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Trevor Parker

Managing Negativity Bias in Operational Analysis

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Managing Negativity Bias in Operational Analysis and Strategic Problem-Solving

At NorthCo, our work often centres around identifying operational efficiencies, guiding contingency planning, and solving strategic challenges. Conducting in-depth operational reviews, planning for potential risks, and designing actionable strategies demand a careful balance of objective analysis and forward-looking optimism. Yet, as we delve into these high-stakes assessments, a common human tendency – the “negativity bias” – can sometimes cloud our judgement, subtly pushing us to focus disproportionately on risks over opportunities.

Negativity bias, a hardwired evolutionary response, favours attention to potential threats, which has served humanity well for survival. But in today’s business environment, this bias can lead to overly cautious decisions, missed opportunities, and an imbalanced focus that limits growth. In NorthCo’s context, understanding and managing negativity bias is crucial to delivering balanced and actionable solutions for our clients. Below, we explore how negativity bias can affect operational analysis, contingency planning, and problem-solving, and we provide actionable strategies to counteract it.

The Role of Negativity Bias in Operational Leadership

In operational and strategic consulting, our ability to objectively assess and guide our clients’ next steps is essential. However, negativity bias can lead us to overemphasise potential pitfalls or problems, obscuring an objective view of both the current state and the optimal path forward. For example:

  • Operational Analysis: In operational reviews, focusing too heavily on deficiencies without balancing them against strengths can lead to an overly negative portrayal, which may cause clients to adopt overly conservative measures, limiting potential growth.
  • Contingency Planning: When preparing for risks, it’s natural to be cautious, but too much focus on worst-case scenarios can restrict proactive problem-solving and result in overly complex or costly safeguards that may not be necessary.
  • Strategic Sessions: In strategy development, an overemphasis on past challenges or potential obstacles can detract from the client’s vision and make it difficult to pursue bold initiatives.

A critical aspect of NorthCo’s role is to help clients achieve a balanced perspective that acknowledges risks while also focusing on their strengths and opportunities. By understanding negativity bias and its effects, we can guide clients toward well-rounded, resilient solutions.

Identifying Negativity Bias in Analysis and Planning

Recognising negativity bias is the first step in countering it. In our engagements, the following signs can indicate negativity bias is impacting our assessments or strategic recommendations:

  • Overemphasis on Shortcomings: If operational reviews dwell primarily on what’s wrong without sufficient attention to operational strengths, we risk undervaluing existing assets that could form the basis for future growth.
  • Avoidance of Bold Solutions: In contingency planning, a disproportionate focus on failure scenarios can prevent us from presenting forward-looking solutions or advocating for growth opportunities.
  • Echoing Past Problems: Focusing excessively on past missteps during strategy sessions can stifle innovation and reinforce outdated narratives, rather than promoting a proactive approach to future challenges.

Identifying these tendencies during planning sessions or reviews enables us to course-correct and maintain an objective stance.

Strategies to Overcome Negativity Bias in NorthCo’s Services

To deliver balanced solutions, NorthCo applies the following strategies to ensure that our assessments, planning, and problem-solving approaches maintain a forward-thinking and constructive focus:

  • Highlight Both Strengths and Challenges: In operational reviews, we ensure a comprehensive assessment by presenting strengths alongside areas for improvement. Recognising existing efficiencies not only boosts morale but also informs realistic, sustainable action plans.
  • Frame Contingencies with a Growth Mindset: When discussing potential risks, we balance this with considerations for positive outcomes. Rather than focusing only on what could go wrong, we work with clients to identify opportunities that could arise in different scenarios, encouraging a mindset that is both cautious and growth-oriented.
  • Incorporate Balanced Feedback Loops: During strategy sessions, we guide clients to reflect on both achievements and setbacks, supporting a culture that learns from the past without being bound by it. By celebrating what works, we empower teams to carry forward effective practices while addressing improvement areas.
  • Use Constructive Language: Our team takes care to use balanced language that accurately conveys both the challenges and opportunities facing the business. Instead of framing an issue as a failure, we might present it as an opportunity to strengthen processes or realign resources. This approach fosters a positive perspective even in challenging conversations.
  • Promote a Collaborative Review Approach: Rather than merely pointing out problems, NorthCo’s approach involves the client team in developing solutions. This fosters buy-in and promotes a shared focus on overcoming challenges, as well as recognising the potential for growth and success.

