73: Performance Acceleration series - Mastering Risk
Jun 17, 2021
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Explore the importance of mastering risk to achieve stretch performance and reliability. Delve into the barriers to risk mastery in organizations and the need for proactive risk assessment. Balance risk-taking in company culture to foster growth and innovation. Learn strategies for mastering risk in commitments and performance, including anticipating, assessing, and addressing risks. Discover real-world examples of risk reduction and mitigation for successful risk management.
Mastering risk is crucial to balancing stretch performance with reliability in fulfilling commitments.
Two common mindsets that hinder risk mastery are gung ho over optimism and extreme caution, leading to overpromising or inhibiting growth.
Deep dives
Understanding Risk Mastery and Accountability
Risk mastery is vital for individuals to uphold accountability and ensure that they deliver on their commitments. Anticipating, evaluating, and mitigating risks is essential to prevent unforeseen obstacles that may hinder one's ability to fulfill promises. By mastering risk, individuals can confidently make decisions, stretch their capabilities, and consistently deliver on their word, positioning themselves as reliable and proactive professionals.
The Pitfalls of Overconfidence and Extreme Caution
The podcast highlights two common mindsets that hinder risk mastery: gung ho over optimism and extreme caution. The gung ho approach often leads to overpromising and under-delivering, creating a culture where risks are overlooked and weaknesses are concealed. On the other hand, extreme caution limits individuals from taking necessary risks, inhibiting growth, innovation, and the ability to exceed expectations.
Practical Strategies for Risk Anticipation and Mitigation
To achieve risk mastery, individuals are encouraged to engage in risk anticipation, evaluation, and mitigation as daily habits. By consciously assessing potential risks before making commitments, considering the likelihood and impact of threats, and developing risk reduction or plan B strategies, individuals can navigate challenges effectively and ensure successful outcomes. Embracing risk mastery not only enhances reliability but also enables individuals to extend their potential and drive performance excellence.
How can you achieve both stretch performance and reliability – that sweet spot where you can continue to stretch without jeopardising your promises? By changing the way you work with risk.