When fear is a tactic, everyone loses.
The people you manage find themselves locked into a holding pattern. Every step they take they think far to long to make. They walk on eggshells to appease and make sure they don’t incur the shame again.
It works, people start to make fewer mistakes and take less chances. This is when you pay – you have to deal with the stress energy and engagement falling off a cliff. New ideas stop as they have no room to grow.
If you want risk averse, great. Fear works wonders. Just don’t be surprised when you find yourself headed off a cliff in terms of relevancy.