Countering Negativity Bias in Business

To manage negativity bias effectively, businesses can adopt structured practices that promote a balanced approach to risk and opportunity. These methods help leaders maintain an objective perspective and make decisions that are as informed by possibilities as they are by risks:

  • Use Balanced Scorecards: Regularly track both positive and negative performance metrics to ensure decisions are informed by a full picture of company health.
  • Implement Scenario Planning: Weigh both risks and rewards in strategic decisions to counterbalance a natural focus on threats.
  • Encourage Constructive Feedback: Ensure feedback sessions focus on strengths as well as areas for improvement, reinforcing positive behaviours and achievements.
  • Regular Review of Innovations and Successes: By consciously reviewing successes and lessons from previous achievements, leaders can shift focus from just solving problems to seeking growth opportunities.

Creating a Positivity-Conscious Framework for Clients

An integral part of NorthCo’s service is helping clients create an environment that balances caution with optimism, especially in high-stakes or operationally complex scenarios. We apply the following methods to help clients counter negativity bias within their own teams:

  • Emphasise Successes During Debriefs: After operational analysis or strategic sessions, we actively highlight successes and positive aspects, showing how these can be leveraged for future growth. This helps instil a mindset focused on continuous improvement rather than fear of failure.
  • Encourage a Future-Focused Vision: In contingency planning and strategy, we encourage a “what could be” mindset, helping teams envision the potential rewards of calculated risks. By encouraging a forward-looking approach, we equip leaders with a perspective that looks beyond current issues to future possibilities.
  • Conduct Regular, Balanced Reviews: We recommend regular reviews that objectively assess both successes and areas for improvement. This practice enables clients to make informed decisions without dwelling disproportionately on setbacks, keeping morale high and focus sharp.

Building a Resilience-Oriented Culture

At NorthCo, we believe that resilience is essential for navigating business challenges, particularly in dynamic or high-risk environments. A resilience-oriented culture doesn’t simply bounce back from setbacks; it leverages them as learning experiences, which in turn reduces the influence of negativity bias. Here’s how NorthCo helps organisations cultivate resilience:

  • Encourage Adaptive Problem-Solving: We train leadership teams to approach challenges with flexibility, assessing multiple solutions rather than fixating on a single path. This adaptability ensures that teams can pivot effectively when facing unforeseen issues.
  • Integrate Continuous Learning Practices: NorthCo’s strategy sessions include reflection exercises that encourage learning from both successes and challenges. By fostering an environment that views setbacks as learning opportunities, we help teams embrace a growth mindset.
  • Strengthen Team Collaboration: A resilient culture thrives on collaboration, where different perspectives can balance the natural tendency toward negativity. We promote open communication channels and regular team dialogues, which help team members feel supported and reinforce a shared commitment to collective success.

NorthCo’s Approach to Balanced Leadership

Counteracting negativity bias requires a deliberate and structured approach. NorthCo specialises in creating this balance, providing clients with tools to build resilience and optimism into their strategic planning and operational analyses. By focusing on both challenges and opportunities, we ensure that our clients are equipped to make confident, well-rounded decisions that drive sustainable growth.

Ready to overcome negativity bias in your organisation? Contact NorthCo to explore how we can help your team achieve a balanced perspective that empowers success.

Research and further reading

  1. Research on Negativity Bias – American Psychological Association’s article on negativity bias.
  2. Behavioural Economics and Loss Aversion – Daniel Kahneman’s work on loss aversion, Khan Academy – Nobel Prize references for behavioural economics.
  3. Mindfulness in Business – Harvard Business Review’s articles on mindfulness in leadership, available on HBR.org.
  4. Building Resilience in Teams – McKinsey (McKinsey.com) and Forbes(forbes.com) articles about fostering resilience in workplace culture.

