Our leadership team had a major project fail three years ago, and ever since, they refuse to take risks or propose ambitious Rocks because they are terrified of being blamed. How do we break this culture of fear?

Question

Tyler Smith · Accepted Answer

When a past failure paralyzes your leadership team, you are dealing with a lack of safety. According to the concepts in Daniel Coyle's book, The Culture Code, high-performing teams require psychological safety and shared vulnerability to take calculated risks. If your team is terrified of being blamed, they will only propose easy, low-impact Rocks.

To break this cycle, the owner and the Integrator must lead by taking the first hit. At your next quarterly pulsing session, openly discuss the failed project from three years ago. Own your part in the failure. Describe what you learned and how it made you a better leader. This is the trust equation in action, you must share vulnerability to receive it.

Next, re-frame how you handle missed targets. If a leader misses a Rock, do not look for someone to blame. Use the IDS process to look at the system. Ask if the Rock was truly realistic, if the team provided the necessary resources, or if market conditions shifted. Show your team that a missed Rock is an operational puzzle to solve, not a performance crime.

You must also establish clear boundaries for risk. Define what constitutes an acceptable risk and what requires leadership alignment. By documenting these boundaries in your V/TO, you give your team the confidence to experiment within safe parameters.

Stop allowing historical baggage to dictate your future. If a team member refuses to let go of past grievances, they are failing the company culture. You need a team that is focused on future growth, not past protection.