The importance of learning from being wrong

Good leadership and good organizations are complicated mechanisms, but decades of research inform author and professor Adam Grant’s characteristics of success. He shared several of those principles during this week’s Governmental Affairs Conference.

Maintaining a network that will challenge you when appropriate is important, Grant noted, but it’s also important to take stock of why someone is agreeing (or disagreeing) with you.

“I know you have chosen to devote your career to a credit union, so this is a room full of givers,” he said. “Because of that, you have to be really careful to remember that not all agreeable people are givers.  Just because someone is nice does not mean they care. And just because somebody is difficult doesn’t mean they don’t care.

He said he believes honesty is ultimately the highest form of loyalty, and honesty has led to the most constructive feedback he receives. He encouraged the audience to create an environment where people feel free to share ideas.

“We know in financial services organizations and companies, when people have psychological safety, they let their ideas fly,” he said. “And when they lack it, they bite their tongues. So, given the importance of psychological thinking, the question is, how do you build it as a leader? …A foundation of building psychological safety in your credit unions is encouraging people to raise problems, even if they don't know how to fix the issue. That empowers canaries in the coal mine, who are good at detecting threats, to raise them.”

Grant recommended turning “critics into coaches,” not stopping when one hears criticism, but instead figuring out what to do with it.

“Now, sometimes you want to receive that coaching, but in many cases you're in the position, as leaders, of giving that coaching. I know you are dealing with massive pressure and turbulence throughout the credit union world,” he said. “The question is, when you have a new idea, it might be a new vision, a new strategy, a direction for change, how do you coach people who are not necessarily on board with it?”

Too many leaders think like preachers (proselytizing one’s own views), prosecutors (attacking what’s wrong with other ideas), or politicians (only listening when the other person already agrees with your view), Grant said.

“There is a time and a place to preach, prosecute, and politick. But when it comes to unlocking potential and embracing change, there is a better alternative: thinking like a scientist,” he said. “Like a good scientist, have the humility to know what you don't know, and the curiosity to seek new knowledge. Thinking like a scientist means you are motivated to look for reasons why you might be wrong.”