About the Author

Trevor is the Managing Partner of NorthCo, a fellow of the Institute of the Motor Industry and a member of the Institute of Interim Management. Trevor is a respected C-Suite leader, Chairman and professional Interim Leader. For over a decade, he has provided interim leadership solutions to private equity, venture capital, and asset-backed firms. Whether it’s to stabilise a business during a turbulent trading period, fill a temporary skills gap or support a management team to navigate challenging situations, Trevor’s wealth of experience and proven track record in delivering value creation and retention plans demonstrate his ability to lead and support operational management teams effectively. To find out more about his approach, explore his LinkedIn profileand read what others say about Trevor.

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Trevor Parker

Why Can’t Interim FDs “Really” Fix Operational Issues?

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When businesses encounter turbulent times, it’s tempting to bring in an experienced Interim Finance Director (FD) to steady the ship. With cash flow under pressure and bottom-line metrics needing scrutiny, who better than a finance expert? But here’s the twist: if the issue is operational, a finance-focused leader may only scratch the surface without getting to the core problem.

The Pitfall of the “Obvious” Solution

Imagine a business struggling with classic financial symptoms — rising costs, declining profits, sluggish cash flow. The inclination might be to address these directly, tightening budgets, restructuring debt, optimising cash flow. While these steps may be essential, they often only treat the symptoms, the “obvious” pain points, rather than the root causes.

An Interim FD, for all their expertise, may view operational issues mainly through a financial lens, potentially missing deeper causes beyond the balance sheet. When a business faces operational challenges, it needs an interim leader with an operational background who instinctively asks: “Yes, but what’s the real issue here?” Without this operational insight, a purely financial approach might even compromise the long-term health of the business. Quick fixes aimed solely at financial metrics can create underlying stress points in the operation, resulting in team burnout, reduced efficiency, and ultimately a weakened competitive position.

Finding the Real Issue Beneath the Surface

A true operational problem solver knows that the first explanation often obscures the root cause. They won’t stop at initial answers but look beyond the obvious, drilling into details, understanding processes, and connecting the dots. An interim leader with a solid operational background can be invaluable in this way — they’ve seen how inefficiencies, cultural friction, or outdated workflows create hidden bottlenecks that manifest as financial symptoms.

Avoiding the Advice Trap

In The Advice Trap, Michael Bungay Stanier explores how rushing to provide answers can lead to surface-level solutions, overlooking complex underlying problems. For interim leaders, The Advice Trap offers a powerful reminder: effective problem-solving starts with curiosity, not quick answers.

An experienced operational interim doesn’t fall into this “advice trap.” Instead, they stay open, listen deeply, and ask probing questions, letting the full story emerge and building a multi-faceted view. When they finally act, it’s with a clear understanding of both symptoms and underlying causes.

Practical Questions to Ask

To truly uncover operational issues, a skilled interim will ask questions that go beyond the surface. Here are a few examples of questions that help cut through to the root of the problem:

  • “What specific challenges are hindering this process?”
  • “Why has this process been done this way until now?”
  • “If this challenge were resolved, what new challenges might emerge?”
  • “Who else should we consult on this?”
  • “What makes this issue complex or challenging to resolve?”

These questions prompt the team to think critically and deeply, helping ensure solutions are comprehensive and sustainable.

Key Characteristics of an Effective Operational Interim

Here’s what distinguishes a truly effective operational interim:

  • Curiosity and Open-Mindedness: They dig deep, seeking to understand before acting.
  • Empathy and Emotional Intelligence: They can read the room, engaging team members at all levels, creating openness to change.
  • Adaptability and Resilience: They stay agile, adjusting their approach when conditions shift.
  • Unbiased Perspective: As an outsider, they bring a fresh view, challenging assumptions and spotting hidden issues.
  • Results-Focused, Collaborative Leadership: They empower the team to achieve sustainable results, focusing on leaving the team stronger than before.

