Crisis Management: Decision Making Under Pressure

Today’s leaders face increasingly complex challenges — as recently experienced with the CrowdStrike faulty software update that caused airport chaos and over 3,000 flight cancellations in the US. The interconnected nature of modern systems and the rapid emergence of problems make these challenges even more daunting. This environment demands leaders who can both navigate uncertainty and maintain stakeholder trust. Let’s examine practical tips and real-world examples for managing crises and preserving organizational stability.

Tips for Managing Crisis

1. Forge Transparent Communication

During crises, transparent communication channels are vital, both internally and externally. Leaders should share information quickly and accurately to prevent confusion and misinformation. A compelling example of effective crisis communication occurred during the COVID 19 pandemic. Through a six-minute video, Marriott’s CEO Arne Sorenson openly discussed the company’s challenges, including difficult decisions about layoffs and personal health struggles. His message strongly resonated with his audience. This example demonstrates how honest communication can bolster leadership credibility and preserve stakeholder trust in challenging times.

2. Develop Adaptive Decision-Making Frameworks

While standard procedures provide a foundation for crisis response, leaders should develop the ability to adapt swiftly to evolving circumstances. This requires implementing flexible decision-making frameworks that enable rapid response while maintaining clear accountability structures. An example of adaptive decision-making framework comes from Starbucks’s CEO Brian Niccol’s recent response to reduced customer traffic. The company is currently implementing several key changes including the return of condiment bars, personalized cup-writing, expanded free refill policies, and stricter store usage guidelines. This balanced approach demonstrates adaptability to operational challenges while preserving organizational integrity and reinforcing customer connection.

3. Foster Psychological Safe Environments

Building upon the importance of team resilience, organizations should foster a culture where team members feel psychologically safe to voice concerns and raise potential issues before they escalate into crises. A powerful example of psychological safety’s impact on crisis prevention comes from NASA’s post-Challenger reforms. After the tragic 1986 incident, NASA implemented significant cultural changes that emphasized open communication and psychological safety. This reformed culture proved crucial in 2009 when engineers expressed concerns about foam debris during Space Shuttle Endeavour’s launch preparations. Despite schedule pressures, NASA conducted additional inspections and repairs, potentially averting another catastrophic incident. This case demonstrates how a culture of psychological safety enables organizations to identify and address potential crises early — even when raising concerns might impact major operational timelines.

Leaders who excel in crisis situations understand that success lies in the sweet spot between planning ahead and staying flexible. They recognize that while robust systems and protocols are essential, the ability to pivot when faced with unprecedented challenges is equally crucial. By fostering clear communication channels, implementing adaptive decision-making frameworks, and creating psychologically safe environments, leaders can build resilient organizations and use challenges as opportunities to strengthen their organization’s DNA.

Adeline (Addy) Maissonet is a Procurement Analyst for the Defense Pricing, Contracting, and Acquisition Policy (DPCAP) within the Office of the Secretary of Defense (OSD), U.S. Department of Defense (DoD). She serves as a senior advisor on contracting policies and procedures and the agency’s representative on the Department’s views on proposed legislation to Congressional members, their staff, and committee staffers. Prior to her current role, Addy served as a Division Chief and Contracting Officer with unlimited warrant authority for the U.S. Army Mission and Installation Contracting Command (MICC) – Fort Eustis, Virginia. Addy holds an MBA in Management and Contracting Level III Certification under the Defense Acquisition Workforce Improvement Act. She is a graduate from Cornell University’s Executive Leadership Certificate Program. In her free time, Addy enjoys hiking and overlanding with her family and friends.

Note: The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of the Department of Defense.

Photo credit: Daniela Jovanovska-Hristovska at iStock