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Actually, this phrase has been misunderstood in general terms.
For example :
If you going to jump from a hill and the leader do not stops you. Do you think this is possible ? Is it possible that you will jump from a hill ? Answer is simply NO.
So what I feel is that, while doing a work when mistakes occurs, they are not intended to happen, they happens naturally, and while working mistakes are the teachers of right way, so A good leader do not take any hard actions on those mistakes and again inspires you to work in right way.
No one should take this statement to justify and accept committing mistakes, or even worse to allow them in advance even before they happen .. The results and the damages could be more than one could imagine. Positively, this statement could be used to (encourage) employees to do the work assigned to them even if there is a chance of mistakes. Employees should do their best anyway to avoid making such mistakes. But if they happen, managers/leaders would (tolerate) such mistakes as long as they are within tolerable limits.
Great leaders allow it to be taken as a learning opportunity.
As a leader, I found that one of the scariest things to do was to give your people the freedom to make mistakes. While mistakes allow individuals to learn and grow, they can also be very costly to any company. Scared as I was, I knew that truly great leaders found ways to allow their people to take these risks, and I genuinely wanted to be a great leader. I wanted to help my employees to grow. So I set out to discover how to accomplish this without placing my company in jeopardy.
Mistakes are bound to happen, none among the employees intend to make any. So a good leader allows SOME mistakes to happen, because to err is human.
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