Are you an optimist or a pessimist? Before you accept a label too quickly or reject both labels in favor of “realist” (we have at least one partner who might be tempted to do that), consider the following.

In the mid-1980s, Dr. Martin Seligman and Mr. Peter Schulman conducted two studies among life insurance sales agents. The goal of the studies was to determine whether explanatory style is a predictor of productivity and attrition. Life insurance agents were natural research subjects because they frequently encounter failure, rejection, and indifference from prospective clients. Using a scale that measured an optimistic explanatory style versus a pessimistic explanatory style, Seligman and Schulman found that agents who are optimists sold 37% more insurance than pessimistic agents. Additionally, explanatory style predicted first-year survival and productivity for the second half of the year—meaning optimists were more likely to stick out the challenging first year. They were also more productive than pessimists after getting their footing during the first six months on the job.

Because most leaders want to demonstrate the determination and productivity associated with optimists in those studies, you may be wondering about the hallmark differences between an optimistic explanatory style and a pessimistic explanatory style. Glad you asked! Simply, optimism consists of positive mental expectations and explanations, whereas pessimism consists of neutral or negative expectations and explanations. Maybe some examples will help.

• Optimists assume that a good day is on tap. They have confidence in their abilities and attribute success to them. When good things happen, optimists offer positive explanations (“I worked hard on that project”) and anticipate that more good things will happen in other parts of their lives. When bad things happen, optimists balance self-criticism by acknowledging that many issues are caused by factors outside their control, and they anticipate things will get better. 
  
• Pessimists assume yesterday’s challenges will rise again today. They believe success is short-lived and that they will be overlooked in the future. When good things happen, they credit good luck rather than their own skills and abilities. When bad things happen, pessimists accept blame on themselves and anticipate that things will get worse.

So, are you an optimist or a pessimist? If you find yourself leaning more toward pessimism than you’d like, here are a few tips to enhance your optimistic explanatory style.

Give Yourself Credit
You are a leader because you have unique knowledge, skills, and abilities (KSAs) that others have noticed. When you, your team, and your organization experience success, take a moment to analyze how you contributed to that success. What KSAs did you offer, directly and indirectly, to get the result? We’re not asking you to discount the role others played; just acknowledge the role you played!

Repeat the Contribution
Once you’ve identified the KSAs you offered in a particular instance, look for more times, places, and circumstances that those KSAs can help. Maybe you were willing to ask difficult questions; find other moments those questions should be asked again. Maybe you reached out to a colleague who needed encouragement; find other moments to encourage the people around you. The key is to recognize you have control of many outcomes you, your team, and your organization experience.

Explore the Reasons Behind the Bad Things
When bad things happen, it’s important to reflect on the consequences, but it’s equally important to identify the reasons behind the bad experience and draw proper conclusions. For instance, a leader recently shared that she may have inadvertently damaged a new employee’s morale. When reflecting on the circumstances, she acknowledged that she was tired and rushed and coming off a negative experience with another employee. Rather than saying, “I’m a bad leader,” she recognized those factors led to a bad moment and mustered her resolve to isolate those variables in the future. She also immediately took action to connect with the employee!

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From Idea To Action: Take 10 minutes to reflect on a success you, your team, or your organization had last week. What credit should you give to yourself for that success? If you have an extra 5 minutes, we’d love to hear a response. Reply to this email to share it!