5 ways embracing vulnerability in leadership builds a more resilient team culture

In today’s fast-paced business world, where constant change is the norm, embracing vulnerability can transform a team’s culture and foster resilience, writes Jason T. Smith.

As a serial entrepreneur, I reflect on moments when my leadership vulnerabilities were exposed yet led to a stronger, more cohesive team. Drawing from my own leadership experiences, it’s clear now how a vulnerable approach to leadership not only builds a supportive culture but also aligns well with established principles in HR and business literature.

1. Vulnerability creates authentic connections

True leadership often requires stepping out from behind the mask of authority and opening oneself up to others. During challenging periods, I found that sharing personal stories, especially about setbacks, resonated with my team. For instance, when two of my general managers, essential members of our senior team, clashed so intensely that it disrupted our culture, I had to make difficult decisions and recalibrate our entire organisational structure. By admitting to the broader team that I was uncertain about the best way forward, I fostered a sense of collective ownership that enabled us to navigate this period together. This approach aligns with research that suggests leaders who reveal vulnerability foster trust and encourage authenticity in team relationships, which helps to break down hierarchical barriers.

2. Supporting growth through vulnerability

Admitting weaknesses or knowledge gaps can set the stage for a more effective learning culture. At Back In Motion, I initiated the Iceberg Leadership Program, designed to support individuals beyond titles or formal positions, focusing on character and purpose over technical skill. By embedding this approach into our culture, I openly recognised the limitations of our traditional, hierarchical system and demonstrated that I too was on a learning journey.

Research supports that when leaders model vulnerability by admitting what they don’t know, it encourages a growth mindset in their teams and allows for diverse talents to shine. The Iceberg Leadership Program fostered a space where team members could take risks, offer insights, and expand their leadership capacity in areas aligned with both professional and personal growth. By fostering this learning approach through shared vulnerability, our team was better prepared to face challenges, both individually and collectively.

3. Leveraging transparency to build trust and accountability

In HR literature, transparency is heralded as a foundation of trust. A significant moment in my journey occurred when financial complexities arose involving a key team member who was in a challenging personal financial situation. Allowing this individual to borrow temporarily from the company was an empathetic choice, yet one that eventually led to a financial discrepancy. Instead of downplaying the issue, I acknowledged the oversight openly and shared my thought process with the team, as difficult as that was.

This commitment to transparency made clear to the entire organisation that integrity was non-negotiable, regardless of personal connections. By addressing this situation openly, I reinforced a culture of accountability, reminding everyone that while vulnerability might reveal human error, it also strengthens the commitment to ethical standards. Research corroborates that teams feel more aligned with organisational values when they observe their leaders facing difficult truths head-on.

4. Vulnerability enables adaptive change

Change is inevitable, and leaders must adapt if they want their teams to follow suit. One of the most transformative periods at Back In Motion involved the shift to a less rigid organisational structure, one that required reshuffling roles and rethinking the way we approached responsibilities. The change was disruptive; not everyone supported it, and I had to accept that not every individual was ready to adapt. Being transparent about the necessity of change while acknowledging my own discomfort with it was crucial.

This transparency helped the team see that vulnerability wasn’t about showing weakness – it was about showing adaptability. As best practice reveals, leaders who demonstrate adaptability inspire the same in their teams. In our case, embracing a new organisational model eventually empowered individuals to take ownership of their roles, and it created an environment of mutual trust and resilience.

5. Building a resilient culture through compassionate leadership

Embracing vulnerability often goes hand in hand with empathy. During the COVID-19 pandemic, the mental wellbeing of our team became a priority. By conducting regular wellness check-ins and sharing my own struggles, I signalled that it was OK to seek support and prioritise mental health. This openness made it clear that I understood the weight everyone was carrying and valued their wellbeing beyond business performance.

Research in organisational psychology highlights that leaders who balance vulnerability with empathy create a workplace culture that promotes resilience. By sharing in the team’s hardships and demonstrating compassion, I encouraged team members to support each other, fostering a collective resilience that endured beyond the immediate crisis.

I can recount multiple moments in my career where embracing vulnerability turned into opportunities for growth and resilience across the entire team. Each experience reinforced that vulnerability isn’t about sharing every detail but about creating a culture of honesty, empathy, and mutual support. In HR and organisational psychology, vulnerability is increasingly recognised as a critical component of resilient leadership and sustainable team culture. By leading with vulnerability, we not only empower our teams to rise to challenges but also set the foundation for a robust, adaptive, and compassionate workplace culture.

Jason T. Smith is an author and the founder of the Iceberg Leadership Institute.