Getting the Team Onboard

Successful change requires more than expertise; it demands a blend of authority and approachability. The best interims gain the trust and commitment of the whole team — a critical factor in ensuring operational improvements stick.

An effective interim leader knows that true success lies in harnessing the team’s knowledge to uncover solutions and overcome obstacles together. Rather than imposing fixes, they create a culture of collaboration, leading the team to dig into pain points and develop solutions they feel ownership of.

Long-Term Impact and Cultural Shifts

An impactful operational interim doesn’t just solve immediate issues — they build a culture of continuous improvement:

  • Creating Momentum for Lasting Improvement: They encourage the team to question practices, creating a foundation for long-term progress and resilience.
  • Developing Champions of Change: A successful interim leader empowers team members to be champions of change, leaving behind a team ready to tackle future operational challenges confidently and independently.

Reflection and Call-to-Action

Reflect on your current challenges: Are you tackling surface-level symptoms or focusing on the root cause? When you bring in interim support, are you choosing someone who empowers your team to drive sustainable improvements? Remember, prioritising operational insight over financial metrics alone may be the difference between a short-term fix and long-term success.

If you’re ready for true operational transformation, consider bringing in an operational interim who won’t stop at the first answer but will dig deep and bring your team along on the journey. With the right interim at the helm, operational success becomes a team effort — and the entire organisation moves forward together.

By recognising the risks of a finance-first approach to operational issues, leaders can safeguard their business’s long-term prospects. True success often requires seeing beyond the balance sheet, aligning operational improvements with a culture that values transparency, collaboration, and continuous growth.

About the Author

Trevor is the Managing Partner of NorthCo, a fellow of the Institute of the Motor Industry and a member of the Institute of Interim Management. Trevor is a respected C-Suite leader, Chairman and professional Interim Leader. For over a decade, he has provided interim leadership solutions to private equity, venture capital, and asset-backed firms. Whether it’s to stabilise a business during a turbulent trading period, fill a temporary skills gap or support a management team to navigate challenging situations, Trevor’s wealth of experience and proven track record in delivering value creation and retention plans demonstrate his ability to lead and support operational management teams effectively. To find out more about his approach, explore his LinkedIn profileand read what others say about Trevor.

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Trevor Parker

A Quick DIY Guide to Driving Operational Efficiency

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A Quick DIY Guide to Driving Operational Efficiency and Growth

For business leaders, the challenge of balancing operational efficiency with business growth can feel relentless. Market conditions shift, competition intensifies, and inefficiencies creep into even the best-run organisations. The key is to take proactive control—before external forces make the decisions for you.

While expert operational advisors can accelerate transformation, there’s a lot you can do internally to drive efficiency, identify bottlenecks, and ensure sustainable growth. This guide provides a practical, DIY framework to help you streamline operations, reconnect with your core market, and optimise costs—all crucial components of a successful business turnaround.

1. Simplify to Amplify

One of the biggest barriers to efficiency is complexity. Over time, businesses accumulate unnecessary products, services, and processes that drain resources and slow down operations. Just like Lego cut back on unnecessary brick variations, your business can benefit from trimming inefficiencies.

Action Steps:

  • Audit your products/services. Identify underperforming offerings and consider reducing or eliminating those that don’t contribute to core revenue streams.
  • Streamline internal processes. Map out workflows and pinpoint bottlenecks that slow productivity.
  • Reduce decision fatigue. Eliminate excessive approvals and redundant steps in operational procedures.

2. Reconnect with Your Core Market

Businesses sometimes drift away from the customers who made them successful in the first place. As Lego rediscovered its core audience—children and parents—you should reassess whether your products and messaging are aligned with the right market.

