdc-c-link" href="/our-people/gemma-d-auria" class="mdc-c-link-inline___7DRrt_2734c4f mdc-c-link-inline--secondary___YKoOK_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Gemma D’Auria</span></a><span> </span></span></span><span class="AuthorsByLine_mck-c-authors-byline__author__XdrlD"><span class="AuthorsByLine_mck-c-authors-byline__no-wrap__Ced0j"><a data-component="mdc-c-link" href="/our-people/aaron-de-smet" class="mdc-c-link-inline___7DRrt_2734c4f mdc-c-link-inline--secondary___YKoOK_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Aaron De Smet</span></a></span></span></div><div class="mdc-u-grid-col-md-start-8 mdc-u-grid-col-md-end-12 mdc-u-grid-col-lg-start-8 mdc-u-grid-col-lg-end-11 ArticleContent_mck-c-article-content__share-tools__kWRRw"></div></section><main data-layer-region="article-body" class="mdc-u-grid mdc-u-grid-gutter-xxl"><div class="mdc-u-grid mdc-u-grid-col-1 mdc-u-grid-col-md-12"><div class="mdc-u-grid-col-md-start-2 mdc-u-grid-col-md-end-12 mdc-u-grid-col-lg-start-3 mdc-u-grid-col-lg-end-11"><div class="mdc-o-content-body mck-u-dropcap"><div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="DownloadsSidebar_mck-c-downloads-sidebar__iFmyt mck-o-xs-right-span"><div data-layer-region="downloads-right-rail"><h3 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f mdc-c-heading--title___5qyOB_2734c4f mdc-c-heading--border___K8dj3_2734c4f"></h3><div><div data-component="mdc-c-link-container" class="mdc-c-link-container___xefGu_2734c4f"><a data-component="mdc-c-link" href="#/download/%2F~%2Fmedia%2Fmckinsey%2Fbusiness%20functions%2Fpeople%20and%20organizational%20performance%2Four%20insights%2Fleadership%20in%20a%20crisis%20responding%20to%20the%20coronavirus%20outbreak%20and%20future%20challenges%2Fleadership-in-a-crisis-responding-to-the-coronavirus-outbreak-and-future-challenges-v3.pdf%3FshouldIndex%3Dfalse" class="DownloadsSidebar_mck-c-downloads-sidebar__download-link__fPqFQ mdc-c-link___lBbY1_2734c4f" target="_self" data-layer-event-prefix="Download Link" data-layer-action="click" data-layer-report-type="" data-layer-file-name="leadership-in-a-crisis-responding-to-the-coronavirus-outbreak-and-future-challenges-v3" data-layer-report-name="leadership-in-a-crisis-responding-to-the-coronavirus-outbreak-and-future-challenges-v3>"><span data-component="mdc-c-icon" class="mdc-c-icon___oi7ef_2734c4f mdc-c-icon--size-md___yi5fA_2734c4f mck-download-icon"></span><span class="mdc-c-link__label___Pfqtd_2734c4f"> (PDF-1 MB)</span></a></div></div></div></div> <p><span style="font-size:1.1em"><em>This article is the first in a series drawing together McKinsey’s collective thinking and expertise on five behaviors to help leaders navigate the pandemic and recovery. Separate articles describe <a href="/capabilities/people-and-organizational-performance/our-insights/to-weather-a-crisis-build-a-network-of-teams">organizing via a network of teams</a>; <a href="/capabilities/people-and-organizational-performance/our-insights/how-to-demonstrate-calm-and-optimism-in-a-crisis">displaying deliberate calm and bounded optimism</a>; <a href="/capabilities/people-and-organizational-performance/our-insights/decision-making-in-uncertain-times">making decisions amid uncertainty</a>; <a href="/capabilities/people-and-organizational-performance/our-insights/tuning-in-turning-outward-cultivating-compassionate-leadership-in-a-crisis">demonstrating empathy</a>; and <a href="/capabilities/people-and-organizational-performance/our-insights/a-leaders-guide-communicating-with-teams-stakeholders-and-communities-during-covid-19">communicating effectively</a>.</em></span></p> <br/> <p><strong>The coronavirus pandemic</strong> has placed extraordinary demands on leaders in business and beyond. The humanitarian toll taken by COVID-19 creates fear among employees and other stakeholders. The massive scale of the outbreak and its sheer unpredictability make it challenging for executives to respond. Indeed, the outbreak has the hallmarks of a “landscape scale” crisis: an unexpected event or sequence of events of enormous scale and overwhelming speed, resulting in a high degree of uncertainty that gives rise to disorientation, a feeling of lost control, and strong emotional disturbance.<span class="FootNote_footnote-holder__tjRqy"><a aria-label="footnote" href="javascript:void(0);" class="FootNote_footnote-wrapper__AIRwL undefined FootNote_inactive__VZfCp" aria-describedby="80e700e5-542c-4e99-a13c-b03634281afc"><sup class="FootNote_footnotesup__e73z_">1</sup><span class="FootNote_notch-wrapper__b_5NS"><span class="FootNote_notch__omKtY"></span></span><span class="FootNote_tooltip__QtrbA mdc-u-mt-2"><span class="FootNote_footnote-content__r2OVl"><span id="80e700e5-542c-4e99-a13c-b03634281afc" aria-hidden="true" data-module-theme="light" class="FootNote_footnote-text__VjKgO mck-u-links-inline">Arnold M. Howitt and Herman B. Leonard, “Against desperate peril: High performance in emergency preparation and response,” in Deborah E. Gibbons, ed, <em>Communicable Crises: Prevention, Response, and Recovery in the Global Arena</em>, first edition, Charlotte, NC: Information Age Publishing, 2007.</span></span></span></a></span></p>  <p>Recognizing that a company faces a crisis is the first thing leaders must do. It is a difficult step, especially during the onset of crises that do not arrive suddenly but grow out of familiar circumstances that mask their nature.<span class="FootNote_footnote-holder__tjRqy"><a aria-label="footnote" href="javascript:void(0);" class="FootNote_footnote-wrapper__AIRwL undefined FootNote_inactive__VZfCp" aria-describedby="ed846fae-ddf0-4e4d-9b30-3c630344a37c"><sup class="FootNote_footnotesup__e73z_">2</sup><span class="FootNote_notch-wrapper__b_5NS"><span class="FootNote_notch__omKtY"></span></span><span class="FootNote_tooltip__QtrbA mdc-u-mt-2"><span class="FootNote_footnote-content__r2OVl"><span id="ed846fae-ddf0-4e4d-9b30-3c630344a37c" aria-hidden="true" data-module-theme="light" class="FootNote_footnote-text__VjKgO mck-u-links-inline">Arnold Howitt and Herman B. Leonard, eds, <em>Managing Crises: Responses to Large-Scale Emergencies</em>, first edition, Washington, DC: CQ Press, 2009.</span></span></span></a></span> Examples of such crises include the SARS outbreak of 2002–03 and now the coronavirus pandemic. Seeing a slow-developing crisis for what it might become requires leaders to overcome the normalcy bias, which can cause them to underestimate both the possibility of a crisis and the impact that it could have.<span class="FootNote_footnote-holder__tjRqy"><a aria-label="footnote" href="javascript:void(0);" class="FootNote_footnote-wrapper__AIRwL undefined FootNote_inactive__VZfCp" aria-describedby="6f3dc5ba-bda4-41cb-9401-a36adc8c1782"><sup class="FootNote_footnotesup__e73z_">3</sup><span class="FootNote_notch-wrapper__b_5NS"><span class="FootNote_notch__omKtY"></span></span><span class="FootNote_tooltip__QtrbA mdc-u-mt-2"><span class="FootNote_footnote-content__r2OVl"><span id="6f3dc5ba-bda4-41cb-9401-a36adc8c1782" aria-hidden="true" data-module-theme="light" class="FootNote_footnote-text__VjKgO mck-u-links-inline">Nahman Alon and Haim Omer, “The continuity principle: A unified approach to disaster and trauma,” <em>American Journal of Community Psychology</em>, 1994, Volume 22, Number 2, pp. 273–87.</span></span></span></a></span></p> <p><a href="/industries/public-sector/our-insights/lessons-in-leadership-leaning-into-ambiguity">Once leaders recognize a crisis</a> as such, they can begin to mount a response. But they cannot respond as they would in a routine emergency, by following plans that had been drawn up in advance. During a crisis, which is ruled by unfamiliarity and uncertainty, effective responses are largely improvised.