Written by Yamila Solari – 

Have you ever noticed how your team starts off full of energy—everyone is on board, ready to tackle big goals—only for that spark to fade over time? Suddenly, you realize there is a heavy cloud of negativity hanging over daily interactions. It can catch you off guard, especially when you are deeply immersed in the day-to-day work. Yet, once you recognize the signs, you know something must change.

In my experience coaching teams, these morale slumps often stem from a handful of core issues. Some factors lie outside of the team’s control—company-level decisions, mergers, or major leadership changes. Others, however, are well within a team’s power to address—unclear roles, a lack of transparency, or toxic behaviors that go unchecked. I like to think of these issues in two categories: external (things we cannot fully control) and internal (things we can change ourselves).

When External Forces Take Over (External Locus of Control)

• Leadership Changes or Inconsistency

It is well known that a supportive, empowering leader fosters a collaborative tone. However, if the leadership style changes abruptly or leadership roles become unclear, team members may feel insecure about priorities and direction. This can quickly lead to anxiety and, eventually, a negative environment.

• High-Pressure Environments

Sometimes, companies shorten deadlines or raise expectations without adding resources. Teams then scramble to keep up, which can lead to burnout. When people feel overworked and overwhelmed, patience runs thin and tensions rise—creating an ideal scenario for conflict.

• Lack of Recognition and Growth Opportunities

Few things derail motivation faster than feeling invisible. If team members consistently contribute without acknowledgment—or if there is no clear path for them to develop new skills—they may become cynical or disengaged.
Large Structural Changes (Mergers, Acquisitions, Reorganizations)
Merging organizations often involves blending different cultures, processes, and leadership styles. In the midst of these changes, employees may feel threatened about job security or uncertain about the new direction, which can lead to pervasive negativity.

• Shifting Company Strategy or Values

Suppose your company pivots to emphasize profits over people or makes a drastic change to its mission. Those who joined with a particular vision in mind might feel disconnected or even resentful if they no longer believe in the new direction.

• Other External Stressors

Broader circumstances—such as economic downturns or new market competitors—can put an entire organization on edge. If the team senses looming layoffs or limited resources, tensions may escalate, leading to finger-pointing and blame.

Issues Your Team Can Tackle Directly (Internal Locus of Control)

• Unclear Roles and Responsibilities

Sometimes negativity arises simply because responsibilities are not clearly defined. Tasks may overlap—or worse, fall through the cracks—and frustration builds. If certain teammates end up overloaded while others have significantly lighter workloads, resentment becomes almost inevitable.

• Communication Breakdowns

Inconsistent or delayed updates make team members feel left out, sparking suspicion. The tone of feedback also matters: when criticism is vague or sarcastic, trust erodes. Encouraging honest, direct communication is vital for keeping relationships strong.

• Negative Feedback Loops

A blame culture can spiral quickly if people focus on fault-finding rather than solutions. Once everyone is trying to avoid blame, creativity and healthy risk-taking tend to vanish.

• Toxic Individual Behaviors

In some cases, one or two strong personalities overshadow the rest, or small cliques form. These patterns discourage broader participation—team members may stop sharing opinions or ideas if they fear being dismissed or excluded.

Breaking the Inertia: The Deep Check-In Session

Recognizing a cultural slump is half the battle. What comes next? One effective approach is to pause regular work and hold a Deep Check-In Session (DCS)—a specialized retrospective that allows ample time for meaningful discussion.

• Ground the Team: Begin by having everyone take a moment to note how they are feeling, both physically and mentally.

• Nurture Trust: Start with a simple trust exercise or team-building activity, reminding everyone that it is a safe space to share openly.

• Identify the Core Issues: Use quick brainstorming methods (e.g., sticky notes or digital boards) to list all observed problems. Prioritize those that seem most pressing.

• Distinguish External vs. Internal: Determine which problems the team can address directly and which require help from senior management or other departments. Simply clarifying this can provide a sense of relief and direction.

By the end of a DCS, you should have a clearer view of your team’s concerns and a sense of which issues belong to the team to solve, and which must be escalated.

Handling Internal Issues

When the team itself can resolve an issue, determine the best plan of attack after the DCS. You might schedule a follow-up session to brainstorm solutions and agree on next steps. Or perhaps you need more context—so you talk to individuals privately or consult an expert. In any case, keep the team in the loop so they know progress is being made.

What Matters Most? Listening and Reporting Back

It is not always possible to resolve every concern immediately. Often, simply letting the team know you have heard them and are taking steps to address their issues can restore a sense of optimism. Continue gathering feedback, be transparent about what you learn, and involve the team in deciding how to move forward.

Cultivating a healthy team morale is an ongoing process—there is no quick fix. Yet by confronting problems directly, clarifying their root causes, and showing genuine care for your team’s well-being, you will be well on your way to turning a slump around. After all, there is real value in collective understanding and consistent connection, no matter what obstacles appear along the way.

A Nearshore Perspective

Scio provides dedicated teams of Latin American (LATAM) software engineers to North American clients. In a nearshore environment like ours, transparent communication is vital to delivering the level of service our clients expect. When teams openly discuss blockers, progress, and expectations, they strengthen the collaboration between clients and software development teams—which is why Deep Check-Ins are so important. At the same time, having clear escalation paths ensures that both our managers and our clients’ leadership understand how external factors affect our teams, allowing them to take timely and effective action.

If you would like to learn more about fostering a high-performance culture or explore how Scio’s nearshore teams can support your next project, reach out to us. We look forward to collaborating with you to create thriving, impactful software solutions.