Economic changes force young leaders to rethink their business choices and management style.

The economy is constantly changing; however, we have not experienced the kind of change that has occurred over the past couple of years in quite some time. I’ve been in a leadership role for over five years. The first few years were incredibly successful, but then the Oil & Gas market tanked. In my experience, I’ve realized that during economic changes, people want to be led, and your management style and practices may need to be altered. Here are my top three pieces of advice for being a young, successful leader during economic changes.

  1. Provide leadership. Even your top performers may not know what it will take to thrive in challenging times. Don’t assume they know how or will automatically rise to the challenge. Effective leaders should not be afraid to lead with a stronger hand, especially if you are in an entrepreneurial environment. Provide strategic guidance and mentoring to rally your team behind a common goal and come out stronger than before.
  2. Accountability is the name of the game. Provide clear goals and objectives, and inspect what you expect from your team. Holding each individual responsible for his or her workload will become even more paramount. Mistakes made in good economic climates are less visible than those made in challenging environments, so you can’t tolerate anything less than 110%.
  3. Over communicate. During difficult times, people need to know what’s happening, and the more you can share with them, the better and more secure they will feel in their role and with your company. Hard times often call for hard decisions such as layoffs or a change in strategy. By keeping open lines of communication with your team, you can help ease tension and maintain morale.

Economic changes can cause you to rethink how you run your business or lead your team. Business choices will be different, and your management style may change. However, if you are able to maintain these three key principles, you’ll have a much easier time adjusting to the change and maintaining your company’s success.

Is your business feeling the effects of economic changes? How do you handle the changing times? Comment in the fields below.