<span class="FootNote_footnote-holder__tjRqy"><a aria-label="footnote" href="javascript:void(0);" class="FootNote_footnote-wrapper__AIRwL undefined FootNote_inactive__VZfCp" aria-describedby="ba3c2061-3553-4aee-b299-3fb15440e85c"><sup class="FootNote_footnotesup__e73z_">4</sup><span class="FootNote_notch-wrapper__b_5NS"><span class="FootNote_notch__omKtY"></span></span><span class="FootNote_tooltip__QtrbA mdc-u-mt-2"><span class="FootNote_footnote-content__r2OVl"><span id="ba3c2061-3553-4aee-b299-3fb15440e85c" aria-hidden="true" data-module-theme="light" class="FootNote_footnote-text__VjKgO mck-u-links-inline">Arnold Howitt and Herman B. Leonard, eds, <em>Managing Crises: Responses to Large-Scale Emergencies</em>, first edition, Washington, DC: CQ Press, 2009.</span></span></span></a></span> They might span a wide range of actions: not just temporary moves (for example, instituting work-from-home policies) but also adjustments to ongoing business practices (such as the adoption of new tools to aid collaboration), which can be beneficial to maintain even after the crisis has passed.</p> <p>What leaders need during a crisis is not a predefined response plan but behaviors and mindsets that will prevent them from overreacting to yesterday’s developments and help them look ahead. In this article, we explore five such behaviors and accompanying mindsets that can help leaders navigate the coronavirus pandemic and future crises.</p> <div data-component="mdc-c-module-wrapper" data-module-theme="dark" data-module-background="deep-blue" data-module-category="" data-module-gradient-position="bottom-right" class="StatementDisruptor_mck-c-statement-disruptor__iOBdi mck-o-edge-to-edge" data-module-name="statement-disruptor"><div><div class="StatementDisruptor_mck-c-statement-disruptor__background-container__p_cFW"><div class="StatementDisruptor_mck-c-statement-disruptor__background-image-container__es__n"><style></style><div data-component="mdc-c-background-image" class="mdc-c-bg-image___GJdv1_2734c4f background-image-statement-disruptor-8C638D285BED481E8CA27E518ED971B5" role="img" aria-label="Leadership in a crisis: Responding to the coronavirus outbreak and future challenges"></div><div class="mdc-c-bg-image___GJdv1_2734c4f mdc-c-bg-image--opaque-bg___CauU1_2734c4f" style="opacity:0.4"></div></div></div><div class="StatementDisruptor_mck-c-statement-disruptor__content-container__2bGvV"><div class="StatementDisruptor_mck-c-statement-disruptor__content__KNhFy"><div class="mck-o-container"><div class="mck-o-container--wrapped mck-o-container--mobile-spacing"><div class="mdc-u-grid mdc-u-grid-col-md-12"><div class="mdc-u-grid-col-md-start-1 mdc-u-grid-col-md-end-13 mdc-u-grid-col-lg-start-2 mdc-u-grid-col-lg-end-12"><div class="mck-c-statement-disruptor__title-container"><p class="StatementDisruptor_mck-c-statement-disruptor__text-content__7xNDN">What leaders need during a crisis is not a predefined response plan but behaviors and mindsets that will prevent them from overreacting to yesterday’s developments and help them to look ahead.</p></div></div></div></div></div></div></div></div></div> <h2>Organizing to respond to crises: The network of teams</h2> <p>During a crisis, leaders must relinquish the belief that a top-down response will engender stability. In routine emergencies, the typical company can rely on its command-and-control structure to manage operations well by carrying out a scripted response. But in crises characterized by uncertainty, leaders face problems that are unfamiliar and poorly understood. A small group of executives at an organization’s highest level cannot collect information or make decisions quickly enough to respond effectively. Leaders can better mobilize their organizations by setting clear priorities for the response and empowering others to discover and implement solutions that serve those priorities.</p> <p>To promote rapid problem solving and execution under high-stress, chaotic conditions, leaders can organize a network of teams. Although the network of teams is a widely known construct, it is worth highlighting because relatively few companies have experience in implementing one. A network of teams consists of a highly adaptable assembly of groups, which are united by a common purpose and work together in much the same way that the individuals on a single team collaborate (exhibit).<span class="FootNote_footnote-holder__tjRqy"><a aria-label="footnote" href="javascript:void(0);" class="FootNote_footnote-wrapper__AIRwL undefined FootNote_inactive__VZfCp" aria-describedby="c2e347d2-a120-40a2-aaad-8304055914ff"><sup class="FootNote_footnotesup__e73z_">5</sup><span class="FootNote_notch-wrapper__b_5NS"><span class="FootNote_notch__omKtY"></span></span><span class="FootNote_tooltip__QtrbA mdc-u-mt-2"><span class="FootNote_footnote-content__r2OVl"><span id="c2e347d2-a120-40a2-aaad-8304055914ff" aria-hidden="true" data-module-theme="light" class="FootNote_footnote-text__VjKgO mck-u-links-inline">Tantum Collins, Chris Fussell, Gen. Stanley McChrystal, and David Silverman, <em>Team of Teams: New Rules of Engagement for a Complex World</em>, first edition, New York, NY: Portfolio/Penguin, 2015.</span></span></span></a></span></p> <div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="mck-c-inline-module-container mck-o-md-center"><div class="mdc-u-grid mdc-u-grid-gutter-lg mdc-u-grid-col-sm-1 mdc-u-grid--align-start mdc-u-mb-3 GenericItem_mck-c-generic-item__sGwKL"><div data-component="mdc-c-content-block" class="mdc-c-content-block___7p6Lu_2734c4f mdc-u-grid-gutter-xs GenericItem_mck-c-generic-item__content__gq1m0"><div class="mck-c-eyebrow mdc-u-ts-10"><span> </span></div></div></div><div class="mck-u-inline-module-border-top mck-u-inline-module-border-bottom"><picture data-component="mdc-c-picture" class="Exhibit_mck-c-exhibit__image__pyIDm"><source media="(min-width: 768px)" srcSet="/~/media/mckinsey/business%20functions/people%20and%20organizational%20performance/our%20insights/leadership%20in%20a%20crisis%20responding%20to%20the%20coronavirus%20outbreak%20and%20future%20challenges/svgz-leadership-crisis-ex1-revised.svgz?cq=50&cpy=Center"/><img alt="During a crisis, a network of teams carries out responses outside of normal operations, as well as adjustments to routine business activities." src="/~/media/mckinsey/business%20functions/people%20and%20organizational%20performance/our%20insights/leadership%20in%20a%20crisis%20responding%20to%20the%20coronavirus%20outbreak%20and%20future%20challenges/svgz-leadership-crisis-ex1-revised.svgz?cq=50&cpy=Center" loading="lazy"/></picture></div><div class="mck-u-sr-only"></div></div> <p>Some parts of the network pursue actions that take place outside regular business operations. Other parts identify the crisis’s implications for routine business activities and make adjustments, such as helping employees adapt to new working norms. In many cases, the network of teams will include an integrated nerve center covering four domains: workforce protection, supply-chain stabilization, customer engagement, and financial stress testing (for more, see “<a href="/capabilities/risk-and-resilience/our-insights/responding-to-coronavirus-the-minimum-viable-nerve-center">Responding to coronavirus: The minimum viable nerve center</a>”).</p> <div data-module-category="" class="PullQuote_mck-c-pullquote__DbaQ5 mck-o-sm-right-span"><blockquote data-component="mdc-c-blockquote" class="PullQuote_mck-c-blockquote__6n21p PullQuote_mck-c-blockquote--hide-quotes__CpGpg mdc-c-blockquote mdc-c-blockquote--is-quotes___TozKo_2734c4f"><p>In many cases, the network of teams will include an integrated nerve center covering four domains: workforce protection, supply-chain stabilization, customer engagement, and financial stress testing.