Profit from the Positive

Profit from the Positive Plot Summary

Introduction

In today's high-pressure business environment, leaders face unprecedented challenges. You're expected to maximize productivity, foster innovation, and drive growth—often with limited resources and within tight timeframes. Traditional management approaches that focus solely on problem-solving and gap analysis frequently fall short. What if there was a science-based approach that could help you achieve better results by leveraging what's already working? Positive psychology research has revealed remarkable insights about human performance that can transform how you lead. By focusing on strengths rather than weaknesses, cultivating resilience instead of avoiding failure, and creating environments where people thrive rather than merely survive, you can unlock potential you never knew existed. The principles in these pages aren't just feel-good theories—they're evidence-based strategies tested in organizations worldwide that produce measurable improvements in productivity, innovation, and engagement. As you explore these concepts, you'll discover practical tools to immediately enhance your leadership effectiveness and create lasting positive change.

Chapter 1: Boost Productivity Without Working More Hours

Productivity isn't about cramming more tasks into your day or working longer hours. It's about working smarter by understanding how your brain functions optimally. The most effective leaders recognize that maximizing output isn't about pushing harder but about creating the right conditions for focused work. One of our clients, Paul, who heads a data services department supporting offices across three continents and eight time zones, exemplifies the modern overworked executive. "We have seventeen offices located on three continents," he laments, "which makes it really hard to unplug." Paul typically tries to leave the office by 7 p.m. but admits he struggles to maintain work-life boundaries. His situation reflects research showing that Americans work eight more hours weekly than their German counterparts yet aren't more productive. What drains our productivity? Three common culprits: overwork, multitasking, and procrastination. Eddie, another client, represents the typical multitasker—checking email, sending texts, and tweeting during conference calls. When his boss asked a direct question, Eddie realized he had no idea what the team had been discussing. Research shows we lose up to 40% of our productivity from "flip-flopping" between tasks. Instead of "just doing it," research by psychologist Peter Gollwitzer shows that planning when and where you'll complete tasks dramatically increases follow-through. In his study, 71% of students who specified exactly when and where they would write a report submitted it on time, compared to just 32% who didn't create this specific plan. This "implementation intention" creates a triggering event in your mind. To trick yourself into getting started, use the Zeigarnik effect—the psychological principle that unfinished tasks occupy mental space. Leave projects partially completed at the end of your day so you can immediately resume work the next morning. Sanjay, an operations leader, successfully used this technique to overcome his morning productivity slump by drafting emails in the afternoon but waiting until the next day to send them. Another powerful productivity tool is to convert goals into habits by creating routines that happen at the same time and place. Researcher Wendy Wood found that habits become automatic when performed in consistent environments. Instead of relying on willpower, turn key activities into habits through repetition and consistency. For instance, checking email at set intervals rather than whenever notifications appear helps avoid distractions. Finally, counterintuitively, working less can help you accomplish more. Studies show that scheduling downtime increases productivity. Companies like Sony Pictures Entertainment have trained employees to renew their energy by disconnecting from email during focused work periods and taking short breaks throughout the day. This approach has resulted in 88% of participants reporting improved productivity and focus.