Action Steps:

  • Re-examine your ideal customer. Has your target audience shifted? Are you still meeting their needs effectively?
  • Gather direct feedback. Conduct customer surveys, host feedback sessions, and listen to what your market is saying.
  • Refine your value proposition. Ensure your brand messaging clearly aligns with the expectations of your most valuable customers.

3. Drive Operational Excellence

A business that scales inefficiently is a business that struggles. Operational inefficiencies lead to wasted resources, bloated costs, and missed opportunities. Implementing lean practices can help you run a more profitable and agile organisation.

Action Steps:

  • Identify process inefficiencies. Look for redundant steps, unnecessary approvals, and sluggish workflows.
  • Optimise your supply chain. Assess vendor relationships, inventory levels, and logistics to find cost-saving opportunities.
  • Invest in automation. Technology can handle repetitive tasks more efficiently, freeing your team to focus on higher-value activities.

4. Expand Strategically, Not Recklessly

Growth should be intentional, not reactive. Just as Lego refocused on core product lines instead of overextending into unrelated ventures, your expansion efforts should align with your strengths and capabilities.

Action Steps:

  • Evaluate new opportunities carefully. Assess whether new product lines, markets, or acquisitions fit within your brand’s core strengths.
  • Test before full-scale rollouts. Consider piloting a new initiative in a limited capacity before committing extensive resources.
  • Leverage partnerships wisely. Seek collaborations that enhance your existing offerings rather than dilute your focus.

Conclusion: The Road to Efficiency and Growth

Driving operational efficiency and growth isn’t about short-term fixes—it’s about building a sustainable, resilient business. By simplifying operations, reconnecting with your core market, improving efficiency, and making strategic expansion choices, you can lay the groundwork for long-term success.

For businesses looking to go even deeper, expert advisors can accelerate the process. But until then, these steps provide a solid foundation for improving efficiency, enhancing profitability, and positioning your organisation for sustained growth.

You can read about some of our recent case studies here.

About the Author

Trevor is the Managing Partner of NorthCo, a fellow of the Institute of the Motor Industry and a member of the Institute of Interim Management. Trevor is a respected C-Suite leader, Chairman and professional Interim Leader. For over a decade, he has provided interim leadership solutions to private equity, venture capital, and asset-backed firms. Whether it’s to stabilise a business during a turbulent trading period, fill a temporary skills gap or support a management team to navigate challenging situations, Trevor’s wealth of experience and proven track record in delivering value creation and retention plans demonstrate his ability to lead and support operational management teams effectively. To find out more about his approach, explore his LinkedIn profileand read what others say about Trevor.

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Trevor Parker

Operational Assessment & Succession Planning for potential acquisition

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Background

Scope: Operational Assessment for Potential Acquisition

A well-established business with a strong market presence, was being considered for acquisition. The current owners had played a significant role in the success of the business, having nurtured key client relationships, driven product innovation, and overseen critical strategic partnerships. With the owners planning to exit the business within three months post-acquisition, our client (PE Firm) was concerned about the operational continuity and the risk of losing key relationships that had been instrumental in the company’s performance.

Challenge

The operational assessment needed to address the following key challenges:

  1. Succession Planning for Leadership: The senior leadership team, closely tied to the outgoing owners, would need to be replaced either from internal talent or through external recruitment. The concern was whether the business could sustain performance with new leadership and whether internal talent was ready to step into senior roles.
  2. Client Relationship Dependency: Many key client relationships were personally managed by the owners, leading to concerns that the clients’ loyalty might be tied to these personal connections. If these relationships were not smoothly transitioned, the business could face significant revenue losses.
  3. Product Development and IP Risks: The owners had played a direct role in product strategy and innovation. There were concerns about whether the business could maintain its competitive edge in the market without the owners’ leadership. Additionally, there were questions around intellectual property (IP) ownership and the management of key licenses.
  4. Strategic Partnerships: The business had established strong partnerships with suppliers and collaborators, some of which were based on personal relationships with the owners. Ensuring these partnerships remained intact during and after the leadership transition was critical to avoiding operational disruption.

