Can tough economic times be the catalyst for strengthening relationships in an organization? Can tough times help an organization clarify and stay true to its values? Can tough times strengthen organizational performance?

Yes they can, if the leadership can help the organization stay deeply anchored in its soul in the midst of stormy seas. A leader must play two roles, must know how to be both a spiritual leader and a competent manager. These two roles rise to the fore in tough times more than in any other time.

At Pendle Hill, a Quaker study center near Philadelphia, the annual board meeting occurred in late October 2008, just a few weeks after the crash of the stock market. Board members came to the meeting suspecting that Pendle Hill’s endowment had suffered substantially.

Lauri Perman, Pendle Hill’s executive director, knew going into the board meeting that Pendle Hill’s “biggest challenge was not financial but spiritual.” She knew that the temptation of board members would be to give in to fear, and that if one person spoke at the board meeting from a stance of fear, that fear could be contagious. She knew that decisions made from a place of fear would likely be overly reactive, and would be recognized, in retrospect, as weak decisions. She knew that it was important for the board to remain calm, to make decisions from a place of calm rather than from a place of fear.

Lauri knew that fear that arises and is not acknowledged in a group can become corrosive. In the midst of the financial crisis, Lauri had continued to practice meditation and prayer, both individually and corporately, at the daily Pendle Hill meetings for worship and in staff and committee meetings. Through these times, Lauri felt guided to address directly the fears of board members when she met with them. She knew that her job “was to stand firm even when I was feeling buffeted.”

Lauri played both roles in her opening remarks to the board. First, she provided the intellectual information the board needed, giving them accurate information about the status of the endowment and about her strategies for addressing the situation. Second, she addressed the emotional and spiritual needs of the board, realizing they needed a contagion of hope, confidence, and faith. (To be continued in Part 2.)

Margaret Benefiel, Ph.D., author of "Soul at Work” and "The Soul of a Leader" works with leaders in healthcare, business, churches, government and non-profits to help them stay true to their souls. Visit her website at www.ExecutiveSoul.com. © Copyright 2009 by Margaret Benefiel.