There are times when you need to go all-in and not look back to boost your odds of success from risk taking.
"Across the centuries, military leaders — often outnumbered 10-to-1 — have quite literally burned their boats to give them no escape route, and to force them to achieve victory, said Matt Higgins, a guest investor on "Shark Tank" and executive fellow teaching at Harvard Business School.
For risk taking in our business lives, he says, "the boat is a metaphor for all of the things that keep us from fully reaching our potential — the backup plans, the hedging."
Higgins advises to trust your instincts, take the leap, and fully commit to future success by going all-in.
The Risk Taking Path Isn't Always Riskier
Higgins recounts a successful partner at a public relations agency that he helped convince to go out on his own.
The partner thought such a plan was too risky. Higgins offered the perspective it was riskier "leaving his fate partly in the hands of his colleagues and partners," he said.
"If you are depending on someone else's behavior for your prosperity, there is risk," said Higgins, author of "Burn The Boats: Toss Plan B Overboard And Unleash Your Full Potential." "You should want as much control over your fate as possible, as much power to plot your own future. The safest bet is the one you place on yourself."
The partner ended up launching his own firm and is now a self-made millionaire many times over.
Act On Lightning; Don't Wait For Thunder For Risk Taking
Higgins cites a cereal company that had a vision that no one else had. It wanted to mix the nostalgia people felt for the cereals of their childhood with the current trends toward healthier eating.
The data didn't back up their vision "but if they waited for evidence, they would have been too late," he said.
You're never going to be able to capitalize if you wait until opportunities are obvious and de-risked, Higgins said. "It's the difference between lightning and thunder. Most people don't act on the lightning. They wait for unmistakable confirmation in the sound of thunder. Don't wait; act."
Practice Strategic Boldness To Go All-In
It's hard to find a better example of "burning the boats," than the leaders of the American Revolution.
One trait so many of those leaders shared was boldness — or measured risk taking, said Pat Williams. Williams, the former executive vice president of the Orlando Magic, wrote "Revolutionary Leadership: Essential Lessons From The Men And Women Of The American Revolution."
Williams said leaders must take courageous but reasonable risk taking steps to achieve their goals.
"Bold leaders are not reckless, but they seize opportunities, act decisively, and avoid second-guessing," Williams said. "Bold leaders inspire confidence in their followers."
Eliminate Mental Barriers In Risk Taking
Acting first without overthinking what could go wrong has paid off before. Samuel Whittemore was the oldest documented Revolutionary War Soldier, at 78 years old. He was badly injured in battle at 80, recovered, and lived to 96.
Whittemore isn't some obscure footnote from history, he left a mark. In 2005 the Massachusetts Legislature declared him the official state hero.
"Find ways to put your talents to good use," Williams said. "Don't let anyone intimidate you or tell you your best days are behind you."
Vision isn't just for companies but also for you. "You must have a clear, inspiring picture of where you want to go and what you want to achieve," Williams said.
Ditch Plan B
It's not that a backup plan itself is a bad thing, Higgins said. Rather, "it's that the mere act of contemplating a Plan B sets in motion a feedback loop that dramatically lessens the probability that Plan A will come to fruition. People perform better when there is no safety net," he said.
A recent Wharton School study found the mere existence of a Plan B kept subjects from reaching their full potential.
"At the very moment you should be thinking, 'What's next?' You undermine your dreams by asking, 'What if?'" Higgins said.
