Fostering Psychological Safety in SMEs: A Beginner's Guide

Last week I hosted a 30-minute webinar on Fostering Psychological Safety in the Workplace. If you would like to watch the recording you can do so here. For a quicker overview, I’ve summarised some of the key takeaways below:

What is Psychological Safety?

Psychological safety refers to the shared belief within a team that it's safe to take interpersonal risks, such as speaking up, asking questions, or admitting mistakes, without fear of negative consequences to self-image, status, or career. In psychologically safe environments, individuals feel comfortable expressing themselves, sharing ideas, and engaging in open dialogue without the fear of ridicule, rejection, or retaliation.

Google’s Project Aristotle identified five characteristics of high-performing teams at Google. Of the five, psychological safety was by far the most important and underpinned the other four; Dependability, Structure and Clarity, Meaningful work, and Impact of work. 

What does a psychologically safe workplace feel like?

  • Risk-Taking Without Fear: Team members feel safe to take risks around their co-workers, have conversations about difficult and sensitive topics, and have each other’s back.

  • Mutual Trust: No one fears embarrassment or punishment for admitting mistakes, asking questions, or proposing ideas.

  • Inclusivity: Team members feel welcomed and encouraged to bring their authentic selves to work.

A Psychologically Safe workplace isn’t …

Eliminating challenges or always agreeing: Constructive conflict and candid discussions are encouraged, allowing ideas to be challenged with mutual respect.

The absence of accountability: High standards and accountability coexist with psychological safety, fostering both risk-taking and responsibility.

Avoiding discomfort and always feeling comfortable: It’s about addressing challenges openly and constructively, not shielding people from discomfort.

Unrestricted freedom: Respectful and thoughtful communication is key; disruptive behaviour is not tolerated.

Why is Psychological Safety important?

Psychological safety drives success in several ways:

Innovation: Teams feel empowered to propose creative solutions and experiment without fear of failure.

Collaboration: Open communication builds stronger, more cohesive teams.

Employee Engagement: Valuing every voice enhances job satisfaction and commitment.

Resilience and Learning: A culture where mistakes are acknowledged and learned from fosters adaptability and growth.

Ultimately, psychological safety creates a positive, productive workplace where individuals thrive, collaborate, and achieve their goals.

How can psychological safety be improved?

Creating psychological safety involves several core practices:

Encourage Open Communication: Show that all ideas are welcome, and respect different perspectives.

Reward Candor and Curiosity: Create an environment where questions and new ideas are valued.

Model Vulnerability: Leaders should set the tone by sharing their own mistakes and growth experiences.

Address Issues Respectfully: Focus on learning from mistakes rather than assigning blame.

Leadership plays a crucial role. Developing leaders’ self-awareness helps them understand how their behaviours influence others and shapes the workplace culture.

By focusing on these principles, SMEs can foster environments where psychological safety flourishes, enabling innovation, collaboration, and resilience.


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