Leading Through Uncertainty: 10 Insights for Senior Leaders

In today’s volatile global business environment, CEOs face unprecedented complexity and scrutiny. The University of Virginia's Darden School of Business, recognized for its strength in general management, stakeholder thinking, ethics and ethical AI, offers timely insights to help executives lead with clarity and principle. Here are 10 strategic imperatives for the modern CEO, drawn from faculty research, timely case studies and external partnerships.

1. Rebuild Trust by Centering Stakeholders

The 2025 Edelman Trust Barometer confirms that business remains the most trusted institution globally — but that trust is conditional — and cannot be taken for granted. CEOs must make and keep stakeholder commitment and focus on long-term value creation. As Darden Professor Ed Freeman, father of the now widely embraced stakeholder theory notes, “When we talk about managing the whole enterprise, we need to think about customers, suppliers, employees, communities, shareholders and society.” For more on stakeholder thinking, and why companies that operate with high purpose and clear ideals have a notable leg up on the competition, see this article on the 40-year journey of stakeholder theory, and learn how the next-generation can carry the torch forward.

2. Practice CEO Activism with Clarity and Courage

Stakeholders increasingly expect CEOs to take principled stands — but doing so effectively requires strategic judgment. In a polarized society, even well-meaning statements and action from corporate leaders can be fraught, and increasingly, CEOs are asking if it is wise to say anything at all. Leaders are caught in the unenviable position of weighing stakeholder expectations versus unknown impact and a questionable ability to mobilize people on the issue. Darden faculty members consider the issue from all angles and provide decision frameworks for evaluating the risks and opportunities of CEO activism.

3. Invest in Purpose-Driven Governance

Governance must extend beyond compliance. Boards and executive teams can serve as stewards of culture, long-term value and stakeholder alignment. A robust and deliberate governance approach can mitigate risk and facilitate growth; conversely, a complacent board invites poor decision-making, or worse, malfeasance. Darden faculty members use empirical research and specific, current examples to explore stakeholder-aligned governance, why so many boards fail to meet the moment, and how to ensure an effective governance structure.

4. Lead Strategic Transformation from the Center

Strategic transformation is often thought to be the imperative of the struggling company, or the legacy organization at risk of disruption. For savvy, future-ready companies, strategic transformation is an ongoing process with the possibility of galvanizing an organization around a promising future. In The CEO Playbook for Strategic Transformation, Professor Scott Snell outlines the four factors that are key to successful transformation, and shares how leaders can empower change networks, build dynamic capabilities, and align transformation with strategy.

5. Reimagine Human Capital for the "New Map of Life"

As people live and work longer, organizations must rethink workforce development to accommodate non-linear career paths, evolving skill sets and a culture of lifelong learning. Darden faculty members emphasize the need for systems that foster adaptable talent and distributed leadership. Their research, along with Darden’s custom programs in human capital transformation, such as those developed with Capital One, illustrates how forward-thinking organizations can build dynamic capabilities for a changing world. For more, see Darden Q&A on functional leadership development, our podcast with Brandon Hall Group on the power of management pathways to drive retention, or explore faculty offerings on managing individual and organizational change.

6. Harness Subtraction to Strategically Manage Change

Navigating workforce reductions requires a balance of strategic decision-making and empathetic leadership. In a time of significant financial and personnel cuts, we often neglect the power of removing complexities to create value. Drawing on Professor Gabrielle Adams' research, strategic “subtraction” of unnecessary processes and structures can enhance clarity and impact during times of transition. This approach provides an opportunity to create a more agile and focused environment to effectively navigate and manage change. Learn more about how to embrace a subtraction mindset to add value for your people and organization.

7. Embed Ethics in AI Strategy

AI presents transformational potential — and risk. From algorithmic bias to the erosion of privacy, executive teams must embed ethics at every stage, from design and deployment stages. Darden's new LaCross Institute for Ethical AI in Business provides tools, research and executive programs to guide ethical, stakeholder-aligned AI strategies. One ingredient essential to unlocking the value of AI is trust. Customers need to trust that their personal data will not be misused. Citizens who rely on taxpayer funded public services need to trust that AI will deliver benefits. Jobholders need to trust that employers will consider the well-being of employees when implementing AI tools in the workplace. For more on building stakeholder trust in AI, see this white paper from three Darden professors.

8. Build Resilient, Ethical Global Supply Chains

As global trade becomes more volatile, supply chains must evolve. Tariffs, geopolitical risk and ESG expectations all shape sourcing decisions. Tariffs can strain supply chains by introducing inefficiencies, raising costs and limiting source flexibility. Global supply chains are like intricately connected webs. A disruption in one part of the world can ripple across the entire network, and global leaders must know when and how to react. Research from Darden professors supported by the Richard A. Mayo Center for Asset Management highlights strategies for resilient and responsible supply chains.

9. Understand Tariffs' Real-World Impact

The influence of tariff policy can be dramatic — it has the power to shape capital flows, consumer prices, geopolitical relations and global competitiveness. Darden economics faculty and affiliated centers offer ongoing analysis of tariff dynamics and their business implications, sharing what industries and products may be most vulnerable, and looking ahead to a range of consequences and potential opportunities. Read about the current state of rapidly shifting tariff negotiations and what a worst-case scenario could entail.  

10. Rethink Capital Flows in a Fragmented World

Despite recent market turmoil, the United States is still where the world invests, and U.S. dollar retains its status as the world’s main reserve currency. Even as the immediate future for global investment is unclear, increased geopolitical friction and monetary divergence require new thinking around capital allocation. Research by Professor Frank Warnock recently cited in the annual economic report written by the chairman of the Council of Economic Advisers, offers insights on the new global financial architecture. Read about the United States’ safe haven status, and how the country serves as a de facto broker between global capital suppliers and investment opportunities.

Learn how Executive Education & Lifelong Learning can help your leaders and team build on these insights through Darden’s advanced management experience for C-suite leaders, The Executive Program, and organizational development solutions. Or access more faculty insights through Darden Ideas to Action.