From Paralysis to Purpose: Reclaiming Executive Confidence in Turbulent Times

In times of uncertainty, the hardest decision is often to decide at all. How can leaders make confident decisions based on circumstances and challenges that change by the day?

In boardrooms across the globe, a quiet crisis is unfolding. It’s not a crisis of capital or capability, but one of confidence. As geopolitical tensions escalate, regulatory frameworks shift, and economic signals become increasingly unclear, many executives are hesitating. Strategy meetings drag on. Hiring is delayed. Plans to expand lose momentum. Surrounded by relentless uncertainty, even the most seasoned leaders are second-guessing their next move. 

Volatility is nothing new to business. Yet, according to a 2025 joint report by the Manufacturers Alliance and Roland Berger, uncertainty is now more than twice as high as during the Great Recession. Tariff instability, strained international trade relations, restrictive immigration policies, and the growing unpredictability of global politics have left decision-makers in a prolonged state of hesitation. In fact, the Roland Berger report suggests that 90% of North American manufacturers report that geopolitical risk is hindering strategic development, and companies pulling back on capital expenditures due to uncertainty are now facing profit contractions and losing talent faster than they can replace it.  

However, this phenomenon isn’t confined to manufacturing. As Mike Dergis, Managing Partner at Signium USA in Detroit, MI, puts it:

“In all sectors, we’re seeing less willingness to make decisions at the executive level. Leaders are waiting for things to become more certain before acting, but clarity isn’t coming. The result isn’t immediate failure; it’s paralysis. In many ways, that’s more problematic.” 

Why is executive confidence faltering? 

This erosion of confidence is evident across numerous sectors. Hiring cycles stretch indefinitely, even when roles are critical. Promising candidates accept offers only to withdraw days later, gripped by what some are calling “job hugging” – a reluctance to leave the known, even when it no longer works. 

This symptom is only the tip of the iceberg. Executive confidence is faltering for multiple, compounding reasons: 

1. Risk overload and signal noise 

Today’s leaders face an abundance of conflicting risk signals, from tariffs and supply chain shocks to climate, energy, and cybersecurity disruptions. Discerning which signals are meaningful versus noise can become a paralyzing task. 

McKinsey reports that CEOs are inundated with threats, and many struggle to filter them, asking, “What is noise, what is a real risk signal, what should I act on now, what should I wait on?”  In other words, excessive volatility and ambiguity strain the cognitive bandwidth executives need to lead. 

2. Policy whiplash & unpredictability 

When well-intentioned policies produce adverse outcomes, it distorts the usual logic that guides business decisions. This unpredictability causes leaders to err on the side of delay. 

These fears aren’t unfounded. Recent policy decisions have shown how well-intentioned strategies can backfire. Dergis provides an example: “Ford Motor Company assembles many of its trucks in the United States, yet because it relies on imported aluminum, it faces significantly higher tariff costs due to manufacturing domestically. It’s a classic example of how policies end up having negative, unintended consequences. These kinds of constraints leave few options for executives to reliably choose from.” 

3. Shrinking risk appetite 

The current environment is prompting many executives to rein in their ambitions. According to Gartner, about half of CEOs plan to reduce their risk appetite in 2025 to 2026 in response to geopolitical pressures and trade uncertainty. In practical terms, that means fewer bold bets, more incremental pivots, and less confidence that any of their bets will actually yield a return. 

4. Declining trust & confidence in teams 

Confidence is both individual and collective. When executive teams lose cohesion or alignment, personal conviction quickly gives way to collective hesitation. 

In many organizations, strategic alignment has been replaced by fragmented priorities and internal caution. When leadership teams appear divided or reactive, it amplifies uncertainty from the top down, and confidence deteriorates across hierarchies and departments. 

5. Perceived signal of weakness in expressing uncertainty 

Leaders often fear that expressing uncertainty will be interpreted as weakness, and social science research supports this concern. When leaders admit to uncertainty, they’re sometimes perceived as less competent and less effective. The internal tension between acting with authenticity and maintaining perceived authority makes leaders hesitant to lead openly, even when transparency could be used to strengthen trust. 

6. External pressures & lack of control 

Inflation, rising interest rates, and persistent supply chain costs have tightened financial margins. This leaves executives with less room and less confidence to make bold moves. At the same time, geopolitical instability and regulatory unpredictability have created the sense that external forces are driving the business agenda more than leaders themselves. 

Dergis shares his thoughts: “Over time, business leaders might feel as though they can’t win, regardless of the decision they make. They lose confidence in their ability to make the right call… because there doesn’t seem to be a right call.” 

The hidden cost of inaction 

When the cost of a wrong move seems higher than the cost of no move, hesitation feels like the safest option, but leadership indecision ripples outward in many ways.  

• Loss of momentum 

Teams lose focus and motivation when leaders delay decisions for too long. 

• Erosion of trust 

Employees and stakeholders begin to doubt leadership’s direction or conviction. 

• Missed opportunities 

Competitors that act faster capture customers, partnerships, or markets first. 

• Innovation stagnation 

Projects stall, ideas go cold, and creative energy fades when decisions are perpetually “under review.” 

• Cultural drag 

A wait-and-see culture can spread, making employees hesitant to take initiative. 

• Talent attrition 

High performers are more likely to leave organizations that seem stuck or indecisive. 

• Financial inefficiency 

Delayed projects become costlier over time as prices rise or resources expire. 

• Reputational risk 

Prolonged hesitation can make a company appear weak or uncertain to investors and customers. 

Four key principles that build confident leaders 

True confidence grows in environments with clear direction, collective agility, and courage. Dergis elaborates: “Stability and certainty are like unicorns these days – everyone’s looking for them, but do they even exist? To confront the inevitable surprises, leaders should shift from seeking certainty to calculating fast responses to change, even without all the answers.” 

