Culture of Failure as a Driver of Growth - This is how it really works

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“That was my mistake.”

The first time I said this sentence openly in a team meeting, I was surprised at how quiet it became. But then something unexpected happened: recognition. And relief.

Because it wasn't just my mistake - it was one that we could have absorbed as a team. And my open admission released something: the tension, the silence, the hiding.

Mistakes happen everywhere. The question is not whether they happen - but what happens afterwards.

What is a healthy failure culture - and why is it so rare?

A culture of error does not mean that everything is allowed. Nor does it mean smiling about problems.

It means:

• We talk openly about what goes wrong.

• We systematically learn from them.

• We don't look for people to blame - we look for better solutions.

In many organizations, however, the opposite happens:

• Mistakes are covered up.

• Responsibility is shifted.

• Problems are downplayed - or escalate.

Why? Because there is no healthy failure culture.

A study by Ernst & Young (EY, 2018) on the topic of error culture in German companies shows that only 39% of employees attest to their organization having an open error & discussion culture between employees and superiors.

Why a failure culture is a real success factor?

Failure culture is not a cuddly topic. It is a business issue.

🔸 It promotes innovation - because anyone who dares to try something new also makes mistakes.

🔸 It strengthens trust - because openness is the basis for genuine collaboration.

🔸 It increases speed - because problems become visible more quickly.

🔸 It reduces staff turnover - because employees feel safer.

Companies such as Google, Spotify and Bosch invest specifically in formats that systematically promote learning from mistakes - not just on paper, but in everyday life.

Three concrete paths to a practised error culture

🔻 1. Make the start yourself as a leader

Failure culture starts at the top. People are not guided by presentations, but by behavior.

If you as a leader can say: “I made a wrong decision here - and it had an impact”...you open up the space for others to do the same.

Keyword: psychological safety by example.

Even more powerful: “That was my mistake - and here's what I've learned.”

This way, a mistake doesn't turn into a loss of face, but a learning effect with added value for everyone.

🔻 2. Change language - develop impact

Language shapes reality. And how we talk about mistakes determines whether people open up or close down.

Let's compare:

❌ “How could this happen?” vs. ✅ “What was going on here - and what can we learn from it?”

❌ “This simply must not happen.” vs. ✅ “Okay, that's annoying - but now we have a chance to do better.”

Avoid words like “guilty”, “failed”, “XY's mistake” and instead talk about “learning moments”, “deviations”, “indications of opportunities for improvement”.

🔻 3. Create formats and routines that enable learning

Failure culture doesn't just need an attitude - it needs space.

Some proven formats from practice:

• Error or learning check-ins in team meetings: “What didn't go smoothly? What do we take away?”

• “Fuck-up of the month” - with humor and insight

• “Pre-mortem meetings” for new projects: What could go wrong - and how can we avoid it?

The more naturally such reflections are incorporated, the more likely they are to be used - and the faster a genuine learning culture is created.

Bonus tip: Distinguish between serious and valuable mistakes

Not every mistake is the same. A transposed number in an email is not the same as a security breach.

What helps: Name the types of error.

• Routine errors: happen to everyone - can be minimized with checklists

• Growth errors: occur with new ideas - indispensable for innovation

• System errors: reveal structural weaknesses - valuable for development

Good leadership differentiates - instead of making blanket assessments.

Conclusion: Mistakes are part of progress - if you allow them to be.

In a world full of complexity, speed and change, mistakes are inevitable: those who see them as failures lose, those who see them as learning opportunities gain - in competence, trust and innovative strength.

A culture of failure is not a weakness. It is a sign of maturity. And it always starts with leadership.

💭 Reflection question to take away:

When was the last time you openly addressed your own mistake - and what did it trigger in the team?

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