Welcome back to Leadership Unpacked where we turn today's biggest challenges into actionable insights. I'm Hannah Hally, and today we're diving into the topic of building resilience in teams.

Resilience isn't just about bouncing back, it's about building the strength to face new challenges, adapt to unexpected changes, and emerge stronger each time. We'll explore lessons from Option B by Sheryl Sandberg and Adam Grant and Grit by Angela Duckworth, combined with real life stories from companies like Airbnb and Nike.

By the end of this episode, you'll have practical strategies to help your team not just survive setbacks, but thrive in the face of them. Let's start by talking about what it means to build resilience in a team.

In Option B, Sheryl Sandberg and Adam Grant explore resilience as more than just an individual trait. It's something that can be cultivated across an entire team. They define resilience as the ability to adapt well and grow stronger in response to adversity. And they argue that while resilience is often associated with bouncing back, true resilience is about learning, adapting and finding new ways forward.

Resilient teams are those that don't just survive setbacks. They find ways to use adversity as a catalyst for improvement. But resilience doesn't just happen on its own. It's a skill that teams can actively build and strengthen over time.

It's worth noting that resilience is like a muscle. The more you exercise it, the stronger it gets. When teams learn how to work through obstacles, they build a sense of unity and trust, which only makes them better prepared for future challenges.

One of the best examples of team resilience in action is Airbnb's response to the COVID-19 pandemic. When the pandemic hit, global travel ground to a halt and Airbnb's bookings plummeted almost overnight. It was a potentially devastating situation for the company.

Rather than panicking or giving up, Airbnb's leadership team, led by CEO Brian Chesky, rallied to find a way forward. Chesky didn't shy away from the harsh reality. He communicated openly with employees about the company's financial situation, discussing the difficult decisions that had to be made.

Unfortunately, layoffs were necessary and the company had to pivot its focus. But what was remarkable was how Chesky and the team approached this period of crisis. Airbnb shifted from focusing on short-term rentals to promoting long-term stays and local experiences, capitalising on the trend of people working remotely and seeking travel options closer to home.

This pivot required the team to work quickly, adapt their marketing, and even revamp some of their core offerings. Thanks to this resilience and adaptability, Airbnb was able to recover, eventually going public with one of the largest IPOs in 2020.

Airbnb's story demonstrates that resilience isn't about avoiding challenges. It's about facing them head on, pivoting when necessary, and keeping the team aligned on a new direction. This type of resilience is only possible when leaders communicate openly, set realistic expectations and foster an environment where team members feel safe to bring their ideas forward.

And let's be real. Who wasn't scrambling to figure out a new normal at that time? We all became experts at making our living rooms look like exotic getaways on Zoom, or at least trying to… but Airbnb's resilience is proof that a team can adapt under the toughest circumstances, even when the normal they knew has completely changed.

Another compelling example of resilience is Starbucks' ability to navigate economic downturns. During the 2008 financial crisis, Starbucks faced declining sales as customers began cutting back on discretionary spending.

Many thought the brand would suffer given its premium pricing. However, Howard Schultz, Starbucks' CEO at the time, didn't respond with drastic cost-cutting measures. Instead, he focused on maintaining the company's culture and values.

Schultz emphasized quality, customer experience, and employee engagement, even during tough times. He famously closed 7,000 stores for a day to retrain baristas, showing a commitment to quality over profit.

Rather than sacrificing Starbucks’ identity, Schultz used the crisis as an opportunity to strengthen it. This resilience helped Starbucks emerge from the recession stronger than ever, reinforcing customer loyalty and brand value.

This approach speaks to what Sandberg and Grant highlight in Option B. Resilience doesn't mean compromising on values. It means finding ways to adapt while staying true to your mission. Schultz's resilience wasn't just about keeping the business afloat, it was about keeping the company's purpose intact.

Both of these examples underscore another key factor in resilience: shared goals. When a team understands and believes in a common mission, they're more willing to pull together during challenging times.

In Option B, Sandberg and Grant talk about how shared purpose can fuel resilience. Teams that understand the why behind their work are better equipped to face obstacles because they know what they're working towards.

Consider Doctors Without Borders — Médecins Sans Frontières — an organisation where resilience is essential to their mission. Their teams work in some of the most challenging environments around the world, from war zones to areas hit by natural disasters.

Despite the incredible challenges, their teams remain motivated and resilient, working together to save lives. The resilience of the Doctors Without Borders teams comes from a shared sense of purpose. They're all there because they believe in providing medical care to people in need, regardless of location or circumstances.

That commitment and shared mission are what drive their teams to work under extreme conditions without giving up. The resilience we see in organisations like Doctors Without Borders reminds us that when a team is truly aligned around a meaningful goal, they can achieve things that might seem impossible.

