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Failure management and how one mistake can make you billions of dollars

Mariana Maciel, organizer of FuN São Paulo , shares her learnings on how to turn our failures into catalysts for growth.

By:
Mariana Maciel
November 26, 2024
Managing Failure: Key to Innovation

We all start our analysis of failure stories with that cliché: to make mistakes is human. But after this recognition and acceptance, what to do with the detected error, especially in professional environments?

The Culture of Failure Management

The issue is that organizations and we, as individual contributors or entrepreneurs, don't know what to do with this information. So something left untreated gives us much more chances of being repeated and even expanded.  

Recognizing it is important, but it is just the beginning of much greater work.

And it all starts with culture. For the error to really be seen realistically and as a driver of change, the environment needs to address this issue in a broad and structured way. It cannot be the work of just one area or a group of people.

Challenges and Opportunities in Failure Management

What unfortunately happens in most organizations is that this becomes a topic within an innovation team, for example, and the topic ends up becoming an island among the rest of the organization. Almost like in a zoo, the “wild” subject is seen from the outside and admired as something very disruptive. But all it takes is for that same “animal” to appear here in my room and I kick it out without even giving it the chance to pet it.

And just like all culture work, it goes through stages and processes for implementation:


What is my level of acceptance of the presence of failure in my organization and what is done with it?

It is important to take advantage of moments such as yearly surveys or other assessments within teams to raise the topic anonymously. Understand the level of maturity of the areas in the organization in relation to the topic, to know how to create an action plan, recognize strong and developing points. 

An organization may not be good at identifying or admitting mistakes, but it may have a good profile for crisis management or quick adaptation to the market. This will certainly make it easier for you to act on route changes when the mistake occurs. But it can also be a place where employees do not feel open to vulnerability, which already presents us with a certain scenario to be covered. 

Another organization may be very good at being open to vulnerability, but is not open to innovation and is extremely attached to traditional processes. This already brings us to another scenario that needs to be challenged.

What is the right action plan for my reality?

In the case of a company with an aversion to vulnerability, we already see that it will be necessary to develop soft skills that will involve change management, the search for consultancies focused on the topic and even a new element in performance assessments, for example. In organizations that are not very open to innovation and are very focused on processes, it will be necessary to implement new methodologies, such as Agile, a focus on test & learn and the search for quick experimentation.

The point is that for each environment a specific action plan must be created, in a precise and detailed manner. In this theme there is no “one size fits all”.

And a very important point is also to measure this evolution, establishing metrics related to each environment, ranging from turnover to the number of new ideas generated and applied, for example.

And mistakes aversion is completely linked to reduced innovation. In a world of such rapid change, organizations that want to perpetuate themselves over time need to be constantly innovating, regardless of the sector in which they operate or the type of service they offer. In an organization that is averse to error, its employees will have more difficulty adhering to new approaches and tools, due to the fear of making mistakes and being exposed. This resistance generates conflicts, reduces productivity, until we reach obsolescence.

Leveraging mistakes to build the road to Innovation in my company/organization

According to Nielsen, in 2020, products born from mistakes generated more than US$ 50 billion in global revenue. This number reflects the significant impact these accidental innovations can have on the global economy. 65% of consumers also said they were willing to try new products that arose from mistakes or accidents.

The Post-it story is a perfect example of how a mistake can lead to success. Initially, 3M did not know how to market a weak adhesive created by the company. However, when Art Fry came up with the idea of using the sticker to mark pages, the company saw an opportunity. Today, the Post-it is a billion-dollar product, available in more than 100 countries and in hundreds of variations. This success not only generated huge revenues for 3M, but also solidified the company's reputation as a leader in innovation.

Conclusion: 3 tips to improve and apply what I have learned during my failures

It's never too late to change your route. Some essential points for those who want to be inspired and use mistakes as a source of improvement are:

  • Promote a culture of learning and experimentation;
  • Celebrate small successes;
  • Establish constructive feedback to transform failures into opportunities.‍

Failure management is not only necessary, it is fundamental for success and continuous innovation, promoting personal growth through facing adverse situations.


And the most important thing is to understand that it is never too late to start over. Error detected? Change the route, adapt and renew your path. Who knows, maybe the next Post-it in your market is on your side and you just didn't see it because you were afraid of making a mistake?

Edited by

Fuckup Nights

Failure management and how one mistake can make you billions of dollars
Mariana Maciel
Content Strategy Manager LATAM at J&J | Organizer of Fuckup Nights São Paulo
Mariana Maciel is a journalist with more than 20 years of experience in corporate communications, content and digital marketing. Current organizer of Fuckup Nights São Paulo.
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Let's transform our perception of failure and use it as a catalyst for growth.