How Psychological Safety Fuels High-Performing Leaders and Teams

We are a nation of hardworking and dedicated workers who will spend one-third of our lives in the workplace by retirement. The environments we co-exist in, how we are treated, and our ability to make positive contributions are crucial. The 2024 State of the Workforce report by Lyra Health reveals that “work-related stress and burnout” is the second most significant factor affecting employees’ mental health, with 28% of workers citing it as a top concern. Several factors shape how we drive relevance, foster connections, and manage work streams in today’s office. Key influences include the emergence from a global pandemic, navigating a younger, hybrid workforce, adapting to evolving technology, and integrating artificial intelligence. In such rapidly evolving environments, feeling safe at work can be challenging as we strive to be high performers without making mistakes or needing too much from our leaders. 

Creating a culture where employees feel empowered to share innovative ideas, take risks, explore failure without blame, and challenge the status quo fosters a thriving workplace for both employees and leaders. This concept, known as psychological safety, is crucial for developing the next generation of leaders to be capable of managing ongoing change and disruption, retaining employees, and ultimately, driving business success.

What Is Psychological Safety 

The term, coined by Harvard Business School professor Amy Edmondson, is a shared belief among team members that it’s safe to think outside the box, express ideas and concerns, ask questions, and admit mistakes without fear of negative consequences. In simple language, psychological safety is when your brain feels secure and supported in a social setting, where your needs for autonomy, fairness, esteem, and trust are adequately fulfilled. This concept emphasizes the importance of creating an environment conducive to interpersonal risk-taking. 

According to a Harvard Business Review article, fostering psychological safety within teams is important for promoting engagement, motivation, and overall performance. When team members feel comfortable expressing their ideas without being challenged by punishment or judgment, they are more likely to contribute meaningfully and offer diverse perspectives. This open communication enhances decision-making by bringing a wider range of viewpoints to the table. Moreover, psychological safety encourages a culture of continuous learning and improvement, where individuals can acknowledge and learn from their mistakes, ultimately driving innovation and growth. Obviously, this impacts employee retention as well. The same Harvard Business Review article states that while 12 percent of employees with low psychological safety are likely to quit within a year, this risk drops to just 3 percent when psychological safety is high. Other downsides of low psychological safety include low employee morale, siloed teams, and distrust of leadership.

Creating Psychological Safety At Work

A 2021 Dale Carnegie survey of over 6,500 employees from 21 countries found that only one in five workers feel comfortable giving constructive feedback at work. How can leaders effectively implement a culture of psychological safety in a work environment? Good management practices include the following: 

• Establish Expectations – Write an inclusive code of conduct that aligns with the terms of psychological safety so team members know exactly what to expect.  

• Blameless Autopsies – Hold regular meetings to discuss what went wrong with projects without placing blame. Literally, just discuss what happened and what to change moving forward.  

• Open Communication – Prove a safe space for people to talk without repercussion and to problem-solve with invested participants. Focus on the lessons learned. 

• Active Listening – Listen with the intent to learn and provide constructive guidance when necessary.  

• Show Appreciation – Learning from and owning up to mistakes is usually uncomfortable. Consistently show gratitude for team members that are participating and stepping outside their comfort zones. 

Psychological safety is becoming more recognized, and while it’s not yet the norm, it can be achieved by fostering environments where taking risks comes without negative interpersonal consequences — making it a worthwhile goal to pursue for leaders to develop a cohesive work team. 

Unleash your team’s true potential with The Leets Consortium (TLC). A top-tier leadership development group, we have achieved outstanding results for Fortune 500 companies and prestigious organizations globally. TLC specializes in empowering employees through tailored talent development and coaching programs that drive success. We are dedicated to excellence in every aspect of supporting our clients’ leadership initiatives. Contact us today to learn how we can help your organization thrive.