</p></blockquote></div> <p>Regardless of their functional scope, effective networks of teams display several qualities. They are multidisciplinary: experience shows that crises present a degree of complexity that makes it necessary to engage experts from different fields. They are designed to act. Merely soliciting experts’ ideas is not enough; experts must gather information, devise solutions, put them into practice, and refine them as they go. And they are adaptable, reorganizing, expanding, or contracting as teams learn more about the crisis and as conditions change.</p> <p>Leaders should foster collaboration and transparency across the network of teams. One way they do this is by distributing authority and sharing information: in other words, demonstrating how the teams themselves should operate. In crisis situations, a leader’s instinct might be to consolidate decision-making authority and control information, providing it on a strictly need-to-know basis. Doing the opposite will encourage teams to follow suit.</p> <p>Another crucial part of the leader’s role, especially in the emotional, tense environment that characterizes a crisis, is promoting psychological safety so people can openly discuss ideas, questions, and concerns without fear of repercussions. This allows the network of teams to make sense of the situation, and how to handle it, through healthy debate.</p> <div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="mck-c-disruptor1up mck-o-md-center mck-u-inline-module-border-top mck-u-inline-module-border-bottom mck-u-screen-only" data-layer-region="disruptor-1up"><div class="mdc-u-grid mdc-u-grid-gutter-md mdc-u-grid-col-lg-12 mdc-u-grid-col-md-12 "><div class="mdc-u-grid-col-md-span-12"><header data-component="mdc-c-header" class="mdc-c-header"><div class="mdc-c-header__block___i1Lg-_2734c4f"><h3 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f"><div>Would you like to learn more about our <a href="/capabilities/people-and-organizational-performance/how-we-help-clients">People & Organizational Performance Practice</a>?</div></h3></div></header><div data-component="mdc-c-link-container" class="mdc-c-link-container___xefGu_2734c4f mdc-c-link-container--display-column___X0HDD_2734c4f mck-c-disruptor1up__content Disruptor1Up_mck-c-disruptor1up__content--links__VV4lE mdc-u-grid-gutter-md"><a data-component="mdc-c-link" href="/capabilities/people-and-organizational-performance/how-we-help-clients/culture-and-change" class="mdc-c-link-cta___NBQVi_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Visit our Culture and Change page</span><span data-component="mdc-c-icon" class="mdc-c-icon___oi7ef_2734c4f mck-link-arrow-right-icon"></span></a></div></div></div></div> <h2>Elevating leaders during a crisis: The value of ‘deliberate calm’ and ‘bounded optimism’</h2> <p>Just as an organization’s senior executives must be prepared to temporarily shift some responsibilities from their command-and-control hierarchy to a network of teams, they must also empower others to direct many aspects of the organization’s crisis response. This involves granting them the authority to make and implement decisions without having to gain approval. One important function of senior executives is to quickly establish an architecture for decision making, so that accountability is clear and decisions are made by appropriate people at different levels.</p> <p>Senior leaders must also make sure that they empower the right people to make crisis-response decisions across the network of teams. Since decision makers will probably make some mistakes, they must be able to learn quickly and make corrections without overreacting or paralyzing the organization. At the start of a crisis, senior leaders will have to appoint decision makers to direct the crisis response. But as the crisis evolves, new crisis-response leaders will naturally emerge in a network-of-teams construct, and those crisis-response leaders won’t always be senior executives.</p> <p>In routine emergencies, experience is perhaps the most valuable quality that leaders bring. But in novel, landscape-scale crises, character is of the utmost importance. Crisis-response leaders must be able to unify teams behind a single purpose and frame questions for them to investigate. The best will display several qualities. One is “deliberate calm,” the ability to detach from a fraught situation and think clearly about how one will navigate it.<span class="FootNote_footnote-holder__tjRqy"><a aria-label="footnote" href="javascript:void(0);" class="FootNote_footnote-wrapper__AIRwL undefined FootNote_inactive__VZfCp" aria-describedby="ad220c8c-cb17-4f82-a3bd-8d91728a03bf"><sup class="FootNote_footnotesup__e73z_">6</sup><span class="FootNote_notch-wrapper__b_5NS"><span class="FootNote_notch__omKtY"></span></span><span class="FootNote_tooltip__QtrbA mdc-u-mt-2"><span class="FootNote_footnote-content__r2OVl"><span id="ad220c8c-cb17-4f82-a3bd-8d91728a03bf" aria-hidden="true" data-module-theme="light" class="FootNote_footnote-text__VjKgO mck-u-links-inline">Helio Fred Garcia, “Effective leadership response to crisis,” <em>Strategy & Leadership</em>, 2006, Volume 34, Number 1, pp. 4–10.</span></span></span></a></span> Deliberate calm is most often found in well-grounded individuals who possess humility but not helplessness.</p> <p>Another important quality is “bounded optimism,” or confidence combined with realism. Early in a crisis, if leaders display excessive confidence in spite of obviously difficult conditions, they can lose credibility. It is more effective for leaders to project confidence that the organization will find a way through its tough situation but also show that they recognize the crisis’s uncertainty and have begun to grapple with it by collecting more information. When the crisis has passed, then optimism will be more beneficial (and can be far less bounded).</p> <div data-component="mdc-c-module-wrapper" data-module-theme="dark" data-module-background="deep-blue" data-module-category="" data-module-gradient-position="bottom-right" class="StatementDisruptor_mck-c-statement-disruptor__iOBdi mck-o-edge-to-edge" data-module-name="statement-disruptor"><div><div class="StatementDisruptor_mck-c-statement-disruptor__background-container__p_cFW"><div class="StatementDisruptor_mck-c-statement-disruptor__background-image-container__es__n"><style></style><div data-component="mdc-c-background-image" class="mdc-c-bg-image___GJdv1_2734c4f background-image-statement-disruptor-49251B2AF7B34CD0A80F28472CEF18B0" role="img" aria-label="Leadership in a crisis: Responding to the coronavirus outbreak and future challenges"></div><div class="mdc-c-bg-image___GJdv1_2734c4f mdc-c-bg-image--opaque-bg___CauU1_2734c4f" style="opacity:0.5"></div></div></div><div class="StatementDisruptor_mck-c-statement-disruptor__content-container__2bGvV"><div class="StatementDisruptor_mck-c-statement-disruptor__content__KNhFy"><div class="mck-o-container"><div class="mck-o-container--wrapped mck-o-container--mobile-spacing"><div class="mdc-u-grid mdc-u-grid-col-md-12"><div class="mdc-u-grid-col-md-start-1 mdc-u-grid-col-md-end-13 mdc-u-grid-col-lg-start-2 mdc-u-grid-col-lg-end-12"><div class="mck-c-statement-disruptor__title-container"><p class="StatementDisruptor_mck-c-statement-disruptor__text-content__7xNDN">Just as an organization’s senior executives must be prepared to temporarily shift some responsibilities from their command-and-control hierarchy to a network of teams, they must also empower others to direct many aspects of the organization’s crisis response. This involves granting them the authority to make and implement decisions without having to gain approval.