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plummets where there is no effective direction in an ambiguous work environment. A stressed
leader is unable to make clear decisions, and when they do, they are biased and unreasonable,
hence frustrating the employees. If this escalates, employees become demotivate and result in
attrition in some cases (Zhu par.2).
Reduced market share
Low productivity due to unmanaged employees affects the market share for the
organization. This translates to disloyalty among the customers hence reduced market share.
Moreover, a stressed leader may ruin the company’s image, and when the public has a bad
perception or image of the company, then the organization lose its customers and may end up
being liquidated.
Gaps in strategy and execution
Poor leadership due to stressful situations often results in massive gaps between strategy
and execution. This often occurs in the process of communication between departments and the
capabilities to execute the strategies. A stressed leader is like to select people who think and act
like themselves. Therefore, such homogeneous team leads to cognitive gaps in strategy
formulation and execution. Employees will always feel appreciated when their ideas are heard.
However, a stressed leader is in no position to listen to the new ideas from their subordinates.
Moreover, when they listen to them, they are likely to over promise or under deliver, or they may
simply keep postponing on the decision. Therefore, communication gaps and execution gaps
from a stressed up leader creates poor leadership and ultimately poor results (Zhu par. 3).
Low morale and culture mediocrity
Stress in the organization leads to poor leadership among the leaders. With poor
leadership, employee’s improvement is affected where they will remain with same performance