Chapter 2: Build Resilience for Challenging Times

Resilience—the ability to bounce back from setbacks—is essential for effective leadership. Everyone experiences disappointments, from losing key accounts to being passed over for promotion, but what separates average leaders from exceptional ones is how quickly they recover and move forward. Amazon founder Jeff Bezos captures this resilience mindset perfectly: "If you want to be inventive, you have to be willing to fail." The world's largest online retailer has experienced numerous failures, including unsuccessful ventures into book reviews and auction services. Yet rather than avoiding risk, Bezos embraces it as essential to innovation. Richard, one of our clients, describes a common stress response: "I fall asleep fine, but then I wake up around four in the morning and my mind is racing." When faced with challenges, many leaders get stuck in two counterproductive responses: rumination (dwelling on mistakes) and paralysis (becoming unable to take action). Laura, who leads a quality assurance function for a Fortune 200 company, spent nearly a week obsessing over one mistake in an otherwise successful presentation to executives. To build resilience, Stanford psychologist Carol Dweck recommends adopting a learning mindset rather than a performance mindset. In her research, she found that people approach challenges differently depending on how tasks are framed. When told a task would "show what they can do" (performance orientation), only 66% chose challenging options. When told it would help them "learn new things" (learning orientation), 82% embraced the challenge. This learning mindset transforms how you view difficulties. Chip Conley, founder of Joie de Vivre Hotels, credits curiosity with helping his company survive the 2002 dot-com bust. During that challenging period, Conley discovered Maslow's hierarchy of needs in a bookstore, which became what he calls "our constitution for how we got through the downturn, and not only got through it, but tripled in size." Another resilience tool is to shift your explanatory style—how you interpret events. Using what psychologists Karen Reivich and Andrew Shatte call the "Me-Always-Everything" framework, resilient leaders question negative interpretations. When things go wrong, they ask: "Did I cause this, or were there external factors? Is this a one-time setback or a permanent condition? Does this affect everything in my life, or just this specific situation?" For example, Bob didn't get a promotion he was hoping for and began doubting his abilities. When asked what he would say about this situation 20 years from now, he smiled and replied, "That Bob would probably say, 'What regional head job?'" This perspective shift helped him see the setback as temporary rather than devastating. The third resilience tool is disputing negative self-talk with evidence. When Carol had to lay off five employees, she told herself, "I'm a bad manager." Through coaching, she learned to counter this belief with evidence: "I'm not a bad manager because my employees feel valued" and "In order to save 100 jobs, I had to lay off these five employees." By winning the debate against herself, Carol regained her confidence and leadership perspective.

Chapter 3: Leverage Your Emotional Intelligence

Your moods, both positive and negative, spread like contagious diseases throughout your team. Research shows that leaders' emotions have a disproportionate impact on team performance, making emotional intelligence a critical leadership competency. George, one of our clients, unknowingly demonstrated this emotional contagion every morning. His team members Rachel and Mike observed, "We can tell what kind of day it's going to be around here by the way George walks in each morning. If he smiles and says, 'Good morning,' we know it's going to be a good day. If his head is down and he doesn't even acknowledge us, we know it's going to be a bad day." This scenario illustrates what psychologists call "social contagion" or what we term the "Achoo! effect." Research by Sigal Barsade at the Wharton School reveals that just one group member out of five can "infect" others with their mood. In another study, researchers observed over 200 customer service interactions at a coffee shop and found that employee smiles directly predicted customer smiles and satisfaction ratings. This effect has a status component—people higher in the organizational hierarchy are more likely to transmit their moods downward. The impact on performance is significant. In one experiment, teams were tasked with setting up a tent while blindfolded. Leaders were first shown either a David Letterman video (to induce positive mood) or a video about social injustice (to induce negative mood). Teams led by positive-mood leaders showed better coordination. Similarly, a study of 53 sales managers found that those in more positive moods achieved greater sales. When you inevitably find yourself in a negative mood, you can use four techniques to shift your emotional state. First, simply label your emotion ("I'm feeling anxious"). Neuroscience research shows that naming negative emotions diminishes their power. Second, take long, deep breaths, which produces an immediate calming effect. Third, get moving—physical activity, especially outdoors, reduces stress. Fourth, use "embodiment" or what psychologists call the "pen smile" effect: adopting physical postures associated with positive emotions actually generates those emotions. Another emotional intelligence skill is giving up control. Managers with strong "control freak" tendencies often micromanage their teams, which reduces employee engagement. Our client Mia, who runs a large design firm, insisted on having things done her way. When one of her most promising employees, Jason, became disengaged, she realized her micromanagement was the cause. By delegating more fully and trusting her team, she revitalized their engagement and performance. As Cindi Bigelow, president of Bigelow Tea, wisely observes: "Leaders cannot afford the luxury of a negative mood." By cultivating emotional intelligence, you create an environment where your team can perform at their best.

