“The pessimist sees difficulty in every opportunity. The optimist sees the opportunity in every difficulty.” — Winston Churchill

Vice Admiral James Stockdale was a prisoner of war in Vietnam for seven years. When asked by author, Jim Collins, how he survived, he described balancing hope and realism. Collins summarizes the concept that has become known as “The Stockdale Paradox“: Retain absolute faith that you can and will prevail in the end, regardless of the difficulties AND confront the most brutal facts of your current reality whatever they may be. Stockdale said that the optimists didn’t survive capture because they told themselves that release was right around the corner and they died of a broken heart.

The Bottom Line: Leaders get on a war footing, tempering optimism with the brutal reality of their situation.