Approach

To address these challenges, we conducted a comprehensive operational assessment, focusing on succession planning, leadership gaps, and the potential impact of the owners’ departure on key business relationships and processes.

  1. Succession Planning and Leadership Transition:
    • Internal Talent Assessment: We evaluated the potential of internal leadership candidates to step into senior roles. While some promising talent existed, it was clear that external hires would be needed to fill critical gaps, particularly in strategic roles like Chief Executive Officer (CEO) and Chief Operating Officer (COO).
    • Leadership Development: A recommendation was made to immediately start leadership development programmes for internal candidates while simultaneously initiating a search for external talent to ensure a seamless leadership transition.
  2. Client Relationship Risk Mitigation:
    • Client Relationship Mapping: We created a map of key client relationships, identifying which relationships were directly managed by the owners. The findings showed that a significant percentage of revenue came from clients with a personal connection to the owners.
    • Transition Plan for Clients: A phased transition plan was developed, pairing existing account managers with owners during the final three months to ensure that clients felt supported during the transition. Communication strategies were designed to reassure clients of business continuity and maintain their trust.
  3. Product Development and IP Strategy:
    • Innovation Continuity: We assessed the strength of the research and development (R&D) teams and recommended the recruitment of a new head of product development to ensure ongoing innovation. This role would replace the direct oversight that the owners had historically provided.
    • IP and Licensing Review: An intellectual property review confirmed that key patents and licenses were owned by the business rather than the individuals, ensuring continuity post-acquisition. However, a strategy was implemented to ensure that the new leadership was equipped to manage and renew licensing agreements without disruption.
  4. Strategic Partnership Stability:
    • Supplier and Partner Risk Assessment: We evaluated key supplier and partner relationships, identifying where the owners had personal influence. While most partnerships were based on formal agreements, some key partnerships required a personal touch.
    • Partnership Transition Plan: A strategy was developed to introduce new leadership to key partners, ensuring a smooth handover and preserving favourable terms. Where necessary, contractual renegotiations were planned to formalise relationships beyond personal ties.

Outcome

By focusing on a comprehensive approach to succession planning and mitigating the risks associated with the owners’ departure, our client was able to:

  • Successfully Transition Leadership: A blend of internal promotions and external hires ensured that the leadership transition occurred smoothly, with minimal disruption to operations.
  • Preserve Key Client Relationships: The phased transition plan ensured that client relationships remained stable. Clients were reassured of the business’s continuity, and no major contracts were lost during the leadership transition.
  • Maintain Product Innovation: With a new head of product development and a well-supported R&D team, the business continued to innovate and stay competitive in the market.
  • Safeguard Strategic Partnerships: Key supplier and partner relationships were preserved, and favourable terms were maintained even after the owners exited.

Lessons Learned

  • Early Succession Planning is Critical: Addressing leadership gaps early, through a mix of internal development and external recruitment, can mitigate the risk of operational disruption.
  • Client Relationships Must Be Transitioned Carefully: When owners play a pivotal role in client management, early engagement with clients and clear communication are essential to preserving revenue streams.
  • Product and IP Continuity Requires Proactive Leadership: Ensuring that the right team is in place to manage product development and IP is vital for long-term competitiveness.
  • Personal Relationships in Partnerships Need Formalisation: Relying on personal relationships with partners and suppliers can be a risk. Formalising these relationships through contracts ensures business stability.
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Trevor Parker

Focus on the Gains and not just The Gaps

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Bridging Operational Gaps: The Power of Focusing on Gains, Not Just Gaps

In leadership, especially in operational management, the pressure to close gaps can be overwhelming. Leaders are often tasked with achieving ambitious goals, fixing underperforming areas, and driving continuous improvement. It’s easy to fall into the mindset of constantly measuring yourself or your organisation against an ideal that seems far off. This “gap-focused” thinking can create frustration, stress, and even a sense of failure.