</p></div></div></div></div></div></div></div></div></div> <h2>Making decisions amid uncertainty: Pause to assess and anticipate, then act</h2> <p>Waiting for a full set of facts to emerge before determining what to do is another common mistake that leaders make during crises. Because a crisis involves many unknowns and surprises, facts may not become clear within the necessary decision-making time frame. But leaders should not resort to using their intuition alone. Leaders can better cope with uncertainty and the feeling of <em>jamais vu</em> (déjà vu’s opposite) by continually collecting information as the crisis unfolds and observing how well their responses work.</p> <p>In practice, this means frequently pausing from crisis management, assessing the situation from multiple vantage points, anticipating what may happen next, and then acting. The pause-assess-anticipate-act cycle should be ongoing, for it helps leaders maintain a state of deliberate calm and avoid overreacting to new information as it comes in. While some moments during the crisis will call for immediate action, with no time to assess or anticipate, leaders will eventually find occasions to stop, reflect, and think ahead before making further moves.</p> <div data-module-category="" class="PullQuote_mck-c-pullquote__DbaQ5 mck-o-sm-left-span"><blockquote data-component="mdc-c-blockquote" class="PullQuote_mck-c-blockquote__6n21p PullQuote_mck-c-blockquote--hide-quotes__CpGpg mdc-c-blockquote mdc-c-blockquote--is-quotes___TozKo_2734c4f"><p>The pause-assess-anticipate-act cycle should be ongoing, for it helps leaders maintain a state of deliberate calm and avoid overreacting to new information as it comes in.</p></blockquote></div> <p>Two cognitive behaviors can aid leaders as they assess and anticipate. One, called updating, involves revising ideas based on new information teams collect and knowledge they develop. The second, doubting, helps leaders consider ongoing and potential actions critically and decide whether they need to be modified, adopted, or discarded. Updating and doubting help leaders mediate their dueling impulses to conceive solutions based on what they’ve done previously and to make up new solutions without drawing on past lessons. Instead, leaders bring their experiences to bear while accepting new insights as they emerge.</p> <p>Once leaders decide what to do, they must act with resolve. Visible decisiveness not only builds the organization’s confidence in leaders; it also motivates the network of teams to sustain its search for solutions to the challenges that the organization faces.</p> <h2>Demonstrating empathy: Deal with the human tragedy as a first priority</h2> <p>In a landscape-scale crisis, people’s minds turn first to their own survival and other basic needs. Will I be sickened or hurt? Will my family? What happens then? Who will care for us? Leaders shouldn’t assign communications or legal staff to address these questions. A crisis is when it is most important for leaders to uphold a vital aspect of their role: making a positive difference in people’s lives.</p> <p>Doing this requires leaders to acknowledge the personal and professional challenges that employees and their loved ones experience during a crisis. By mid-March 2020, COVID-19 had visited tragedy on countless people by claiming thousands of lives. More than 100,000 cases had been confirmed; many more were being projected. The pandemic had also triggered powerful second-order effects. Governments instituted travel bans and quarantine requirements, which are important for safeguarding public health but can also keep people from aiding relatives and friends or seeking comfort in community groups or places of worship. School closures in many jurisdictions put strain on working parents. Since each crisis will affect people in particular ways, leaders should pay careful attention to how people are struggling and take corresponding measures to support them.</p> <div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="mck-c-disruptor1up mck-o-md-center mck-u-inline-module-border-top mck-u-inline-module-border-bottom mck-u-screen-only" data-layer-region="disruptor-1up"><div class="mdc-u-grid mdc-u-grid-gutter-md mdc-u-grid-col-lg-12 mdc-u-grid-col-md-12 "><div class="mdc-u-grid-col-lg-span-4 mdc-u-grid-col-md-span-5 Disruptor1Up_mck-c-disruptor1up__image___2Gc4"><picture data-component="mdc-c-picture"><img alt="COVID-19: Implications for business" src="/~/media/mckinsey/business%20functions/risk/our%20insights/covid%2019%20implications%20for%20business/implications-briefing-note-4-standard-1536x1536.jpg?cq=50&mh=145&car=16:9&cpy=Center" loading="lazy"/></picture></div><div class="mdc-u-grid-col-lg-span-8 mdc-u-grid-col-md-span-7"><header data-component="mdc-c-header" class="mdc-c-header"><div class="mdc-c-header__block___i1Lg-_2734c4f"><h3 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f"><div>McKinsey’s COVID-19 executive briefing</div></h3></div></header><div data-component="mdc-c-link-container" class="mdc-c-link-container___xefGu_2734c4f mdc-c-link-container--display-column___X0HDD_2734c4f mck-c-disruptor1up__content Disruptor1Up_mck-c-disruptor1up__content--links__VV4lE mdc-u-grid-gutter-md"><a data-component="mdc-c-link" href="/capabilities/risk-and-resilience/our-insights/covid-19-implications-for-business" class="mdc-c-link-cta___NBQVi_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Read our latest on the business impact of coronavirus</span><span data-component="mdc-c-icon" class="mdc-c-icon___oi7ef_2734c4f mck-link-arrow-right-icon"></span></a></div></div></div></div> <p>Lastly, it is vital that leaders not only demonstrate empathy but open themselves to empathy from others and remain attentive to their own well-being. As stress, fatigue, and uncertainty build up during a crisis, leaders might find that their abilities to process information, to remain levelheaded, and to exercise good judgment diminish. They will stand a better chance of countering functional declines if they encourage colleagues to express concern—and heed the warnings they are given. Investing time in their well-being will enable leaders to sustain their effectiveness over the weeks and months that a crisis can entail.</p> <div data-component="mdc-c-module-wrapper" data-module-theme="dark" data-module-background="deep-blue" data-module-category="" data-module-gradient-position="bottom-right" class="StatementDisruptor_mck-c-statement-disruptor__iOBdi mck-o-edge-to-edge" data-module-name="statement-disruptor"><div><div class="StatementDisruptor_mck-c-statement-disruptor__background-container__p_cFW"><div class="StatementDisruptor_mck-c-statement-disruptor__background-image-container__es__n"><style></style><div data-component="mdc-c-background-image" class="mdc-c-bg-image___GJdv1_2734c4f background-image-statement-disruptor-CC3557913CEC4473A662372671417AC4" role="img" aria-label="Leadership in a crisis: Responding to the coronavirus outbreak and future challenges"></div><div class="mdc-c-bg-image___GJdv1_2734c4f mdc-c-bg-image--opaque-bg___CauU1_2734c4f" style="opacity:0.4"></div></div></div><div class="StatementDisruptor_mck-c-statement-disruptor__content-container__2bGvV"><div class="StatementDisruptor_mck-c-statement-disruptor__content__KNhFy"><div class="mck-o-container"><div class="mck-o-container--wrapped mck-o-container--mobile-spacing"><div class="mdc-u-grid mdc-u-grid-col-md-12"><div class="mdc-u-grid-col-md-start-1 mdc-u-grid-col-md-end-13 mdc-u-grid-col-lg-start-2 mdc-u-grid-col-lg-end-12"><div class="mck-c-statement-disruptor__title-container"><p class="StatementDisruptor_mck-c-statement-disruptor__text-content__7xNDN">A crisis is when it is most important for leaders to uphold a vital aspect of their role: making a positive difference in people’s lives. Doing this requires leaders to acknowledge the personal and professional challenges that employees and their loved ones experience during a crisis.