Shared purpose fuels resilience because it gives people something bigger than themselves to work towards.

So what can we take away from these examples? Whether it's Airbnb adapting to a global crisis, Starbucks holding true to its values during an economic downturn, or Doctors Without Borders bringing healthcare to remote regions, resilience in teams is about facing the challenges directly, communicating openly and aligning around a shared purpose.

In the next segment, we'll dive into the concept of grit and how fostering it within your team can strengthen their resilience even further. Stick around as we explore insights from Grit by Angela Duckworth and look at how companies like Nike have embodied grit to overcome market challenges.

Resilience is essential for navigating setbacks, but another crucial ingredient in building strong teams is grit. Angela Duckworth defines grit in her book Grit as a combination of passion and perseverance over the long haul.

While resilience helps us bounce back from short-term challenges, grit is what keeps us moving forward toward long-term goals — especially when the going gets tough.

Grit isn't just about sheer determination, it's about staying committed to a vision and consistently putting in the effort to make it a reality, no matter how long it takes.

One of the best examples of grit in business is Nike's response to intense market competition in the 1980s. At the time, Reebok had surpassed Nike in popularity, especially in the women's market. Many brands might have panicked or tried to follow trends to catch up, but Nike, led by co-founder Phil Knight, didn't chase Reebok's approach.

Instead, they doubled down on their core values of innovation, athletic performance and quality. Nike's response was the now-famous Just Do It campaign, launched in 1988. This wasn't just a marketing slogan — it was a declaration of Nike's gritty, no-excuses philosophy.

The campaign resonated with people of all ages and athletic abilities, inspiring them to push their limits and embrace a mindset of resilience. The slogan became part of Nike's identity and has since guided the company through multiple market shifts.

Nike's grit and refusal to deviate from its core identity helped it reclaim market dominance and build one of the most recognized and enduring brands in the world. Just Do It was a rallying cry that encouraged people to tackle challenges head on, embodying the very grit that the company was built on.

Nike's story shows us that grit doesn't just apply to individuals — it's a quality that entire organisations can develop. By staying committed to a core mission and putting in the effort day in and day out, a team can achieve remarkable things even when faced with tough competition.

Another example of grit on a grand scale is SpaceX and Elon Musk’s vision to make life multi-planetary. Musk’s goal of reaching Mars has been met with scepticism from day one. SpaceX faced countless challenges, from failed rocket launches to financial instability.

At one point, after a series of launch failures in 2008, SpaceX was just one failure away from bankruptcy. But Musk and his team showed incredible grit. They learned from each failure, made improvements with each attempt and eventually succeeded in launching Falcon 1 — the first privately developed rocket to reach orbit.

Since then, SpaceX has made groundbreaking achievements, including the first reusable rockets and launching astronauts to the International Space Station.

Their ultimate goal of reaching Mars is still years away, but their grit has enabled them to make steady progress toward it. SpaceX's journey teaches us that grit isn't about a single triumph. It's about perseverance through repeated setbacks and staying focused on a long-term vision.

What SpaceX has shown is that grit often means being willing to fail and learn repeatedly, all while staying focused on the ultimate goal. It's not about quick wins, it's about consistent, often gruelling effort over time. And the same goes for any team facing big challenges.

When grit is embedded in the team's DNA, even the wildest goals seem achievable. So how can you foster this kind of grit within your own team?

Building grit means encouraging both passion and perseverance. When a team is passionate about their work, they're more likely to stay motivated and committed to long-term goals. But passion alone isn't enough.

Grit requires daily commitment to progress, even when setbacks happen. One way to foster grit is to connect your team to a larger mission or purpose. Take Patagonia as an example. Patagonia has a clear mission focused on environmental sustainability.

Patagonia's mission goes beyond selling clothing — it's about protecting the planet. Employees at Patagonia are deeply connected to this purpose, which fuels their grit. Knowing their work has a broader impact keeps them engaged and resilient even when challenges arise.

When your team is aligned with a purpose that resonates with them, they're more likely to persevere through tough times. Having a shared mission can be an anchor that keeps everyone grounded and committed to the long haul.

Another practical way to cultivate grit is to set and celebrate milestones. Grit can feel exhausting without a sense of progress, so setting smaller, achievable milestones along the way helps keep motivation high.

Nike didn’t just launch Just Do It and sit back. They continually pushed the envelope, introduced new products, sponsored athletes and expanded the brand. Every achievement, no matter how small, fuelled the team’s commitment to the bigger picture.

Regularly celebrating wins helps teams stay energised. And honestly, even a shout-out in a meeting — or snacks — goes a long way.

