During an organizational crisis, we investigate the nature of team members’ relationship with their leader, team dynamics, and outcomes for individuals and teams. We studied an organizational crisis unfolding at three public hospitals facing a bed shortage crisis. Leaders (n = 24) and their team members (n = 150) completed surveys that were matched. Leaders rated themselves and each team member individually; and team members independently rated themselves and their leader. The survey data was analyzed to differentiate the effects of between-team versus within-team variance using multilevel models. Overall, our results speak to the positive associations of leader-member exchange (LMX). When individuals felt higher on LMX than their team average, they were rated as performing better, had lower turnover intentions and higher team potency. Further, teams that were higher on LMX reported fewer turnover intentions, and were more creative. Core self-evaluations (CSE) were also linked to positive outcomes. Particularly in contexts of weak leaders (i.e., when their team rated them low in LMX and low in expertise), positive core self-evaluations were associated with better leader-rated performance. Moreover, teams with higher CSE had higher team potency. Implications for this research and future research directions are provided.