</p></div></div></div></div></div></div></div></div></div> <h2>Communicating effectively: Maintain transparency and provide frequent updates </h2> <p>Crisis communications from leaders often hit the wrong notes. Time and again, we see leaders taking an overconfident, upbeat tone in the early stages of a crisis—and raising stakeholders’ suspicions about what leaders know and how well they are handling the crisis. Authority figures are also prone to suspend announcements for long stretches while they wait for more facts to emerge and decisions to be made.</p> <p>Neither approach is reassuring. As Amy Edmondson recently wrote, “Transparency is ‘job one’ for leaders in a crisis. Be clear what you know, what you don’t know, and what you are doing to learn more.”<span class="FootNote_footnote-holder__tjRqy"><a aria-label="footnote" href="javascript:void(0);" class="FootNote_footnote-wrapper__AIRwL undefined FootNote_inactive__VZfCp" aria-describedby="c4278aa4-5f86-46ad-b3f2-b933a561b3a4"><sup class="FootNote_footnotesup__e73z_">7</sup><span class="FootNote_notch-wrapper__b_5NS"><span class="FootNote_notch__omKtY"></span></span><span class="FootNote_tooltip__QtrbA mdc-u-mt-2"><span class="FootNote_footnote-content__r2OVl"><span id="c4278aa4-5f86-46ad-b3f2-b933a561b3a4" aria-hidden="true" data-module-theme="light" class="FootNote_footnote-text__VjKgO mck-u-links-inline">Amy C. Edmondson, “Don’t hide bad news in times of crisis”, <em>Harvard Business Review</em>, March 6, 2020, hbr.org.</span></span></span></a></span> Thoughtful, frequent communication shows that leaders are following the situation and adjusting their responses as they learn more. This helps them reassure stakeholders that they are confronting the crisis. Leaders should take special care to see that each audience’s concerns, questions, and interests are addressed. Having members of the crisis-response team speak firsthand about what they are doing can be particularly effective. </p> <p>Communications shouldn’t stop once the crisis has passed. Offering an optimistic, realistic outlook can have a powerful effect on employees and other stakeholders, inspiring them to support the company’s recovery.</p> <hr/> <p>The coronavirus pandemic is testing the leaders of companies and organizations in every sector around the world. Its consequences could last for longer and present greater difficulties than anyone anticipates. The prolonged uncertainty is all the more reason for leaders to embrace the practices described in this article. Those who do will help establish or reinforce behaviors and values that can support their organizations and communities during this crisis, however long it continues, and prepare them well for the next large-scale challenge.</p></div><div class="container-placeholder"></div></div></div><div class="mdc-u-grid mdc-u-grid-gutter-xl"><section role="contentinfo" data-layer-region="article-about-authors" class="mdc-u-grid mdc-u-grid-col-md-12 AboutAuthor_mck-c-about-author__nRJzu"><div class="mdc-u-grid-col-md-start-2 mdc-u-grid-col-md-end-12 mdc-u-grid-col-lg-start-3 mdc-u-grid-col-lg-end-11"><h5 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f mdc-c-heading--title___5qyOB_2734c4f mdc-c-heading--border___K8dj3_2734c4f mdc-u-align-center"></h5><div data-component="mdc-c-description" class="mdc-c-description___SrnQP_2734c4f mdc-u-ts-8 mck-u-links-inline mck-u-links-inline--secondary mdc-u-mt-5"><div><p><a href="/our-people/gemma-d-auria"><strong>Gemma D’Auria</strong></a> is a senior partner in McKinsey’s Dubai office, and <a href="/our-people/aaron-de-smet"><strong>Aaron De Smet</strong></a> is a senior partner in the Houston office.</p> <p>The authors wish to thank Ruth Imose, Ana Mendy, Monica Murarka, Mihir Mysore, and Ophelia Usher for their contributions to this article.</p></div></div></div></section><section class="mdc-u-grid mdc-u-grid-col-md-12 mck-u-screen-only"><div class="mdc-u-grid-col-md-start-2 mdc-u-grid-col-md-end-12 mdc-u-grid-col-lg-start-5 mdc-u-grid-col-lg-end-9"><h5 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f mdc-c-heading--title___5qyOB_2734c4f mdc-c-heading--border___K8dj3_2734c4f mdc-u-align-center">Explore a career with us</h5><div data-component="mdc-c-link-container" class="mdc-c-link-container___xefGu_2734c4f mdc-c-link-container--align-center___ar3mu_2734c4f"><a data-component="mdc-c-link" href="/careers/search-jobs" class="mdc-c-button___U4iY2_2734c4f mdc-c-button--secondary___Boipq_2734c4f 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class="Card_wrapper-image__8b4P6"><a data-component="mdc-c-link" href="/capabilities/people-and-organizational-performance/our-insights/decision-making-in-uncertain-times" class="mdc-c-link___lBbY1_2734c4f"><picture data-component="mdc-c-picture" class="Card_wrapper-image__8b4P6"><style>.picture-uniqueKey-decis-0 { aspect-ratio: 16/9 }</style><img alt="Decision making in uncertain times" class="picture-uniqueKey-decis-0" src="/~/media/mckinsey/business%20functions/people%20and%20organizational%20performance/our%20insights/decision%20making%20in%20uncertain%20times/decision-making-lshaped-1536x1536.jpg?cq=50&mw=767&car=16:9&cpy=Center" loading="lazy"/></picture></a></div><div class="Card_wrapper-text__U6Y3k"><div data-component="mdc-c-content-block" class="mdc-c-content-block___7p6Lu_2734c4f Card_content-block__pF6Z1"><span>Article</span><h6 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f mdc-u-ts-6"><a data-component="mdc-c-link" 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class="mdc-c-heading___0fM1W_2734c4f mdc-u-ts-6"><a data-component="mdc-c-link" href="/capabilities/people-and-organizational-performance/our-insights/a-leaders-guide-communicating-with-teams-stakeholders-and-communities-during-covid-19" class="mdc-c-link-heading___Zggl8_2734c4f mdc-c-link___lBbY1_2734c4f"><div>A leader’s guide: Communicating with teams, stakeholders, and communities during COVID-19</div></a></h6></div></div></div></div></div></div></div></main></div><script id="__NEXT_DATA__" type="application/json">{"props":{"pageProps":{"locale":"en","dictionary":{},"sitecoreContext":{"route":{"name":"Leadership in a crisis Responding to the coronavirus outbreak and future challenges","displayName":"Leadership in a crisis Responding to the coronavirus outbreak and future challenges","fields":null,"databaseName":"web","deviceId":"fe5d7fdf-89c0-4d99-9aa3-b5fbd009c9f3","itemId":"d381e24d-9b0c-4245-a76d-f45814f57c59","itemLanguage":"en","itemVersion":2,"layoutId":"ae753eb4-a035-40b4-83bf-4b4438df6742","templateId":"683910db-02ba-40ba-92e7-726c880160a9","templateName":"ArticleJSS","placeholders":{"jss-main":[{"uid":"232bb7e9-289f-492d-a916-2b6185e44a84","componentName":"ArticleTemplate","dataSource":"","fields":{"data":{"articleTemplate":{"title":{"jsonValue":{"value":"Leadership in a crisis: Responding to the coronavirus outbreak and future challenges"}},"sEOTitle":{"value":"Leadership in a crisis: Responding to coronavirus"},"description":{"jsonValue":{"value":"For many executives, the coronavirus pandemic is a crisis unlike any other in recent times. Five leadership practices can help you respond effectively."