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University of Colorado Denver Business School study shows failure better teacher than success
Date:8/23/2010

s: The Atlantis was considered a success and the Challenger a failure.

"Whenever you have a failure it causes a company to search for solutions and when you search for solutions it puts you as an executive in a different mindset, a more open mindset," said Desai.

He said the airline industry is one sector of the economy that has learned from failures, at least when it comes to safety.

"Despite crowded skies, airlines are incredibly reliable. The number of failures is miniscule," he said. "And past research has shown that older airlines, those with more experience in failure, have a lower number of accidents."

Desai doesn't recommend seeking out failure in order to learn. Instead, he advised organizations to analyze small failures and near misses to glean useful information rather than wait for major failures.

"The most significant implication of this studyis that organizational leaders should neither ignore failures nor stigmatize those involved with them," he concluded in the June edition of the Academy of Management Journal, "rather leaders should treat failures as invaluable learning opportunities, encouraging the open sharing of information about them."


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Contact: David Kelly
303-503-7990
University of Colorado Denver
Source:Eurekalert

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