April 8, 2025

Stress Management for Leaders in Times of Crisis

by Our Content Team
reviewed by Keith Jackson
FG Trade / Getty Images

Key Takeaways:

  1. Understand the types of stress: leaders face various stress types during crises. Recognizing these can help to manage them effectively.
  2. Decision-making under pressure: stress can impair decision-making, leading to habitual rather than adaptive responses. It's crucial to develop strategies to maintain clarity and creativity under pressure.
  3. Importance of self-care: leaders must prioritize their own mental and physical wellbeing to effectively guide their teams.
  4. Delegation and distributed leadership: sharing responsibilities and empowering team members can reduce individual stress and enhance organizational resilience.
  5. Transparent and empathetic communication: open, honest and compassionate communication helps build trust and lowers stress among team members and stakeholders.
  6. Seek support: building a support network of peers, mentors or professional help will reduce stress and share the burden.

Leadership can be stressful at the best of times but, during a crisis, the pressure hits a whole new level.

You're expected to make quick, high-stakes decisions, communicate clearly, and handle conflicting priorities while guiding your teams through the chaos with determination and hope. Meanwhile, your own fears and anxieties can bubble under the surface, left unchecked.

It happens to even the most successful of CEOs. For example Tom Blomfield, former CEO of Monzo [1], stepped down in 2021 due to severe anxiety, citing the intense pressures leaders endured during the pandemic. While understandable and courageous, his decision reminds us that leadership and self-care should always go hand-in-hand.

It's like that airline safety message: you have to put on your own oxygen mask first before you can help others. So, if you manage your own stress when faced with a crisis, not only will you be better equipped to handle the challenges, but you'll also lead by example and foster a healthier organizational culture.

In this article and video, we'll explore the unique pressures leaders face during crises and provide research-backed insights and practical strategies to manage stress, ensure effective decision-making, and maintain clarity of thought.

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Note:

We have created a useful checklist of warning signs of stress and effective stress-reducing techniques for leaders in times of crisis. To download the PDF, click here: Stress Management Checklist for Crisis Leaders.

What Are the Causes of Stress in Crisis Situations?

Stress is a complex phenomenon with many contributing factors. According to stress expert Dr Karl Albrecht, there are four main types of stress. Each has its own triggers and characteristics, but in a crisis, they often combine and intensify, leaving leaders pushed to their limits. They are:

  1. Time Stress: you need to respond to changing circumstances fast, often with incomplete information.
  2. Anticipatory Stress: you're facing an uncertain future with potentially serious consequences.
  3. Situational Stress: you feel overwhelmed and lack control over what’s happening in your organization and beyond.
  4. Encounter Stress: you're dealing with conflicts and heightened emotions in the people around you.

In addition, there are a number of core stress factors unique to leadership roles that can become amplified during a crisis:

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Decision Making Under Pressure

Making decisions under pressure is a core driver of leadership stress. When leaders face a crisis, their brains can get stuck in "react mode," making it harder to think clearly and creatively. This can lead even the best leaders to make poor decisions [2].

A 2012 study [3] confirmed this, finding that stress can push people into making habitual decisions rather than adapting to the situation at hand – a crucial crisis management skill.

Feelings of Isolation

The weight of responsibility and the fear of making the wrong call can leave a leader feeling isolated [4]. It's easy to withdraw and shut others out, but that only intensifies those feelings.

Stress can also make it difficult to be patient and approachable, which leaves others hesitant to connect. But those connections are so important for crisis leaders – they offer support, fresh perspectives, and a sense of togetherness in tough times.

Physical Strain

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One of the first things to go when leadership pressure mounts is a good night's sleep. Tossing and turning with worries can leave leaders exhausted and physically drained in the morning.

But, as research shows [5], lack of sleep often triggers a whole cascade of physical problems, from headaches and fatigue to a weakened immune system. It’s a steep price to pay for staying “on” all the time.

Expectation to Have All the Answers

Leadership in a crisis also comes with the heavy burden of expectations. People often assume leaders have all the answers, even when situations are unclear and outcomes unpredictable. This unrealistic standard creates immense pressure and can lead to self-doubt, ”What if I’m making things worse, not better?”

