Leadership by Panic (LBP)
(Emotional Decision-Making / Corporate Culture)
A management style where leaders rely on fear and urgency to drive decisions, assuming that stress maximizes performance. This results in a chaotic work environment where employees are always on edge.
Examples from practice
A CEO who makes last-minute budget cuts due to exaggerated financial concerns; a project manager who constantly declares deadlines "impossible" to pressure employees.
Advantages
Creates immediate focus; motivates short-term results.
Disadvantages
Leads to high employee turnover; discourages rational decision-making.