Here are four key principles to develop executive confidence in turbulent times: 

1. Make decisions on today’s facts  

“Waiting for perfect clarity is a trap,” says Dergis. Leaders must act based on the best available data, with the understanding that conditions may change at any time.  

2. Adaptability over rigidity 

Strategy should be rooted, but not rigid. Dergis notes: “Your strategy can’t be fixed in stone. You need a clear end goal, but be willing to make adjustments to get there.” 

3. Lead with a “North Star” 

When uncertainty obscures the road ahead, clarity of purpose becomes paramount to providing the reassurance that stakeholders and teams need about the future. A shared purpose gives people a sense of hope and direction, and serves as a reminder that even in uncertain times, the organization knows where it’s going.  

4. Awareness without fixation 

Leaders should stay attuned to what’s happening in the world, but they can’t let those forces dictate every move. Confidence stems from striking a balance between being informed enough to adapt when needed and being focused enough to stay committed to the organization’s strategy and goals. 

Practical tools that rebuild executive confidence 

The most effective leaders do more than merely grit their teeth through times of uncertainty. They equip themselves to act within it. The following tools and practices can turn moments of hesitation into momentum: 

1. Workshop scenario strategies 

Effective scenario planning allows for flexibility without falling into the trap of “what-if” paralysis. Leaders should plan for several plausible outcomes and focus on response readiness rather than precise prediction. 

2. Use technology and digitalization 

Real-time data and predictive analytics enable leaders to identify risks and outcomes before committing to decisions. At the same time, automation and collaboration platforms help teams work smarter and bridge talent gaps when specific skills are hard to find. According to the Manufacturers Alliance / Roland Berger 2025 report, 94% of manufacturers say geopolitical risk is influencing their digitalization strategy. This is a poignant reminder that technology now provides leaders the visibility and speed they need to make confident decisions in uncertain times. 

3. Explore training and talent development 

When leaders feel that they can trust their teams to respond to change smoothly, they’re able to plot new courses with increased confidence. Investing in employee capability, cross-training, and leadership development is a powerful way to foster an adaptable and enthusiastic workforce.  

4. Implement transparent communication 

Remaining silent about challenges breeds speculation and fear – the perfect storm for misinformation and misdirection. On the other hand, clear internal and external communication about strategy, hiring, and goals reassures employees and partners, even when the path ahead appears complex. 

5. Tap into peer networks 

Executives who tap into their networks for feedback and perspective are less likely to spiral into indecision.  

“As the saying goes, it gets lonely at the top,” Dergis notes. “This is felt hardest by leaders who must shoulder the responsibility of making major decisions in the midst of constantly changing external challenges. Peer networks have the potential to become active partners that help to shape strategy. Leaders can sanity-check their instincts and avoid second-guessing – simply by reaching out to those they trust for additional perspective.” 

Executive confidence in action: How tech firms are responding to visa constraints 

When uncertainty strikes at the heart of a company’s talent pipeline, confident leaders find ways to act decisively rather than wait for policy clarity. That’s precisely what many U.S. technology firms have done in 2025, following dramatic changes to the country’s H-1B visa program. 

Earlier this year, the U.S. administration announced a steep increase in the cost of H-1B applications. They raised the price from $1,000 to $100,000 per petition as part of a broader immigration reform package. The policy was aimed at reshoring jobs, but the impact on tech hiring was immediate. The H-1B program has long been the industry’s lifeline for bringing in global talent, particularly software engineers and data specialists. However, with the new fee structure, even large companies balked at the expense and administrative burden, prompting an urgent reevaluation of their workforce strategies. 

Rather than placing a hold on hiring international talent, many firms pivoted toward “nearshoring”. By building or expanding technology hubs in Canada and Latin America, proximity, time zone alignment, and robust digital infrastructure allowed for seamless collaboration with U.S. teams. As a result, recruitment consultancies and talent platforms in Toronto, Bogotá, and Mexico City report a sharp rise in cross-border hiring demand since mid-2025. 

The nearshore model demonstrates a blend of agility and stability that restores executive confidence: 

• Continuity in capability 

Companies retain access to skilled talent without being constrained by U.S. immigration bottlenecks. 

• Speed to execution 

Onboarding times dropped from months to weeks, allowing critical projects to proceed on schedule. 

• Risk diversification 

Distributing teams across jurisdictions reduces the impact of any single country’s policy volatility. 

• Cost control 

By hiring talent in nearby but lower-cost, stable markets, companies spend less on wages and red tape, leaving more budget to invest back into growth. 

In July 2025, the Canadian government launched a Global Tech Talent Fast Track initiative to attract professionals displaced by U.S. visa restrictions, positioning the country as “North America’s innovation gateway”. Companies that had already established small satellite offices were able to scale up rapidly, turning what began as a crisis management response plan into a strategic advantage. 

“This movement exemplifies confidence in action,” says Dergis. “Faced with geopolitical and policy turbulence, tech leaders reframed constraints as catalysts for adaptation and opportunity. In doing so, they safeguarded their business continuity and laid the foundation for further expansion.” 

From confidence crisis to courageous confidence  

As once stated by John F. Kennedy, “There are risks and costs to action, but they are far less than the long-range risks of comfortable inaction.” Confidence isn’t about bravado. It’s the discipline of acting with imperfect information and the resilience to adapt when reality shifts. 

Leaders who hold their nerve – those who commit to direction, and course correct when needed – will differentiate themselves during uncertainty, instead of merely surviving it. In closing, Dergis comments:

“In conditions where volatility is the norm, the real crisis is indecision.  Executive confidence means trusting your judgment enough to decide in the moment, learn along the way, and keep leading forward.”