Leading in Hard Times
Excerpts from MindTools.com, "Leadership In Hard Times," Mind Tools LTD., <http://www.mindtools.com/pages/article/newLDR_52.htm>, accessed on November 17, 2009.

As organizations adapt to changing business environments, the need for effective leadership is especially critical.

One of the keys to protecting yourself and your business in an economic downturn is to develop a culture that builds, and sustains, effective leadership practices.

Good leadership is good leadership, regardless of the economic climate. However, during difficult times, top-notch leadership skills become even more important. Second-rate leaders might be able to keep a company going in a strong economy. However, you need high-performing leaders to succeed in tough times.

In an economic downturn, you need to conserve your resources so that you can survive. However, you also need to position yourself to benefit as competitors falter, and to be ready when the economy recovers. An economy in decline is often an opportunity to regroup, rethink, and renew. To take advantage of new opportunities, consider doing the following:

* Review your strategy - Figure out which objectives you're meeting, which ones need more emphasis, and which ones you should reconsider or drop as the environment around you changes.

* Lead by example - Now, more than ever, you have to lead 'from the front' by setting an example. Take personal responsibility for customer care and contact. Actively help pursue new business. Show that you're willing to make extra effort to commit to the organization's success.

* Add value - One of the ways that leaders can gain greater market share and improve operations is by really listening to their customers. Look for innovative ways to add value without adding costs, and win customers who aren't being well served by your competitors.

* Use market conditions to create a stronger business model for the future - If you're a senior manager, consider looking for bargains, in terms of mergers and acquisitions, which will improve your company's future competitive position. Whatever level you're at, negotiate more favorable rates with suppliers, which you can continue to enjoy after the economy recovers.

* Take the opportunity to trim costs - Encourage cost-consciousness within your team or organization. Now is a great time to do this - everyone knows that times are tough, and people will be more willing than ever to cut unnecessary costs.

* Implement a continuous improvement plan - Look at your systems and processes to find efficiency opportunities. Lead the way in building a culture of continuous improvement. You can use these savings to pursue the numerous opportunities created by the downturn.

Commit to Your People

Negative messages are all too common during economic downturns. People are losing their jobs, unemployment rates are going up, and personal and corporate bankruptcies are increasing. This can weaken morale, both in the workplace and in society as a whole, and it can tip people into panic, severely damaging their productivity.

It doesn't have to be that way. Don't abandon your people. Use this time to reinforce how important they are, and build the skills they need to help the company survive.

Leadership Book: The 21 Indispensable Qualities of a Leader : Becoming the Person Others Will Want to Follow
From the publisher: "Everything rises and falls on leadership," says Dr. Maxwell, "but knowing how to lead is only half the battle. Understanding leadership and actually leading are two different activities." Dr. Maxwell explains that the key to transforming yourself from someone who understands leadership to a person who successfully leads in the real world is character. Your character qualities activate and empower your leadership ability, or they can stand in the way of your success! In his latest book, Dr. Maxwell discusses several other key attributes to being a good leader including:

* Charisma: The First Impression Can Seal the Deal
* Courage: One Person With Courage Is a Majority
* Problem Solving: You Can't Let Your Problems Be a Problem
* Teachability: To Keep Leading, Keep Learning
* Vision: You can Seize Only What You Can See

If you look at all great leaders of the past and present, you'll find that they possess the 21 qualities that are discussed in The 21 Indispensable Qualities of a Leader. If you can become the leader you ought to be on the inside, you will be able to become the leader that you want to be on the outside. "If you are able to do that," says Maxwell, "you'll find there's nothing in this world you cannot do."