Feeling the need to project confidence while navigating uncertainty adds to the mental and emotional strain of crisis leadership.

Delegation Anxiety

It’s tempting for leaders to take on every task themselves during challenging times. Delegation anxiety [6] arises from the belief that only they can get things “done right,” and this need for control can fuel a lot of stress and exhaustion.

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Managing executive stress means understanding that delegation strengthens teams, frees mental capacity, and enables leaders to focus on what truly matters. There’s simply no way to do it all when every task is as urgent as the next one.

Real-World Case Studies:

Mindtools' own research reveals that the same stressors come up in numerous case studies.

For example, during the 2010 Toyota recall crisis [7], CEO Akio Toyoda faced intense public criticism and felt the weight of responsibility for the company's reputation. He also experienced isolation as he navigated the difficult decisions needed to steer the company through the crisis.

Similarly, during the COVID-19 pandemic, the leadership team at Bengaluru Airport[8] faced intense pressure to protect frontline workers while keeping the airport operational. They also had to make quick decisions with limited information, constantly adapting to changing regulations and public health guidance.

One of the main problems with executive crisis stress is that the different factors rarely appear alone: they tend to come in clusters and can compound each other, making it even more critical for leaders to have the tools they need to handle these extraordinary situations.

Stress-Management Techniques for Crisis Leaders

Leaders who care for their own mental and physical wellbeing encourage others to do the same. The American Psychological Association [9], notes that this sets the tone for an organization’s resilience and stability. It’s basically a case of “lead by example.”

Here are three tips to get you through a crisis and help others in the process. Click on the numbered headings to see more information:

When leadership stress builds, physical techniques can make all the difference. Exercise doesn’t need to be intense – short walks between meetings, desk stretches, or light yoga can lower cortisol, sharpen focus, and lift your mood.

Sleep hygiene is equally important. Stick to a consistent bedtime, avoid late-night screen time, and try winding down with a warm shower or calming routine. Small adjustments can lead to better rest, giving your body and mind time to recharge.

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Want more practical tips for stress reduction? Check out our guide on physical relaxation techniques.

A calm mind is probably the one characteristic any crisis leader needs to possess to stay resilient. Mindfulness meditation is an excellent starting point. Just a few minutes of quiet breathing can ease anxiety and create clarity, and apps like Calm and Headspace make it easier to take up the practice today.

For a quick, practical tool, try box breathing: inhale for four counts, hold, exhale, and repeat. This steady rhythm reduces physical tension and mental noise. Another option is centering, where you focus on a calming physical anchor, like your breath or body posture, to regain control.

Whether it’s a brief pause or a longer session, these habits keep stress from taking the lead. To learn how to develop mental resilience, you can read our full article here.

No leader is an island, though it can certainly feel that way when the weight of responsibility is overwhelming. Peer support offers a natural outlet for sharing challenges and gaining fresh perspectives. Additionally, trusted mentors or leadership networks can provide advice, validation or simply a listening ear. It’s an opportunity to embrace the strength that comes from being part of a team.

But self-awareness is key here. Recognizing when stress becomes truly unmanageable is fundamental to staying not just effective but also authentic as a leader.

In this case, professional support – like executive coaching, therapy, or stress management counseling – can offer targeted strategies during prolonged crises. For example, leadership coaches help clarify decision-making, while therapists address emotional exhaustion.

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Benefits of Sharing the Load of Leadership and Decision-Making

There's an African proverb, "If you want to go fast, go alone. If you want to go far, go together."

It speaks to the power of shared responsibility, which is what distributed leadership is all about. Instead of one leader shouldering all the weight, both pressure and accountability are spread among key leaders within the team. Each of these leaders has the authority to make decisions within their specific area of expertise. This not only reduces stress on any one individual but also creates a more agile and resilient crisis response.

Take OYO’s leadership strategy [10] as an example. During the pandemic, the young hospitality company faced a near-impossible situation: with travel restrictions locking down cities and hotels sitting empty, leaders were staring down plummeting revenues and tough decisions.

However, instead of bottlenecks forming at the top, OYO gave regional CEOs full autonomy to respond to their local challenges.

