Something fascinating happened today during one of the Board of Directors presentations that was the culmination of a 4-month business acumen training program. The purpose of the Board of Directors presentations was for each team who had run their simulated company over 5 simulated years to share their strategy, goals, objectives, accomplishments, and guidance looking forward.
Typically, these presentations are very good, but also very straightforward. Well, today, things got a little interesting for one of my teams…
They opened their presentation with the following, “Board of Directors, we stand here before you today humbled. Humbled by our failures, humbled by our behaviors, and humbled by your support of us to fix things and bring our company forward with such great results. During the first three years of our tenure, we did not get along. As a matter of fact, several of us stopped speaking to each other because of the arguments we were having about our strategy and metrics of success. It was an awful, gut-wrenching experience and there were several times each of us was ready to quit the simulation and the program.”
“However, by the fourth year, we got our act together, created alignment, understood our customers, created the perfect value proposition, and executed flawlessly. We went from tears of pain to tears of joy and as you know, we have achieved the highest total shareholder return in our market with an over 125% return including dividends.”
I have been delivering business acumen training sessions for many years and this was one of the most authentic and vulnerable presentations I have ever experienced.
But then something even more interesting happened! We used the presentation as an opportunity to explore and learn about being authentic and how to be vulnerable when one of the senior leaders spoke up, “I hate to burst the vulnerability party here, but what is everyone so happy about? This isn’t real. We may say we are encouraging authenticity and vulnerability, but the executives who run the company don’t really believe in it. We could never make that type of presentation in the real world, as we would be laughed at.”
After some solid discussion, the group concluded that while it’s not yet perfect, the culture is moving in a positive direction where leaders can truly be authentic and show their vulnerabilities.
We then turned our attention to 3 things they can do starting tomorrow to help support that culture. Here they are:
Own “Fail Fast Forward”
Shift the company mindset from avoiding mistakes to seeing them as learning opportunities. Reward and highlight examples where vulnerability led to growth, innovation, or problem-solving. When employees see that vulnerability is tied to positive outcomes and is recognized as part of success, they are more likely to embrace it.
Example: After a project fails, have a debrief session where the focus is on what was learned and how to improve, rather than placing blame.
Support, Nurture, and Create Safe Spaces for Open Dialogue
Establish formal and informal avenues where employees feel safe to express themselves without fear of judgment or repercussions. This can be achieved through team meetings, anonymous feedback tools, or regular check-ins focused on emotional well-being. A culture of vulnerability thrives when individuals feel their voices are heard and respected, even when discussing difficult topics.
Example: Implementing "psychological safety" protocols, where team members are encouraged to speak up about what’s not working without fear of blame.
Lead by Example: Encourage Vulnerable Leadership
Leaders should model vulnerability by sharing their own challenges, uncertainties, and learning experiences. When leaders openly admit mistakes or ask for help, it sets the tone that vulnerability is not a sign of weakness but a path to growth and learning. This can be done in meetings, one-on-one interactions, or company-wide communications. It fosters an environment where team members feel safe being honest about their own difficulties.
Example: A leader sharing a personal story of how they overcame fighting with other leaders and how they overcame the challenges.
In summary, these approaches help build a business culture where vulnerability is valued, ultimately leading to more authentic communication, collaboration, and resilience within the team.