}},"sEODescription":{"value":"What leadership needs in a crisis is not a predefined response plan but behaviors and mindsets that will prevent them from overreacting and help them look ahead."},"displayDate":{"jsonValue":{"value":"2020-03-16T00:00:00Z"}},"body":{"value":"[[DownloadsSidebar]]\n\u003cp\u003e\u003cspan style=\"font-size: 1.1em;\"\u003e\u003cem\u003eThis article is the first in a series drawing together McKinsey\u0026rsquo;s collective thinking and expertise on five behaviors to help leaders navigate the pandemic and recovery. Separate articles describe \u003ca href=\"/capabilities/people-and-organizational-performance/our-insights/to-weather-a-crisis-build-a-network-of-teams\"\u003eorganizing via a network of teams\u003c/a\u003e; \u003ca href=\"/capabilities/people-and-organizational-performance/our-insights/how-to-demonstrate-calm-and-optimism-in-a-crisis\"\u003edisplaying deliberate calm and bounded optimism\u003c/a\u003e; \u003ca href=\"/capabilities/people-and-organizational-performance/our-insights/decision-making-in-uncertain-times\"\u003emaking decisions amid uncertainty\u003c/a\u003e; \u003ca href=\"/capabilities/people-and-organizational-performance/our-insights/tuning-in-turning-outward-cultivating-compassionate-leadership-in-a-crisis\"\u003edemonstrating empathy\u003c/a\u003e; and \u003ca href=\"/capabilities/people-and-organizational-performance/our-insights/a-leaders-guide-communicating-with-teams-stakeholders-and-communities-during-covid-19\"\u003ecommunicating effectively\u003c/a\u003e.\u003c/em\u003e\u003c/span\u003e\u003c/p\u003e\n\u003cbr /\u003e\n\u003cp\u003e\u003cstrong\u003eThe coronavirus pandemic\u003c/strong\u003e has placed extraordinary demands on leaders in business and beyond. The humanitarian toll taken by COVID-19 creates fear among employees and other stakeholders. The massive scale of the outbreak and its sheer unpredictability make it challenging for executives to respond. Indeed, the outbreak has the hallmarks of a \u0026ldquo;landscape scale\u0026rdquo; crisis: an unexpected event or sequence of events of enormous scale and overwhelming speed, resulting in a high degree of uncertainty that gives rise to disorientation, a feeling of lost control, and strong emotional disturbance.[[Footnote 1]]\u003c/p\u003e\n[[Ceros covid]]\n\u003cp\u003eRecognizing that a company faces a crisis is the first thing leaders must do. It is a difficult step, especially during the onset of crises that do not arrive suddenly but grow out of familiar circumstances that mask their nature.[[Footnote 2]] Examples of such crises include the SARS outbreak of 2002\u0026ndash;03 and now the coronavirus pandemic. Seeing a slow-developing crisis for what it might become requires leaders to overcome the normalcy bias, which can cause them to underestimate both the possibility of a crisis and the impact that it could have.[[Footnote 3]]\u003c/p\u003e\n\u003cp\u003e\u003ca href=\"/industries/public-sector/our-insights/lessons-in-leadership-leaning-into-ambiguity\"\u003eOnce leaders recognize a crisis\u003c/a\u003e as such, they can begin to mount a response. But they cannot respond as they would in a routine emergency, by following plans that had been drawn up in advance. During a crisis, which is ruled by unfamiliarity and uncertainty, effective responses are largely improvised.[[Footnote 4]] They might span a wide range of actions: not just temporary moves (for example, instituting work-from-home policies) but also adjustments to ongoing business practices (such as the adoption of new tools to aid collaboration), which can be beneficial to maintain even after the crisis has passed.\u003c/p\u003e\n\u003cp\u003eWhat leaders need during a crisis is not a predefined response plan but behaviors and mindsets that will prevent them from overreacting to yesterday\u0026rsquo;s developments and help them look ahead. In this article, we explore five such behaviors and accompanying mindsets that can help leaders navigate the coronavirus pandemic and future crises.\u003c/p\u003e\n[[StatementDisruptor A]]\n\u003ch2\u003eOrganizing to respond to crises: The network of teams\u003c/h2\u003e\n\u003cp\u003eDuring a crisis, leaders must relinquish the belief that a top-down response will engender stability. In routine emergencies, the typical company can rely on its command-and-control structure to manage operations well by carrying out a scripted response. But in crises characterized by uncertainty, leaders face problems that are unfamiliar and poorly understood. A small group of executives at an organization\u0026rsquo;s highest level cannot collect information or make decisions quickly enough to respond effectively. Leaders can better mobilize their organizations by setting clear priorities for the response and empowering others to discover and implement solutions that serve those priorities.\u003c/p\u003e\n\u003cp\u003eTo promote rapid problem solving and execution under high-stress, chaotic conditions, leaders can organize a network of teams. Although the network of teams is a widely known construct, it is worth highlighting because relatively few companies have experience in implementing one. A network of teams consists of a highly adaptable assembly of groups, which are united by a common purpose and work together in much the same way that the individuals on a single team collaborate (exhibit).[[Footnote 5]]\u003c/p\u003e\n[[Exhibit 1]]\n\u003cp\u003eSome parts of the network pursue actions that take place outside regular business operations. Other parts identify the crisis\u0026rsquo;s implications for routine business activities and make adjustments, such as helping employees adapt to new working norms. In many cases, the network of teams will include an integrated nerve center covering four domains: workforce protection, supply-chain stabilization, customer engagement, and financial stress testing (for more, see \u0026ldquo;\u003ca href=\"/capabilities/risk-and-resilience/our-insights/responding-to-coronavirus-the-minimum-viable-nerve-center\"\u003eResponding to coronavirus: The minimum viable nerve center\u003c/a\u003e\u0026rdquo;).\u003c/p\u003e\n[[PullQuote 2]]\n\u003cp\u003eRegardless of their functional scope, effective networks of teams display several qualities. They are multidisciplinary: experience shows that crises present a degree of complexity that makes it necessary to engage experts from different fields. They are designed to act. Merely soliciting experts\u0026rsquo; ideas is not enough; experts must gather information, devise solutions, put them into practice, and refine them as they go. And they are adaptable, reorganizing, expanding, or contracting as teams learn more about the crisis and as conditions change.\u003c/p\u003e\n\u003cp\u003eLeaders should foster collaboration and transparency across the network of teams. One way they do this is by distributing authority and sharing information: in other words, demonstrating how the teams themselves should operate. In crisis situations, a leader\u0026rsquo;s instinct might be to consolidate decision-making authority and control information, providing it on a strictly need-to-know basis. Doing the opposite will encourage teams to follow suit.\u003c/p\u003e\n\u003cp\u003eAnother crucial part of the leader\u0026rsquo;s role, especially in the emotional, tense environment that characterizes a crisis, is promoting psychological safety so people can openly discuss ideas, questions, and concerns without fear of repercussions. This allows the network of teams to make sense of the situation, and how to handle it, through healthy debate.