Embracing breakdowns: How leaders can turn setbacks into breakthroughs

Leaders know that breakdowns can lead to breakthroughs. Honest, data-driven analysis of what's missing and what’s needed to overcome obstacles empowers individuals and teams to reconnect to their commitments and drive progress. But to truly unlock their team's potential, leaders must not just manage breakdowns, they must actively seek them out as opportunities to accelerate innovation. It’s a challenge, one that requires courage and foresight.

Leaders who search for breakdowns rather than shy away from them can catalyse rapid growth. However, this approach isn’t about being negative or simply pointing out problems. Instead, it’s about shifting from commentary to action, fostering curiosity, and being fully engaged as a coach, focused not only on finding solutions but on discovering new pathways forward.

By embracing the “How might we?” mindset and empowering their teams to think creatively, leaders can spark the kind of breakthrough thinking needed to achieve their vision faster.

Embrace discomfort for growth

Let’s be honest: no one enjoys breakdowns or obstacles on the journey to success. But they are essential to meaningful progress. Leaders must resist the natural urge to avoid discomfort, instead seeking out breakdowns as opportunities to build momentum. Setbacks provide valuable learning experiences and encourage innovative thinking, which is crucial for adapting to fast-changing circumstances in today’s business landscape.

Step one is a willingness to embrace discomfort. Leaders must step outside the psychological safety they’ve created for their teams (a subject we’ve covered in recent blogs). At the start of any big initiative, everyone’s excited, ready to take on the world. The temptation is to let things go smoothly and avoid shaking up the status quo. But this comfort zone can quickly slide into what Margaret Heffernan calls “wilful blindness” – ignoring potential problems for the sake of an easier, more pleasant experience. It may feel good in the short term, but in the long run, it limits true ambition and stifles progress.

The power of "how might we?"

Instead of avoiding breakdowns, great leaders are always scanning the horizon for potential challenges, even when things seem to be going well. And when they spot them, they don’t shy away but lean in, ready to tackle the obstacle head-on. Addressing setbacks in real-time not only uncovers hidden commitments that could derail progress later, but it accelerates problem-solving and creativity. These breakdowns aren’t just about external obstacles, they can be cultural or behavioural dynamics within the team that impede forward momentum.

The key to making this approach work is commitment. Leaders should avoid becoming mere commentators who point out issues without offering solutions. Instead, they must lead with a sense of possibility and collaboration, asking questions like “How might we…?” This invites the team to engage in creative problem-solving and focuses on what can be done, not what can’t. This approach creates space for open, honest conversations, where everyone can contribute to finding solutions.

Shift from problem-solver to coach

Here’s where many leaders go wrong: spotting problems only to swoop in and solve them. This creates a cycle of reactive work that drains energy and prevents true progress. To avoid this, leaders must act as coaches, not rescuers. Coaches know that their role is to develop their team’s potential, guiding them through challenges and encouraging growth. They don’t solve all the problems for the players, they design opportunities that challenge them to push beyond their limits and learn along the way.

Leaders must adopt the same mindset. They should actively look for opportunities that stretch their teams, providing guidance and support as needed, but ultimately allowing their people to learn, fail, and grow. A strong leader, like a good sports coach, views a tough competitor not as an obstacle to overcome, but as an opportunity to discover new strategies and refine their approach. Every breakdown on the road to success is not just a hurdle to jump over, but an opportunity to test, learn, and innovate.

Breakthroughs require new thinking

It’s counterintuitive, especially for leaders who are used to having all the answers. But to unlock the full potential of a team, leaders must be willing to let go of their old ways of thinking. Repeating past strategies is unlikely to yield the breakthroughs needed for the future. The only way to achieve lasting innovation is by actively embracing breakdowns and allowing both individuals and teams to experiment with new solutions.

This isn’t an easy path. Human nature tends to avoid discomfort. But facing challenges head-on, asking the right questions, and creating an environment that encourages growth will ultimately accelerate progress and deliver breakthrough results. That’s what leadership in 2025 demands: bold, proactive leadership that thrives on challenges, not one that shies away from them.

The role of leaders in an age of change

As we continue to navigate the complexities of 2025, a time when technological disruptions like AI, automation, and shifting geopolitical landscapes are reshaping the business environment, leaders need to understand that true transformation begins with honest, transparent conversations. It’s no longer enough to rely solely on systems and processes. Success now depends on the relationships we build, the challenges we embrace, and the way we navigate change together.

By creating environments where breakdowns are viewed as opportunities and challenges are reframed as stepping stones, leaders can build resilient, agile teams prepared to innovate and adapt to the future. Whether through fostering psychological safety, encouraging honest dialogue, or continuously pushing for growth, leaders must not just adapt to change, they must lead it, actively seeking the discomfort that leads to breakthrough progress.

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