Investing in psychological safety leads to creativity and innovation

Let's face it — financial uncertainty, continual workforce reductions, and rapidly changing technology all mean that today's employees experience drastically less stability at work than previous generations did. As a result, workers are left feeling like they never really know what's around the corner, and this constant feeling of unease poses a significant threat to their psychological safety. 

A lack of psychological safety at work can wreak havoc on employee well-being and the success of an organization. When people feel threatened, their stress, anxiety, and dissatisfaction can be overwhelming. The ripple effects may result in decreased productivity, more frequent absences, and a struggle to adapt to change. 

Companies must create a psychologically safe environment if they wish to avoid these downfalls. In this article, we'll take a closer look at what psychological safety is, why it’s so important, and what you can do to build a foundation of psychological safety. 

What is psychological safety? 

Psychological safety is the collective understanding within a team that it's okay to speak candidly and take risks at work without worrying about backlash. In a psychologically safe space, employees can confidently share their thoughts, ask questions, bring up issues, and own their mistakes without the looming fear of judgment or retribution. This level of trust and respect creates a climate where employees can be their authentic selves, leading to better collaboration, trust, and a more engaged team. 

A psychologically safe space doesn't mean everyone has to agree with each other on every issue — that's not realistic. But it does mean differing viewpoints are respected and employees feel secure enough to challenge the norm.  

The benefits of psychological safety 

Cultivating psychological safety at work is a strategic investment in your workforce that benefits both organizations and their employees. By creating a setting where individuals feel comfortable challenging the status quo, businesses tap into their team's full potential. 

Have you ever had a brainstorming session where everyone’s ideas were downright boring? This may be a sign that team members feel uncomfortable bringing up outside-the-box ideas. Alternatively, when employees are in a space where they know they can get creative and freely share their ideas without repercussions, they start to problem-solve differently. With fewer boundaries in place, employees can think bigger, which ultimately results in more innovative solutions. 

Psychologically safe environments also improve performance and collaboration. If trust and respect are the norm, employees will be more likely to work together effectively, share information openly, and support each other’s efforts. This creates a sense of camaraderie and mutual accountability, which in turn leads to better team cohesion, productivity, and overall performance. 

Plus, psychological safety plays a significant role in boosting engagement and satisfaction. In fact, psychologically safe companies see 76% higher employee engagement. When employees feel secure and valued at work, they're more likely to take pride in their work and go the extra mile. This sense of security also translates to longevity, reducing the costs and disruptions of high turnover. 

How to foster psychological safety 

Fostering psychological safety in the workplace is a team effort, one that leaders and employees must take on together. Here are some practical strategies to create a psychologically safe environment. 

Create open lines of communication: When everyone feels their voice is heard, they're more likely to speak up and share. Creating a space for open, honest dialogue between team members, managers, and leaders is key. Consider scheduling team meetings and one-on-one check-ins designated specifically for feedback at least once per quarter. It's also important to create anonymous feedback channels, like company or team surveys. However, if you’re only receiving anonymous feedback, it’s likely a sign that your team’s psychological safety is low, and prioritizing these efforts is crucial. 

Empower team members to try new things: A 2023 survey by Wiley found that only about half of individual contributors say they feel safe taking risks at work, which means nearly half of the workforce doesn’t feel this sense of safety. Managers should recognize and celebrate when team members try new things — even if they fail — and call out those efforts directly during one-on-one meetings and annual reviews. And when employees try something new and succeed, it’s a great opportunity for their managers to shout it from the rooftops and share their success more broadly across the business. 

Reframe mistakes as stepping stones to growth: Managers should encourage their teams to discuss their mistakes and the lessons they learned from those mistakes. They shouldn’t expect employees to automatically admit to their mistakes, though. Instead, it may be helpful to occasionally ask team members about a mistake they’ve made recently and what they’ve learned from it. Eventually, employees will recognize that it’s okay to say, "I messed up," and to ask for help when needed. 

Common pitfalls and mistakes 

Despite the many benefits of psychological safety, organizations may encounter various challenges when attempting to implement it.  

Overlooking leadership’s role 

One common pitfall is overlooking the critical role of leadership in establishing and maintaining a psychologically safe environment. The reality is, if you want to show employees you care about their wellbeing, leadership has to set the tone for the rest of the business. Leaders must actively demonstrate a commitment to psychological safety by modeling transparent communication, valuing diverse perspectives, and celebrating risk-taking. Without strong leadership support, efforts to create a psychologically safe workplace may falter. 

Focusing only on the individual 

Another common misstep is focusing solely on individual behavior without recognizing the influence of the larger systems and processes at play. While personal actions are vital, an environment that supports psychological safety must be the foundation. This means establishing clear-cut guidelines for respectful communication, avenues for employees to voice their concerns, and a system that values contributions over conformity. 

Cutting out accountability 

And then, there's the myth that psychological safety means letting go of accountability. That's simply not true! Yes, we want to create a space where sharing ideas and owning up to mistakes is encouraged, but that doesn't mean we're not responsible for our actions. In a truly psychologically safe environment, all rules and boundaries can’t be dropped, or else the organization will be back to square one — a chaotic workplace where employees don’t feel secure. 

It’s important to note that accountability must start with leadership. By admitting when they’ve made a mistake, leaders can model ownership of flaws and show their teams that everyone is human and it’s normal to mess up from time to time.   

Measuring your investment in psychological safety 

To measure the success of your investment in psychological safety, you’ll need to take a data-driven approach. This means regularly measuring key metrics and indicators. One of the most important ways to do this is through surveys and feedback, like we touched on earlier. These tools can help you understand how employees perceive psychological safety in the organization and whether they feel they can trust organizational leadership. By analyzing survey data and feedback, you can identify areas where you might need to improve and track progress over time. 

Tracking innovation outcomes is another way to measure the impact of psychological safety. While this will look different for every business, you might keep an eye on the number of patents being filed or successful product launches, or new mediums being used for creative projects. By connecting the dots between these innovation metrics and a culture of psychological safety, we can see the tangible results of an environment that encourages risk-taking and idea-sharing. 

Keeping an eye on how your teams are doing is, of course, the number one metric. Are they collaborating well? Solving problems effectively? Meeting deadlines? Are they speaking up when they have a problem, or throwing out even the most wild ideas for discussion? By looking at these performance and social indicators, we can tell if psychological safety is really boosting team spirit, communication, and productivity. 

Patience and persistence are key 

It's easy to fall into the trap of expecting quick fixes and feeling disheartened if change isn't immediate, but building a culture of trust and security is a marathon, not a sprint. It takes time, commitment, and a whole lot of patience from leaders and team members alike. We have to be in it for the long haul, continually measuring our success and making adjustments along the way. By continually trying new approaches and measuring each one’s success or failure, you can make informed decisions and implement targeted strategies to ensure your organization is psychologically safe. 

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