Grit often starts at the top. When leaders model perseverance, positivity and determination, it inspires the entire team. Elon Musk’s relentless work ethic at SpaceX set the tone for a culture built around pushing boundaries and refusing to quit.

As a leader, showing your team that you're committed to pushing through challenges builds a culture where grit is valued, and when your team sees you staying the course, they're more likely to do the same.

Finally, fostering a growth mindset is key to building grit. Carol Dweck’s growth mindset teaches us that skills and abilities can be developed through effort. When teams view challenges as opportunities to grow, resilience naturally increases.

Google famously encourages growth mindset by rewarding attempts at innovation — even if they fail — as long as teams learn something valuable. This approach keeps people motivated to try again, iterate and improve.

It’s like running a marathon: you don’t go from the couch to 26 miles. It’s the daily training, grit and those “why did I sign up for this?” moments that get you there. Building grit in teams works the same way — small steps, taken consistently, create something amazing.

To sum up, building grit involves connecting your team to a larger mission, celebrating milestones, modelling perseverance and fostering a growth mindset. Grit isn’t about never failing — it’s about learning, improving and pressing on toward long-term goals even when the road gets tough.

Next, we'll talk about fostering a supportive environment where team members feel safe to share ideas, ask for help and grow together. Stay with us as we explore insights from Option B and how creating psychological safety can strengthen team resilience.

Resilience and grit are essential qualities for teams, but they're difficult to cultivate if team members don't feel supported. A strong team environment is one where members feel psychologically safe — where they know they can share ideas, ask for help and admit mistakes without fear of judgement.

In Option B, Sandberg and Grant emphasise that this kind of supportive culture is essential for resilience. When teams have psychological safety, they're better able to face challenges together and move forward with confidence.

One of the best examples of psychological safety in action is Google’s Project Aristotle. After extensive research, the team found that the single biggest predictor of team success wasn’t skills or personality — it was psychological safety. Teams where members felt safe to take risks, ask questions and share ideas performed significantly better.

Another example comes from Satya Nadella’s cultural transformation at Microsoft. When Nadella took over as CEO, he recognised that Microsoft had become overly competitive and siloed. To change this, he championed a shift from a “know-it-all” to a “learn-it-all” culture, encouraging curiosity, learning and openness to failure.

This shift fostered a psychologically safe environment where people felt comfortable sharing ideas and taking risks — leading to a surge in collaboration and innovation.

Building this kind of environment in your team starts with a few key strategies:

1. Encourage open dialogue. Create space for regular check-ins where everyone feels comfortable sharing concerns or ideas. Nadella hosted open Q&A sessions to build transparency and connection.

2. Lead with vulnerability. When leaders admit mistakes and ask for feedback, it encourages others to do the same. Sheryl Sandberg spoke openly about vulnerability after personal tragedy — helping create a more understanding, empathetic culture.

3. Reward collaboration. Celebrate team wins instead of just individual achievements. Pixar’s Braintrust model focuses on improving the work collectively, making feedback a shared, safe process.

4. Create safe spaces for feedback. Feedback should be focused on growth, not criticism. Structured, respectful sessions help teams build trust and improve together.

By focusing on these behaviours, you create a culture where resilience and grit can genuinely thrive.

Now that we've explored resilience, grit, psychological safety and supportive environments, let's look at practical strategies for building resilience in everyday work.

Resilience is built on trust — and trust starts with open communication. Especially during challenging times, teams need space to share, ask questions and feel heard.

Airbnb’s weekly company-wide check-ins during the pandemic are a perfect example. Brian Chesky’s transparent updates helped the entire organisation feel informed and supported.

Celebrate progress and small wins. Adobe’s transition to Creative Cloud met resistance — but they celebrated each milestone, which helped maintain morale during major transformation.

5. Promote continuous learning. IBM’s Think Academy supported employees in adapting to new roles, building resilience by expanding people’s skills and confidence.

6. Foster empathy. Indra Nooyi’s leadership at PepsiCo showed how empathy builds trust and resilience. When people feel valued for who they are, not just what they produce, they bring their best.

7. Reinforce purpose. TED’s mission of “ideas worth spreading” gives its team an anchor — a reason to keep pushing even when pressures rise.

Let’s recap the practical strategies:

Encourage communication. Celebrate small wins. Promote learning. Model empathy. Reinforce purpose.

Each strengthens resilience by building trust, motivation and unity. A resilient team feels connected, valued and ready to move forward together.

As we wrap up, remember: resilience isn't a fixed trait. It's built through environment, culture, habits and leadership. When leaders create the right conditions, teams don’t just bounce back — they grow stronger.

And let’s face it — life and work are full of plot twists. Resilience prepares your team for the unexpected, just like following a mystery series prepares you for every twist in the next episode.