Leaders on the ground acted fast, cutting costs where needed and finding ways to support frontline teams. They even adapted their business propositions, offering hotels as quarantine facilities to generate cash flow while meeting local needs.

How to Reduce Team and Stakeholder Stress

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Recent studies suggest that leaders who remain present during crises are key to lowering worker stress and burnout [11]. By building team cohesion and boosting morale, they create a stronger foundation for recovery. Of course, that affects stakeholders as well. For them, visible leadership calms fears of chaos behind the scenes and can reestablish trust in the organization’s future.

But how can you create such a positive dynamic as a leader? Here are two effective strategies:

1. Communicate Transparently and Empathetically

When things go wrong, people need to know what's really happening. So, you should never keep them in the dark. Share information openly and honestly, even if it's bad news. This involves three key aspects: always explain the situation, the decisions being made, and the potential impact. That’s the best way to build trust and help everyone feel informed.

A crisis is a confusing and emotional time. People might be scared, angry, or unsure of what to do. An emotionally intelligent leader acknowledges those emotions and responds with compassion. Listen to people's concerns, offer support, and show that you care.

This doesn't mean you must have all the answers or fix everything immediately. Sometimes, just being there and listening can make a world of difference. When people feel heard and understood, they're more likely to trust your leadership and work together to overcome the challenges.

2. Establish Regular Updates

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Regular communication rhythms, such as daily check-ins or weekly briefings, provide at least some stability in uncertain times. People need this to adjust their plans accordingly.

Whether it's a daily email, a weekly team meeting, or a quick morning huddle, establish a routine for sharing information and answering questions as they arise. This proactive approach also helps to reduce speculation and keep the focus on solutions.

Key Points:

As we've explored in this article, crisis leadership requires a unique set of skills and strategies. By understanding the causes of stress, embracing distributed leadership, and prioritizing open communication, leaders can create a more supportive and resilient environment for both themselves and their teams.

Reminder: Download our Stress Management Checklist for Crisis Leaders.

References
[1] Forbes Coaches Council (2022). ‘Leadership and the Overlooked Practice of Self-Care,’ Forbes. Available here. [Accessed 06 December 2024].
[2] Carucci, R. (2017). ‘Stress Leads to Bad Decisions. Here’s How to Avoid Them,’ Harvard Business Review. Available here. [Accessed 06 December 2024].
[3] Starcke, K. and Brand, M. (2012). ‘Decision Making Under Stress: A Selective Review. Neuroscience & Biobehavioral Reviews, 36(4): 1228-1248. Available here. [Accessed 06 December 2024].
[4] Forbes Coaches Council (2023). ‘The Burden of Leadership: Addressing Loneliness,’ Forbes. Available here. [Accessed 06 December 2024].
[5] Blackwelder, A., Hoskins, M. and Huber, L. (2021). ‘Effect of Inadequate Sleep on Frequent Mental Distress,’ Preventing Chronic Disease, 18. Available here. [Accessed 06 December 2024].
[6] Finkel, D. (2023). ‘Overcoming Delegation Anxiety,’ Inc.com. Available here. [Accessed December 06, 2024.]
[7] Kyriazis, P. (2019). ‘Toyota Recall Crisis Management & Corporate Culture Vitality,’ Piraeus Journal for Global Business and Community, 7(1). Available here. [Accessed December 06, 2024.]
[8] Baishya, S. and Bajaj, G. (2022). ‘Bengaluru Airport: Crisis Leadership Through a Pandemic,’ Ivey Publishing, Case-Reference no. W25429. Available here. [Accessed December 06, 2024.]
[9] American Psychological Association (2020). ‘Leaders and Crisis Management,’ American Psychological Association. Available here. [Accessed December 06, 2024.]
[10] Kukul, Y., Thakur, K., & Jena, L. K. (2023). ‘Exploring Crisis Leadership During COVID-19: A Case Study on OYO,’ Business Perspectives and Research, 12(3). Available here. [Accessed December 06, 2024.]
[11] Durham University Business School (2024). ‘Leaders Who Are Present in Times of Crises Reduce Worker’s Stress and Burnout,’ Durham University Business School. Available here. [Accessed December 06, 2024.]

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