How to Admit Mistakes & Increase Your Influence
Everyone makes mistakes......
Yet some leaders and organizations emerge from mistakes stronger than before. Instead of damaging their credibility, the situation actually strengthens it.
Research suggests that the difference often lies in how the mistake is explained.
In one study, researchers examined companies that had made poor financial decisions. They wanted to understand whether different explanations affected how the companies were perceived afterward.
Some companies attributed the mistake to external factors, such as economic disruptions or circumstances beyond their control. Others acknowledged internal causes, such as staffing problems or internal decision-making failures.
The results were striking........
Companies that attributed their mistakes to internal, controllable factors performed better across multiple measures. Public perception improved. Profit performance was stronger. In some cases, these companies even saw higher stock prices a year later compared with those that blamed outside forces.
Why would admitting responsibility produce better results?
There are two important reasons:
First, acknowledging internal causes signals control. When leaders explain a failure in terms of factors they can influence, observers assume they have the ability to correct it. Blaming external forces, on the other hand, suggests helplessness.
Second, internal explanations imply a plan for improvement. If the cause of the mistake lies within the organization, people assume that the organization can take action to fix it.
Together, these signals restore confidence.
This insight reflects a broader principle of influence: people are more persuaded by individuals who appear both honest and capable.
Admitting a mistake demonstrates honesty. Explaining how it will be corrected demonstrates competence. And when honesty and competence appear together, credibility increases.
For leaders and professionals alike, the lesson is clear. When a mistake occurs, acknowledge it directly. Attribute it to something within your control. Then explain the steps you will take to improve.
Handled this way, a mistake does not weaken influence - It can strengthen it.
Influence Insight 💡:
Admitting controllable mistakes signals both honesty and competence—and credibility grows when both are present.