Chapter 4: Focus on Strengths, Not Just Weaknesses

Traditional leadership approaches often emphasize fixing weaknesses rather than capitalizing on strengths. This problem-solving orientation works for technical issues but fails to maximize human potential. A strengths-based leader focuses on what's right and leverages those patterns of success. Why is it so difficult to adopt a strengths-based approach? Four obstacles get in the way: disliking management responsibilities, loving problem-solving, treating employees as problems, and our brain's negativity bias. Research by Baumeister and colleagues shows we react more strongly to losing $20 than finding $20, and customers tell 13 people about bad experiences but only 5 about good ones. One powerful tool for strength-based leadership is to actively look for what's working in your organization. When NUMMI (New United Motor Manufacturing Inc.), a joint venture between Toyota and GM, noticed their truck division consistently outperformed their car division, they took an innovative approach. Instead of sending car-side employees to other plants to improve processes, they simply had them observe the truck-side operations within the same facility. This allowed them to identify and replicate successful practices internally. Similarly, you can shift from the traditional SWOT analysis (strengths, weaknesses, opportunities, threats) to a more positive SOAR approach (strengths, opportunities, aspirations, results). When Ally, one of our clients, used SOAR with her 75 managers during annual planning, they discovered their aspirations included making "every customer interaction really personal." This positive framing energized the team rather than making them resigned to addressing weaknesses. The way you respond to problems also matters tremendously. In a research study conducted by Margaret with colleague Dana Arakawa, they found that managers who stayed calm and helped employees brainstorm solutions when problems arose saw a 39% increase in project performance compared to managers who overreacted. Unfortunately, many leaders inadvertently discourage employees from sharing problems early by responding negatively, as one system analyst explained: "My project manager tends to overreact initially... Because of this, my team and I tend not to go to him about a problem unless we have some kind of idea of the solution already." To become a truly strengths-based leader, you must first understand your own strengths. Gallup research found that employees who have the opportunity to do what they do best every day show increased productivity, customer loyalty, and retention. Yet only 20% of employees globally believe they have this opportunity. You can identify your strengths by asking three simple questions: What am I really good at? What kind of work energizes me? When am I at my best? Then ask colleagues, employees, and friends the same questions about you. Notice what themes emerge consistently. For a more formal assessment, consider tools like the VIA Survey of Character Strengths or Gallup's StrengthsFinder. As former Apple CEO Steve Jobs wisely reflected, "For the past 33 years, I have looked in the mirror every morning and asked myself: 'If today were the last day of my life, would I want to do what I am about to do today?'" Understanding and leveraging your strengths allows you to answer "yes" more consistently.

Chapter 5: Hire for Cultural Fit and Potential

Hiring mistakes can be extraordinarily costly. Studies show every hire costs a company up to five times the person's salary when you include benefits, training, and other expenses. Zappos CEO Tony Hsieh estimates poor hiring decisions have cost his company over $100 million throughout its history. Four common hiring mistakes undermine successful selection: inadequate preparation, excessive talking during interviews, overemphasizing technical skills, and reactive rather than proactive talent acquisition. Many hiring managers hastily review resumes just before interviews, ask generic questions, and spend too much time talking about the company rather than assessing the candidate. To hire more effectively, look beyond what's on the resume. When Martin Seligman, founder of positive psychology, advised MetLife on their sales recruitment process, they tested an innovative approach. In addition to their standard insurance career profile test, they hired 129 sales candidates who had scored high on an optimism assessment. Two years later, these optimistic salespeople outperformed their peers by 27% in sales volume. This illustrates a crucial hiring principle: technical skills, experience, and education account for only about one-third of job success factors. The remaining two-thirds involve interpersonal skills, resilience, and cultural fit. As Chris Beschler, deputy chief administrative officer for the city of Richmond, Virginia, explains: "I'll hire someone with a positive, can-do attitude and no phone skills before I'll hire someone with a lot of customer service experience who has a poor attitude." The best predictors of future performance are past behaviors, not hypothetical scenarios. Rather than asking candidates what they would do in certain situations, ask what they have actually done. Denise, who manages 18 remote auditors, discovered that asking "What would you do if an urgent situation came up requiring my approval when I wasn't available?" yielded less useful information than "Tell me about a time when you had to make an urgent decision without your manager's input." Cultural fit is equally important. Google looks for "Googly" candidates—smart, creative problem-solvers who are fun to work with. Zappos evaluates candidates against their core values, including "Create fun and a little weirdness." During interviews, they ask: "On a scale of 1 to 10, how weird are you?" As Hsieh explains, "If you're a 1, you're probably a bit too strait-laced for us. If you're a 10, you might be too psychotic for us." This approach helps identify candidates who will thrive in their specific environment. Some companies take fit assessment further. Rackspace, a web hosting company known for excellent customer service, conducts extensive interviews lasting 9-10 hours. CEO Lanham Napier explains, "We'd rather miss a good one than hire a bad one." Their philosophy is that no candidate can maintain a facade through such an extended assessment. Professor Amy Wrzesniewski at Yale found that people view their work in three ways: as a job (for a paycheck), a career (for advancement), or a calling (for meaning). Those who see their work as a calling demonstrate greater commitment and performance. By screening for candidates who align with your values and view their potential role as meaningful, you dramatically increase the likelihood of successful hiring outcomes.

