Mercy Corps' CEO highlights a nuanced form of organizational grief: it's not just mourning what was lost, but also the future that 'could have been.' Acknowledging the death of a planned strategy, like a major rebrand or expansion, is a critical step for leaders and teams to process major setbacks and move forward.
Using the story of a closed factory, Hamdi Ulukaya illustrates that what initially appears to be a devastating event can become a catalyst for unprecedented positive change. This leadership mindset reframes challenges not as setbacks to be endured, but as chances to rebuild stronger.
Instead of tightening control during a crisis, CEO Jada McKenna deliberately handed off critical decisions to team members who weren't as involved in the initial trauma of layoffs. This strategy diffused leadership away from the most exhausted executives, giving them a needed break and preventing deeper burnout.
Entrepreneurs often view early mistakes as regrettable detours to be avoided. The proper framing is to see them as necessary, unskippable steps in development. Every fumble, pivot, and moment of uncertainty is essential preparation for what's next, transforming regret into an appreciation for the journey itself.
Beyond 'fight or flight,' Mercy Corps' CEO identifies a third, more dangerous crisis response: 'freeze.' She argues that holding still or failing to adapt guarantees a slow demise. For leaders facing existential threats, radical rethinking is the only viable path forward, even when the future is uncertain.
Counterintuitively, don't rush to get back up after a failure. Linger in that moment to deeply understand the reasons for the loss. This analysis is what allows you to rise again smarter, stronger, and more resilient, preventing you from repeating the same mistakes.
Intuition is not a mystical gut feeling but rapid pattern recognition based on experience. Since leaders cannot "watch game tape," they must build this mental library by systematically discussing failures and setbacks. This process of embedding learnings sharpens their ability to recognize patterns in future situations.
A structured exercise for unpacking grief involves making three lists: 1) the good things you've lost, 2) the bad things you no longer have to tolerate, and 3) the unrealized future hopes and dreams. This provides a complete emotional accounting of the loss.
After losing a $16 million account, the founder's reaction was to spend less than a minute on the news before moving on to the next task. The time to prevent the loss was in the past. Once it happens, dwelling on it is useless. The only productive action is to immediately focus on what's next.
When strategic direction is unclear due to leadership changes, waiting for clarity leads to stagnation. The better approach is to create a draft plan with the explicit understanding it may be discarded. This provides a starting point for new leadership and maintains team momentum, so long as you are psychologically prepared to pivot.
After facing failure or injustice, the natural tendency is to focus on the loss. However, progress depends on shifting focus to your remaining assets. The resilience, wisdom, and strength gained from surviving hardship are powerful resources that are more than enough to build your future.