Create Psychological Safety Before Selling Your Business

The Ripcord Moment

“When we talk about emotional intelligence, what we’re really talking about is recognizing that we’re emotional beings and that we react to life’s events emotionally. First […] when leaders are not developed in emotional intelligence, they’re not able to listen to people.” – Robert Grossman, CEO of Black Diamond Leadership

On today’s episode of The Ripcord Moment, Joe welcomes Robert Grossman, founder and CEO of Black Diamond Leadership, to discuss psychological safety, team building, and the importance of emotional intelligence in workplace relationships.

Robert helps clients respond to triggers or stressful events maturely instead of reacting with emotion. When leaders and team members can observe their own emotions and then take a step back to consider how they should respond, they feel better, earn more respect from those around them, and build a psychologically safe environment at work.

Robert says the main reason why people leave a company is not because of money but because of leadership and managers who fail to make employees feel like their contributions matter or who even instill fear in the workplace. Therefore, it’s extremely important for leaders to receive training in emotional intelligence and learn to listen to their team with humility.

Lastly, Robert leaves us with two action items for owners:

1. When someone is looking to buy a company, they want a strong team. Teach leaders to build high-performing teams with members who trust each other and feel psychologically safe with one another.

2. Successions can be a time of great stress. Create an environment of radical candor, where team members feel comfortable approaching the leaders of a company with any concerns they may have so these issues can be addressed before it’s too late.

Disclosure: Information presented herein is for discussion and illustrative purposes only. The views and opinions expressed by the speakers are as of the date of the recording and are subject to change. These views are not intended as a recommendation to buy or sell any securities, and should not be relied on as financial, tax, or legal advice. You should consult with your attorney, finance professional, or accountant before implementing any transactions and/or strategies concerning your finances.