But there’s another way to look at progress—one that’s just as important as identifying gaps: focusing on the gains. Let’s explore how leaders can shift their mindset to see both the gaps and the gains, and why this shift is crucial for long-term success.

What Are the Gaps?

In the context of operational management, gaps are the areas where performance doesn’t meet expectations. These might be gaps in efficiency, team skills, strategy execution, or even organisational culture. Identifying gaps is essential for growth. After all, knowing what’s not working helps you direct attention to the right areas for improvement.

However, problems arise when leaders become too focused on the gap between where they are now and where they want to be. This is particularly common in high-pressure environments where progress often feels slow or insufficient. When you constantly measure your business or your leadership against an ideal, the focus on what’s missing can quickly overshadow what’s been achieved.

The Gain: Celebrating Progress

The “Gain” is all about measuring progress based on how far you’ve come, not how far you still need to go. In leadership, recognising gains means acknowledging the incremental improvements and victories along the way. It’s about celebrating the fact that your organisation is more efficient, better resourced, or more agile than it was a few months ago—even if it hasn’t yet hit the ultimate target.

This doesn’t mean ignoring the gaps, but rather ensuring that progress is given its due weight. Too often, leaders move the goalposts without taking the time to acknowledge how much ground has already been covered. By regularly shifting focus to what has been gained, you create a more balanced, optimistic, and productive approach to leadership.

Why the Gap vs. Gain Mindset Matters

  1. Boosts Morale and Motivation
    Focusing solely on gaps can lead to burnout—for both you and your team. It fosters a culture where nothing is ever quite good enough. But when you take time to acknowledge gains, it reinforces a sense of achievement. Leaders and teams who feel their progress is noticed are more motivated to continue pushing forward. Research shows that focusing on strengths and positive accomplishments leads to higher employee motivation and performance (Luthans & Youssef, 2007).
  2. Strengthens Resilience
    Leadership, especially in interim roles or during times of change, can feel like an uphill battle. If you only see the distance still to go, you risk becoming discouraged. By regularly reflecting on gains, you build resilience, giving yourself and your team the psychological fuel needed to tackle future challenges. Carol Dweck’s work on the growth mindset illustrates that individuals who focus on progress are more likely to embrace challenges and persist in the face of setbacks (Dweck, 2006).
  3. Creates a Growth-Oriented Culture
    When you model a “gain” mindset, it encourages others to do the same. It shifts the culture from one of perfectionism to one that values continuous improvement. It helps your team focus on learning and growing, instead of feeling inadequate or overwhelmed by goals they haven’t yet reached.
  4. Improves Strategic Focus
    Celebrating gains doesn’t just improve morale—it sharpens your strategic focus. When you assess what’s working and what progress has been made, it helps clarify where to direct your next efforts. Understanding your gains makes it easier to fine-tune your strategy based on proven successes rather than just focusing on fixing problems.

How to Build the Gain Mindset into Your Leadership

  1. Regular Progress Reviews
    Incorporate regular check-ins that specifically highlight progress made, not just areas of improvement. These could be formal reviews or simple team discussions that take a moment to reflect on what’s working. This habit keeps the gain mindset front and centre in your leadership approach.
  2. Break Large Goals into Milestones
    To help teams focus on gains, break down big, long-term goals into smaller milestones. Celebrate each step forward. These incremental wins are important for maintaining momentum and preventing the overwhelm that often comes from only seeing the big gap ahead.
  3. Embed Reflection into Your Routine
    For yourself as a leader, set aside time—perhaps on Buffer Days—to reflect on gains. Use this time to consider how far you’ve come, the challenges you’ve overcome, and what you’ve learned. Regular reflection helps internalise the gain mindset and keeps you motivated for future challenges.
  4. Balance Feedback
    When giving feedback, balance your discussion of gaps with recognition of gains. Acknowledge the team’s progress before diving into what still needs to be done. This keeps the tone constructive and empowers people to approach problems with confidence, rather than discouragement.

