Innovation
An organization's appetite for failure is one of the best measures of how much real innovation is happening inside it.
NVIDIA, Microsoft, OpenAI, Tesla have all run huge bills on failed starts. Compare that to other large companies that appear to be scared to fail - Intel, Apple, Google, Ford. A culture where innovation is projected as an important 'goal' eventually starts treating innovation as a thing to be measured, tracked, reported. Bundled with other measures, trackers and reports, a failed innovation attempt sticks out and makes the management chain look bad. Naturally attempts to try any radically new approach are discouraged - 'what if we fail?'. Updates transmitted up the chain are watered down or reworded to create an appearance of progress or success. This creates a spiral of imposed positivity which slowly drains the spontaneous energy that generates true innovative solutions.