How To Lead When Everything Feels Unstable
Tariffs don't just raise prices; they raise questions.
Will we need to cut labor across locations? Can we afford to open our next unit? Is the corporate brand doing enough to help us prepare?
For multi-unit franchisees, the effects of tariffs, especially in this whiplash environment where policies are announced, paused, then reintroduced, don't always arrive with a bang. They creep in. The uncertainty alone makes it hard to plan, invest, or lead with confidence. What starts as a supplier price hike can ripple into stalled growth, morale dips, and talent loss across every store.
Layer in evolving immigration policy, labor shortages, and the anxiety it creates for team members, especially those unsure about their long-term security, and the people pressure only grows. Employees start asking their own questions: Am I safe here? Will I still have a job? What happens if the rules change again?
The 24-hour news cycle only adds fuel to the fire. Constant headlines, shifting policies, and viral social media speculation create a heightened emotional state for many employees. And when stress enters the workplace, it doesn't stay in the breakroom. It impacts performance, engagement, and even your ability to hit growth goals at the C-suite level.
While global trade and immigration headlines dominate the news, it's the quiet, internal impact, leadership strain, employee stress, staffing instability, and decision fatigue, that wears on you daily.
Tariffs may start as a policy shift, but for franchisees with multiple locations, they quickly become a people issue. And the cost of ignoring it can be far greater than any product markup.
Employee morale
Most multi-unit franchisees are laser-focused on managing efficiency, consistency, and profitability across locations. But tariffs introduce instability that ripples through all three, affecting vendor reliability, delivery timelines, and even the cost of everyday operational items, like packaging, uniforms, or equipment.
When prices jump or inventory becomes scarce, unit-level managers are left scrambling, and without clear guidance from leadership, the result is frustration, misalignment, and burnout.
Frontline staff
You may understand the cause of delays or margin erosion, but your frontline teams often don't. What they do feel is leadership stress, shift cuts, and a tightening of resources. And when people don't know what's going on, they assume the worst.
Left unaddressed, this can erode morale, customer service quality, and retention, especially when hourly staff or managers across units start questioning their future and financial security.
Lead with clarity
One frustrated conversation in a breakroom can spark panic across units. If employees don't feel looped in, rumors take root: Are we downsizing? Will hours get cut again? Is the business struggling?
Multi-unit owners who aren't actively communicating create fertile ground for misinformation, and rebuilding trust after the fact is much harder than maintaining it through honest updates.
Employees today are not just looking for job security; they're looking for emotional stability. Uncertainty wears people down. It's not just about logistics; it's about how it feels to come to work.
Leadership and exit plans
In addition to disrupting operations, economic and policy instability can also stall long-term transition goals. Whether you're grooming a next-gen leader or preparing for a partial or full exit, uncertainty can cloud your decision-making, impact valuation, and delay progress.
But with the right strategy in place, it doesn't have to derail your vision. It may simply be a detour. The key is proactive planning. Having clear contingency plans, succession pathways, and scenario-based financial models helps you stay in motion even if the road ahead shifts. Leaders who wait for "things to settle down" often miss their window.
If you're not sure how to navigate forward, download The Franchisee's Guide to Growth and Transitions, a practical resource to help you evaluate your path, reduce friction, and plan for stability in evolving conditions.
Start at the top
Strong leadership in uncertain times doesn't just happen. It must be engineered. It starts with the CEO or business owner creating space to think clearly often with the help of trusted advisors who can help separate the noise from the signal. If you're leading from a place of panic or paralysis, it's time to step back and build your strategy team because your people are watching.
From there, the strategy must flow:
- The CEO must brief their C-suite and, together, model potential outcomes.
- The C-suite must inform their directors and area managers with clarity and talking points.
- Area managers must communicate to store managers.
- Store managers must guide shift leads and crews.
Every level of leadership needs to be prepared by their manager so that they can lead their team with confidence. If just one level breaks down, the stress trickles down and spreads.
And if you're the CEO and feeling overwhelmed? That's not a failure; that's a signal. Get help. Bring in your advisors, coaches, or consultants to help you reset, refocus, and prepare. Leading a multi-unit business through external turbulence is hard, but going it alone makes it harder.
Action steps by role
For owners and multi-unit franchisees:
- Connect with your team of advisors to evaluate potential tariff and policy outcomes.
- Hold strategic sessions, leveraging the Scenario Planning for Franchisees guide with your C-suite to model what-if impacts across your operation.
- Equip your leadership team with centralized messaging and timelines.
- Stay visible; a monthly video message or email goes a long way to ease fear.
- If you're overwhelmed, bring in outside support to gain clarity and plan confidently.
For C-suite executives:
- Understand how external forces are impacting each department (HR, finance, ops).
- Provide regular updates to area leaders and ensure messages are consistent and aligned.
- Host Q&A or open forums to surface concerns and maintain trust.
For district/area managers:
- Check in weekly with each store manager, and listen more than you talk.
- Use real data and frontline feedback to report issues upward quickly.
- Provide talking points and FAQs that managers can confidently share with their teams.
For store managers:
- Host short, clear team huddles to check in and share consistent updates.
- Lead with calm and care. Your tone sets the tone.
- Reassure your team by emphasizing what isn't changing: values, hours, brand priorities.
For shift leaders/crew trainers
- Be the steady presence, especially when others seem unsure.
- Shut down rumors early and loop in store management.
- Offer encouragement and clarity, especially to new or worried teammates.
Consistency, communication, and culture
Delaying a new opening or freezing raises at one unit is hard, but doing it across five or 15 magnifies the impact. Team members may feel stuck or overlooked. Potential leaders may leave. And the culture you've worked hard to build can start to feel brittle.
Turnover in a multi-unit system doesn't happen in isolation; it creates a domino effect. While you can't control tariffs, immigration policy, or economic swings, you can control how your people experience the uncertainty they create.
And for those evaluating succession or an exit, clarity matters now more than ever. Strategy brings control even in unpredictable environments.
Your response, including your clarity, communication, and consistency, will define whether your team weathers the storm or starts to drift.
Now is the time to lead with confidence, stay visible, and protect the trust that keeps your multi-unit operation strong from the top down and from the inside out.
Kendall Rawls with Rawls Succession Planners knows and understands the challenges that impact the success of a complex, privately held, and family-owned business. Contact us today to arrange a consultation and discover how we can empower you to overcome obstacles and achieve lasting success. Whether you're navigating regulatory shifts or striving to build a top-tier team, we're here to help you thrive in today's multi-unit franchising landscape. For more information, visit seekingsuccession.com or email kendall@rawlsgroup.com.
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