Chapter 6: Create a Culture of Recognition and Engagement

Employee engagement goes far beyond satisfaction. Engaged employees are emotionally invested, enthusiastic, and committed to their organization's goals. According to Gallup research, only 30% of employees worldwide are engaged in their jobs, representing a massive opportunity for improvement. Many businesses focus on correcting deficiencies rather than amplifying strengths. When Margaret asked the head of HR at an acquired company what tools they had for improving employee performance, he replied, "We have a progressive discipline process." This deficit-focused approach rarely motivates exceptional performance. The first step toward creating an engaged workforce is helping employees discover and apply their strengths. Research shows employees who have the opportunity to use their strengths daily are six times more likely to be engaged and three times more likely to report excellent quality of life. When Margaret and her colleague Dana Arakawa studied IT project teams, they found those led by managers who focused on employee strengths achieved 50% better results. Introducing strengths to your team requires more than having them take an assessment. One of our clients, Emann, gave her employee Randy an online strengths assessment, then scheduled a discussion about the results. She asked questions like "How did you apply this strength yesterday at work?" and "How could you use your strengths in a new way?" This conversation helped Randy recognize ways to leverage his communication strength with colleagues in regional offices. For teams, discussing collective strengths creates powerful synergies. As Tom Rath, author of StrengthsFinder 2.0, observes, "Great leaders never need to be well-rounded, but great teams probably do." When Mark introduced strengths to his team during a major integration project, team members gained insights about their colleagues' work styles. One IT project leader realized why she and her team sometimes clashed: "I have responsibility, discipline, and all of those project-leader-type strengths. The comical thing that happened was that my team had greater insight into why I try to nail them down on delivery, and I had an epiphany as to why they were so hard to nail down. They are lofty thinkers who like to bounce a bunch of ideas around." For underperforming employees, psychologist Mihaly Csikszentmihalyi's concept of "flow" provides a helpful framework. Flow occurs when skill level matches challenge level. If an employee's skills exceed the challenge, they become bored; if challenges exceed skills, they become anxious. Our client Jill used this model to understand why Steve, a previously high-performing sales support staff member, was falling behind. Rather than disciplining him, she helped identify whether his work was too challenging or not challenging enough, then adjusted his responsibilities accordingly. Perhaps the most powerful engagement tool is FRE: Frequent Recognition and Encouragement. In their research, Margaret and Arakawa discovered managers who provided frequent recognition saw a 42% increase in productivity compared to those who rarely recognized accomplishments. Yet only 40% of employees reported receiving any encouragement from their managers. Recognition must be specific and process-focused rather than general. Saying "You did a really good job" (person praise) is less effective than "I really appreciate the time and attention you put into analyzing those reports" (process praise). As Robert Eckert, former chairman of Mattel, notes, "What's wrong with recognizing a job well done? Why not say thank you more often—and mean it?" Companies like Zappos institutionalize recognition through programs where employees can give each other bonuses for exceptional work. EverFi's CEO Tom Davidson describes their approach as "stab in the heart and praise to the back"—direct feedback about performance issues but enthusiastic recognition behind people's backs. As Yum! Brands CEO David Novak puts it, "Using recognition is the best way to build a high-energy, fun culture and reinforce the behaviors that drive results."

