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The Hidden Costs of Black and White Thinking

Posted by Kim Gusman, President & CEO on October 22, 2025

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Black-and-white thinking is a cognitive distortion that reduces the complexity of life to extremes. It’s tempting. It's easy. But it’s also misleading—and potentially damaging to people, not only in their personal lives, but also as leaders. When leaders only make decisions filtered through a black and white lens and only judge something as “this is good or that is bad,” we run the risk of limiting our growth, innovation, and perspective.

Many years ago, while going through a divorce, I sought the help of a therapist who helped me see that I was doing a lot of “Black and White Thinking.” I wanted to be the perfect mother and have the perfect marriage, and the idea of a divorce to me meant that I must be horrible at both. I had trapped myself into all-or-nothing judgments about myself (i.e. I was either successful or a failure), which was not good for my mental health.  Thankfully, my therapist worked with me on thinking in the gray, which allowed me to embrace a wide range of possibilities and acknowledge that, instead of labeling situations as just good or bad, each one most likely had multiple perspectives and layers of complexity.

The Problem with "Good" and "Bad"

In a world that wants immediate answers, it’s good to remember that when we label things quickly, we shut down curiosity and oversimplify nuanced situations, people, and outcomes. Consider an employee who underperforms on a project. A black-and-white judgment might label them as not a good fit. But what if the real story is more layered—a misalignment of communication styles, a lack of clear direction, or an undiscovered strength waiting to be applied elsewhere?

When leaders rely on binary thinking (only two options), they tend to:

  • Jump to conclusions
  • Dismiss unconventional ideas
  • Avoid calculated risks
  • Create rigid cultures that discourage experimentation

From Judgment to Curiosity

Now imagine a shift in mindset: Instead of asking “Is this good or bad?” ask, “What’s interesting about this?” That simple reframing invites curiosity over judgment. It allows space for learning, creativity, and deeper understanding.

What if instead of writing off a failed marketing campaign as “bad,” you explored what was interesting about the audience’s unexpected reaction? Or instead of labeling a challenging conversation as “difficult,” you recognized it as “interesting”—a moment revealing your team's real concerns?

Interesting Unlocks Insight

Thinking in terms of interesting fosters:

  • Open-mindedness: You become more receptive to alternative viewpoints and feedback.
  • Emotional intelligence: You're more equipped to respond with empathy rather than defensiveness.
  • Resilience: You see setbacks as opportunities to learn rather than failures to avoid.
  • Innovation: You cultivate a culture where trial and error is a path to discovery, not something to be feared.

How to Practice Interesting Thinking

Here are a few ways to put this mindset into practice:

  1. Replace labels with questions
    When your instinct is to judge, pause and ask: What’s happening here? What can I learn?
  2. Encourage curiosity in your team
    In meetings, reward thoughtful questions as much as bold answers. Praise effort and exploration, not just outcomes.
  3. Embrace nuance
    Recognize that most business decisions have trade-offs. Accepting “both/and” rather than “either/or” thinking allows for better strategy.
  4. Make reflection a habit
    After major decisions or events, debrief not just what went well or poorly, but what was interesting and why.

Final Thought

Black-and-white thinking may feel safe, and it certainly is easy to do, but remember that it’s a comfort zone disguised as clarity. True leadership lives in the gray, where the most interesting, innovative, and impactful things happen.

We cover this subject in more detail in our L.E.A.D. series, and also focus on breaking black and white thinking in our Critical Thinking training.  Let us customize for a leadership training or teambuilding workshop for your company as you wind down 2025 and get ready for 2026!