\u003c/p\u003e\n[[Disruptor1UP Learn More]]\n\u003ch2\u003eElevating leaders during a crisis: The value of \u0026lsquo;deliberate calm\u0026rsquo; and \u0026lsquo;bounded optimism\u0026rsquo;\u003c/h2\u003e\n\u003cp\u003eJust as an organization\u0026rsquo;s senior executives must be prepared to temporarily shift some responsibilities from their command-and-control hierarchy to a network of teams, they must also empower others to direct many aspects of the organization\u0026rsquo;s crisis response. This involves granting them the authority to make and implement decisions without having to gain approval. One important function of senior executives is to quickly establish an architecture for decision making, so that accountability is clear and decisions are made by appropriate people at different levels.\u003c/p\u003e\n\u003cp\u003eSenior leaders must also make sure that they empower the right people to make crisis-response decisions across the network of teams. Since decision makers will probably make some mistakes, they must be able to learn quickly and make corrections without overreacting or paralyzing the organization. At the start of a crisis, senior leaders will have to appoint decision makers to direct the crisis response. But as the crisis evolves, new crisis-response leaders will naturally emerge in a network-of-teams construct, and those crisis-response leaders won\u0026rsquo;t always be senior executives.\u003c/p\u003e\n\u003cp\u003eIn routine emergencies, experience is perhaps the most valuable quality that leaders bring. But in novel, landscape-scale crises, character is of the utmost importance. Crisis-response leaders must be able to unify teams behind a single purpose and frame questions for them to investigate. The best will display several qualities. One is \u0026ldquo;deliberate calm,\u0026rdquo; the ability to detach from a fraught situation and think clearly about how one will navigate it.[[Footnote 6]] Deliberate calm is most often found in well-grounded individuals who possess humility but not helplessness.\u003c/p\u003e\n\u003cp\u003eAnother important quality is \u0026ldquo;bounded optimism,\u0026rdquo; or confidence combined with realism. Early in a crisis, if leaders display excessive confidence in spite of obviously difficult conditions, they can lose credibility. It is more effective for leaders to project confidence that the organization will find a way through its tough situation but also show that they recognize the crisis\u0026rsquo;s uncertainty and have begun to grapple with it by collecting more information. When the crisis has passed, then optimism will be more beneficial (and can be far less bounded).\u003c/p\u003e\n[[StatementDisruptor B]]\n\u003ch2\u003eMaking decisions amid uncertainty: Pause to assess and anticipate, then act\u003c/h2\u003e\n\u003cp\u003eWaiting for a full set of facts to emerge before determining what to do is another common mistake that leaders make during crises. Because a crisis involves many unknowns and surprises, facts may not become clear within the necessary decision-making time frame. But leaders should not resort to using their intuition alone. Leaders can better cope with uncertainty and the feeling of \u003cem\u003ejamais vu\u003c/em\u003e (d\u0026eacute;j\u0026agrave; vu\u0026rsquo;s opposite) by continually collecting information as the crisis unfolds and observing how well their responses work.\u003c/p\u003e\n\u003cp\u003eIn practice, this means frequently pausing from crisis management, assessing the situation from multiple vantage points, anticipating what may happen next, and then acting. The pause-assess-anticipate-act cycle should be ongoing, for it helps leaders maintain a state of deliberate calm and avoid overreacting to new information as it comes in. While some moments during the crisis will call for immediate action, with no time to assess or anticipate, leaders will eventually find occasions to stop, reflect, and think ahead before making further moves.\u003c/p\u003e\n[[PullQuote 3]]\n\u003cp\u003eTwo cognitive behaviors can aid leaders as they assess and anticipate. One, called updating, involves revising ideas based on new information teams collect and knowledge they develop. The second, doubting, helps leaders consider ongoing and potential actions critically and decide whether they need to be modified, adopted, or discarded. Updating and doubting help leaders mediate their dueling impulses to conceive solutions based on what they\u0026rsquo;ve done previously and to make up new solutions without drawing on past lessons. Instead, leaders bring their experiences to bear while accepting new insights as they emerge.\u003c/p\u003e\n\u003cp\u003eOnce leaders decide what to do, they must act with resolve. Visible decisiveness not only builds the organization\u0026rsquo;s confidence in leaders; it also motivates the network of teams to sustain its search for solutions to the challenges that the organization faces.\u003c/p\u003e\n\u003ch2\u003eDemonstrating empathy: Deal with the human tragedy as a first priority\u003c/h2\u003e\n\u003cp\u003eIn a landscape-scale crisis, people\u0026rsquo;s minds turn first to their own survival and other basic needs. Will I be sickened or hurt? Will my family? What happens then? Who will care for us? Leaders shouldn\u0026rsquo;t assign communications or legal staff to address these questions. A crisis is when it is most important for leaders to uphold a vital aspect of their role: making a positive difference in people\u0026rsquo;s lives.\u003c/p\u003e\n\u003cp\u003eDoing this requires leaders to acknowledge the personal and professional challenges that employees and their loved ones experience during a crisis. By mid-March 2020, COVID-19 had visited tragedy on countless people by claiming thousands of lives. More than 100,000 cases had been confirmed; many more were being projected. The pandemic had also triggered powerful second-order effects. Governments instituted travel bans and quarantine requirements, which are important for safeguarding public health but can also keep people from aiding relatives and friends or seeking comfort in community groups or places of worship. School closures in many jurisdictions put strain on working parents. Since each crisis will affect people in particular ways, leaders should pay careful attention to how people are struggling and take corresponding measures to support them.\u003c/p\u003e\n[[Disruptor1UP Read Next]]\n\u003cp\u003eLastly, it is vital that leaders not only demonstrate empathy but open themselves to empathy from others and remain attentive to their own well-being. As stress, fatigue, and uncertainty build up during a crisis, leaders might find that their abilities to process information, to remain levelheaded, and to exercise good judgment diminish. They will stand a better chance of countering functional declines if they encourage colleagues to express concern\u0026mdash;and heed the warnings they are given. Investing time in their well-being will enable leaders to sustain their effectiveness over the weeks and months that a crisis can entail.\u003c/p\u003e\n[[StatementDisruptor C]]\n\u003ch2\u003eCommunicating effectively: Maintain transparency and provide frequent updates \u003c/h2\u003e\n\u003cp\u003eCrisis communications from leaders often hit the wrong notes. Time and again, we see leaders taking an overconfident, upbeat tone in the early stages of a crisis\u0026mdash;and raising stakeholders\u0026rsquo; suspicions about what leaders know and how well they are handling the crisis. Authority figures are also prone to suspend announcements for long stretches while they wait for more facts to emerge and decisions to be made.\u003c/p\u003e\n\u003cp\u003eNeither approach is reassuring. As Amy Edmondson recently wrote, \u0026ldquo;Transparency is \u0026lsquo;job one\u0026rsquo; for leaders in a crisis. Be clear what you know, what you don\u0026rsquo;t know, and what you are doing to learn more.