Chapter 7: Transform Performance Reviews into Growth Opportunities

Traditional performance reviews often fail to inspire or improve performance. Many managers view them as administrative chores, while employees dread critical feedback that emphasizes weaknesses over strengths. In a 2012 Society of Human Resource Management study, 45% of HR leaders admitted annual reviews don't accurately assess employee performance. The fundamental problem is that performance reviews typically focus on evaluation rather than growth. When Sean, a business analyst for a healthcare insurer, received his review, "My manager spent the first few minutes highlighting what I did well over the last year. But then he spent the rest of my review nitpicking over things that happened months ago." Instead of feeling motivated, Sean left deflated. To transform reviews into growth opportunities, first shift your focus toward strengths while acknowledging areas for improvement. A Corporate Leadership Council study of over 20,000 employees found that strength-focused reviews led to a 36% performance improvement. Greg Tranter, EVP and CIO at The Hanover, implemented this approach after learning about Margaret's research: "We have since changed our performance management process to include much more emphasis on the leveraging of strengths in our employees' development plans." When writing reviews, use specific strengths language. Carolyn, one of our clients, wrote this for her project leader Ann: "You give new meaning to the ACHIEVER strength: you consistently stay focused, work hard and deliver on all promises, often ahead of schedule. You are STRATEGIC and energized by learning new things [LEARNER]." This approach acknowledges Ann's contributions while connecting them to her natural talents. Goal-setting is another critical review component. Research by Gary Latham at the University of Toronto shows that difficult, specific goals lead to significantly higher performance than easy or vague ones. When Lisa, a client, was frustrated with her operations manager's slow progress implementing a new process, we helped her develop more specific goals with biweekly milestones rather than a vague deadline six months away. Perhaps most powerfully, you can transform reviews by adding a forward-looking element. Kathy Owen, CIO at Unum, asks employees to write their goals from a future perspective: "Imagine that it is a year from now and you are writing your performance review. What would you have to say about what you accomplished?" She reports, "What people came back with was amazing." This "performance preview" technique, similar to visualization methods used by athletes, helps employees envision and commit to future success. The delivery of feedback is equally important. Reframe reviews as conversations rather than evaluations. Landon needed to address his employee Grace's reluctance to help newer team members. Instead of criticism, he started with recognition: "I'm really impressed with the quality and timeliness of your work" before suggesting how she might share her expertise with others. By framing the feedback as an opportunity to leverage her strengths, Landon helped Grace embrace a more collaborative approach. Some innovative companies have abandoned traditional reviews entirely in favor of more frequent, less formal feedback conversations. Others use social-media-type platforms to gather real-time input from colleagues. The key is creating a process that energizes rather than deflates, focusing on future growth rather than past mistakes.

Summary

The transformational strategies shared throughout these chapters offer a clear path to more effective leadership and organizational success. By intentionally applying positive psychology principles, you can create environments where both people and profits flourish. As Chip Conley discovered during his company's darkest hour, "One of the qualities that undergirds or fuels resilience is curiosity." This curiosity—about what works, about your team's strengths, about possibilities rather than problems—becomes the foundation for sustainable growth. Your journey toward more positive leadership begins with a single step. Choose one technique from these chapters—whether it's recognizing team members' strengths, adopting a learning mindset when facing challenges, or facilitating more engaging meetings. Apply it consistently for two weeks and notice the difference. Remember that you don't need permission, a budget, or special training to implement these evidence-based approaches. The most powerful changes often begin with small, consistent actions that gradually transform how you lead and how your organization performs.

About Author

Loading...

Margaret H. Greenberg

Read more