Bridging Gaps by Building on Gains

At NorthCo, our approach to leadership is about more than just fixing problems and closing gaps. We believe the key to effective leadership is in finding the balance between recognising where improvements are needed and celebrating how much progress has already been made. It’s this “Gap vs. Gain” mindset that allows leaders to grow without burning out, to stay resilient even when the road ahead seems long, and to build cultures of growth that are sustainable over the long term.

By integrating this mindset into our operational management services, we help leaders not only bridge the gaps in their business but also build on the gains they’ve made to drive lasting success.

References

  1. Dweck, C. (2006). Mindset: The New Psychology of Success.
  2. Luthans, F., & Youssef, C. M. (2007). Positive Organizational Behavior in the Workplace: The Impact of Hope, Optimism, and Resilience.
  3. Deci, E. L., & Ryan, R. M. (2000). The “What” and “Why” of Goal Pursuits: Human Needs and the Self-Determination of Behavior.
  4. Amabile, T. M., & Kramer, S. J. (2011). The Progress Principle: Using Small Wins to Ignite Joy, Engagement, and Creativity at Work.
  5. Goleman, D. (1995). Emotional Intelligence: Why It Can Matter More Than IQ.

About the Author

Trevor is the Managing Partner of NorthCo, a fellow of the Institute of the Motor Industry and a member of the Institute of Interim Management. Trevor is a respected C-Suite leader, Chairman and professional Interim Leader. For over a decade, he has provided interim leadership solutions to private equity, venture capital, and asset-backed firms. Whether it’s to stabilise a business during a turbulent trading period, fill a temporary skills gap or support a management team to navigate challenging situations, Trevor’s wealth of experience and proven track record in delivering value creation and retention plans demonstrate his ability to lead and support operational management teams effectively. To find out more about his approach, explore his LinkedIn profileand read what others say about Trevor.

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Trevor Parker

Supporting a Confidential Search for an Operations Director

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Client Overview:

Our client, a well-established business, had a highly capable internal HR function adept at managing recruitment processes. However, when they faced the need to replace their Operations Director, the team lacked the bandwidth to conduct the initial search while balancing their ongoing responsibilities. Additionally, due to the sensitive nature of the senior leadership position, the client sought a discreet recruitment process to maintain confidentiality.

The Challenge:

The client required a swift and effective search for an Operations Director, someone who could seamlessly integrate into the existing team and drive continued operational excellence. While the HR team was capable of handling the process, they were stretched thin with daily responsibilities, and the client wanted to avoid disrupting their focus. Moreover, confidentiality was paramount, and handling the recruitment internally posed risks of unintentional exposure.

Our Approach:

NorthCo was engaged to manage the initial stages of the recruitment, specifically taking on the search through to the shortlist stage. Our involvement allowed the client’s HR team to maintain focus on their core duties without diverting resources towards a time-consuming search. By handling the process externally, we also ensured a high degree of confidentiality, preventing any premature revelations that could have caused disruption within the organisation.

Our recruitment specialists took the time to understand the client’s business culture, operational needs, and leadership expectations. We conducted a targeted search, using our extensive network and industry knowledge to identify and approach high-calibre candidates. This was done discreetly, ensuring potential candidates were approached professionally and confidentially, with no risk to the client’s operational flow.

The Outcome:

Within a defined timeline, NorthCo presented the client with a curated shortlist of strong candidates, all of whom met the operational and leadership requirements. The HR team was then able to take over the process from the shortlist stage, managing the final interviews and selection internally.

By partnering with NorthCo, the client successfully maintained focus on their core HR activities while preserving confidentiality throughout the search. Our support enabled them to efficiently fill the Operations Director position with minimal disruption to the business, all while ensuring the right leadership fit for the role.

Conclusion:

This case highlights how outsourcing parts of the recruitment process can be an invaluable strategy for businesses with capable HR teams who need additional bandwidth or confidentiality in high-level searches. NorthCo’s tailored recruitment solutions helped our client maintain internal focus while securing a high-calibre leader to drive their operations forward.