\u0026rdquo;[[Footnote 7]] Thoughtful, frequent communication shows that leaders are following the situation and adjusting their responses as they learn more. This helps them reassure stakeholders that they are confronting the crisis. Leaders should take special care to see that each audience\u0026rsquo;s concerns, questions, and interests are addressed. Having members of the crisis-response team speak firsthand about what they are doing can be particularly effective. \u003c/p\u003e\n\u003cp\u003eCommunications shouldn\u0026rsquo;t stop once the crisis has passed. Offering an optimistic, realistic outlook can have a powerful effect on employees and other stakeholders, inspiring them to support the company\u0026rsquo;s recovery.\u003c/p\u003e\n\u003chr /\u003e\n\u003cp\u003eThe coronavirus pandemic is testing the leaders of companies and organizations in every sector around the world. Its consequences could last for longer and present greater difficulties than anyone anticipates. The prolonged uncertainty is all the more reason for leaders to embrace the practices described in this article. Those who do will help establish or reinforce behaviors and values that can support their organizations and communities during this crisis, however long it continues, and prepare them well for the next large-scale challenge.\u003c/p\u003e"},"isFullScreenInteractive":{"boolValue":false},"hideStickySocialShareBar":{"boolValue":false},"desktopID":{"value":""},"mobileID":{"value":""},"desktopURL":{"value":""},"mobileURL":{"value":""},"desktopPaddingPercentage":{"value":""},"mobilePaddingPercentage":{"value":""},"desktopOverrideHeight":{"value":""},"mobileOverrideHeight":{"value":""},"cerosOembedURL":{"value":""},"cerosRenderMode":{"targetItem":null},"cerosBackgroundColor":{"targetItem":null},"hideByLine":{"boolValue":false},"tableOfContentsTitle":{"value":"TABLE OF CONTENTS"},"accessStatus":{"targetItem":{"key":{"value":"RegisteredUsers"},"value":{"value":"Registered Users"}}},"articleType":{"targetItem":{"displayName":"Article"}},"hasSpecialReport":{"boolValue":false},"contentType":{"targetItem":{"displayName":"Article"}},"sourcePublication":{"targetItem":null},"externalPublication":{"value":""},"mobileReady":{"boolValue":true},"forClientsOnly":{"boolValue":false},"excludeFromClientLink":{"boolValue":false},"originalPublishDate":{"jsonValue":{"value":"2020-03-16T00:00:00Z"}},"footnotes":{"value":"\u003col\u003e\n \u003cli\u003eArnold M. Howitt and Herman B. Leonard, \u0026ldquo;Against desperate peril: High performance in emergency preparation and response,\u0026rdquo; in Deborah E. Gibbons, ed, \u003cem\u003eCommunicable Crises: Prevention, Response, and Recovery in the Global Arena\u003c/em\u003e, first edition, Charlotte, NC: Information Age Publishing, 2007.\u003c/li\u003e\n \u003cli\u003eArnold Howitt and Herman B. Leonard, eds, \u003cem\u003eManaging Crises: Responses to Large-Scale Emergencies\u003c/em\u003e, first edition, Washington, DC: CQ Press, 2009.\u003c/li\u003e\n \u003cli\u003eNahman Alon and Haim Omer, \u0026ldquo;The continuity principle: A unified approach to disaster and trauma,\u0026rdquo; \u003cem\u003eAmerican Journal of Community Psychology\u003c/em\u003e, 1994, Volume 22, Number 2, pp. 273\u0026ndash;87.\u003c/li\u003e\n \u003cli\u003eArnold Howitt and Herman B. Leonard, eds, \u003cem\u003eManaging Crises: Responses to Large-Scale Emergencies\u003c/em\u003e, first edition, Washington, DC: CQ Press, 2009.\u003c/li\u003e\n \u003cli\u003eTantum Collins, Chris Fussell, Gen. Stanley McChrystal, and David Silverman, \u003cem\u003eTeam of Teams: New Rules of Engagement for a Complex World\u003c/em\u003e, first edition, New York, NY: Portfolio/Penguin, 2015.\u003c/li\u003e\n \u003cli\u003eHelio Fred Garcia, \u0026ldquo;Effective leadership response to crisis,\u0026rdquo; \u003cem\u003eStrategy \u0026amp; Leadership\u003c/em\u003e, 2006, Volume 34, Number 1, pp. 4\u0026ndash;10.\u003c/li\u003e\n \u003cli\u003eAmy C. Edmondson, \u0026ldquo;Don\u0026rsquo;t hide bad news in times of crisis\u0026rdquo;, \u003cem\u003eHarvard Business Review\u003c/em\u003e, March 6, 2020, hbr.org.\u003c/li\u003e\n\u003c/ol\u003e"},"contributoryPractice":{"targetItems":[{"displayName":"People \u0026amp; Organizational Performance"}]},"aboutTheAuthors":{"value":"\u003cp\u003e\u003ca href=\"/our-people/gemma-d-auria\"\u003e\u003cstrong\u003eGemma D\u0026rsquo;Auria\u003c/strong\u003e\u003c/a\u003e is a senior partner in McKinsey\u0026rsquo;s Dubai office, and \u003ca href=\"/our-people/aaron-de-smet\"\u003e\u003cstrong\u003eAaron De Smet\u003c/strong\u003e\u003c/a\u003e\u0026nbsp;is a senior partner in the Houston office.\u003c/p\u003e\n\u003cp\u003eThe authors wish to thank Ruth Imose, Ana Mendy, Monica Murarka, Mihir Mysore, and Ophelia Usher for their contributions to this article.\u003c/p\u003e"},"authors":{"targetItems":[{"template":{"id":"3FBABDB63A094F68B1F8E1BBE1BA124E","name":"Author"},"id":"4E84CB35004D4BBA96BC148A44911AC8","name":"Gemma DAuria","authorTitle":{"value":"Gemma D’Auria"},"description":{"value":""},"thumbnailImage":{"alt":"","src":null},"profile":{"targetItems":[{"standardImage":{"src":"/~/media/mckinsey/our people/gemma d auria/gemma d auria_std_img.jpg","alt":"Gemma D’Auria"},"emailLinks":{"value":"Gemma_DAuria@mckinsey.com"},"linkedInUrl":{"value":"https://www.linkedin.com/in/gemma-d-auria-885262"},"description":{"value":"Supports retail, fashion, and luxury brands in driving transformations for higher performance and health"},"locations":{"targetItems":[{"name":"Milan","displayName":"Milan"}]},"firmTitle":{"value":"Senior partner, global leader of McKinsey’s Apparel, Fashion \u0026 Luxury sector"},"thumbnailImage":{"alt":"Gemma D’Auria","src":"/~/media/mckinsey/our people/gemma d auria/gemma d auria_thumbnail_img.jpg"},"url":{"path":"/our-people/gemma-d-auria"}}]}},{"template":{"id":"3FBABDB63A094F68B1F8E1BBE1BA124E","name":"Author"},"id":"D56D1575B4BA4E94890183DFE03B54D9","name":"Aaron De Smet","authorTitle":{"value":"Aaron De Smet"},"description":{"value":""},"thumbnailImage":{"alt":"","src":null},"profile":{"targetItems":[{"standardImage":{"src":"/~/media/mckinsey/our people/aaron de smet/aaron de smet_std_img.jpg","alt":"Aaron De Smet"},"emailLinks":{"value":"Aaron_De_Smet@mckinsey.com"},"linkedInUrl":{"value":"https://www.linkedin.com/in/aaron-de-smet/"},"description":{"value":"Delivers growth, innovation, and organizational agility and is an expert on culture change, leadership development, team effectiveness, capability building, and transformation"},"locations":{"targetItems":[{"name":"New Jersey","displayName":"New Jersey"}]},"firmTitle":{"value":"Senior Partner"},"thumbnailImage":{"alt":"Aaron De Smet","src":"/~/media/mckinsey/our people/aaron de smet/aaron de smet_thumbnail_img.jpg"},"url":{"path":"/our-people/aaron-de-smet"}}]}}]},"nonPartnerAuthors":{"targetItems":[]},"interactiveToUse":{"targetItem":null},"enableArticleComponents":{"boolValue":false},"relatedArticles":{"targetItems":[{"sourcePublication":{"targetItem":null},"publicationSource":null,"externalPublication":{"value":""},"title":{"value":"Decision making in uncertain times"},"url":{"path":"/capabilities/people-and-organizational-performance/our-insights/decision-making-in-uncertain-times"},"eyebrow":{"targetItem":{"name":"Article"}},"articleType":{"targetItem":{"name":"Article"}},"contentType":{"targetItem":{"name":"Article"}},"description":{"value":"The timeline for companies to react to the coronavirus has shrunk dramatically. 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