Second, despite their frustrations, these production managers felt that they were making history and that John was an inspired leader. Toy Story was a meaningful project to work on. That they liked so much of what they were doing allowed them to put up with the parts of the job they came to resent. This was a revelation to me: The good stuff was hiding the bad stuff. I realized that this was something I needed to look out for: When downsides coexist with upsides, as they often do, people are reluctant to explore what’s bugging them, for fear of being labeled complainers. I also realized that this kind of thing, if left unaddressed, could fester and destroy Pixar.

This is trickier than you might think. As a group, Pixar’s people take pride in their work.
They’re ambitious high achievers who want to do their best and then some. On the management side, we want the next product to be better than the last, while at the same time we need to meet budget and schedule requirements. Inspiring managers push their people to excel. That’s what we expect them to do. But when the powerful forces that create this positive dynamic turn negative, they are hard to counteract. It’s a fine line. On any film, there are inevitable periods of extreme crunch and stress, some of which can be healthy if they don’t go on too long. But the ambitions of both managers and their teams can exacerbate each other and become unhealthy. It is a leader’s responsibility to see this, and guide it, not exploit it.

If we are in this for the long haul, we have to take care of ourselves, support healthy habits,
and encourage our employees to have fulfilling lives outside of work. Moreover, everyone’s
home lives change as they - and their children, if they have them - age. This means creating a culture in which taking maternity or paternity leave is not seen as an impediment to career advancement. That may not sound revolutionary, but at many companies, parents know that taking that leave comes at a cost; a truly committed employee, they are wordlessly told, wants to be at work. That’s not true at Pixar.

Still, people felt vulnerable - and that bred suspicion. More and more, I began to think that many of our employees viewed any change as a threat to the Pixar way (and, as such, to our ability to be successful going forward).

In short, Pixar had the kind of diverse problems that any successful company has. But chief among them, to my mind, was that more and more people had begun to feel that it was either not safe or not welcome to offer differing ideas. This hesitancy was difficult to see at first, but when we paid attention, we saw many clues that people were holding back. To me, that meant one thing: We, as leaders, were allowing some faulty ideas to take hold, and that was bad for our culture.

There is nothing like a crisis, though, to bring what ails a company to the surface. And now, we had three crises brewing at once: (1) Our production costs were rising and we needed to rein them in; (2) External economic forces were putting pressure on our business; and (3) One of the central tenets of our culture - good ideas can come from anywhere, so everyone must feel empowered to speak up - was faltering. Too many of our people - and to my mind, “too many” is the same as “any” - were self-censoring. That needed to change.

It is not helpful to feel sorry for ourselves. I’m sure our employees don’t need any rah-rah speeches. We need leadership and a sense of direction and momentum, not just from me but from all of us. I don’t want to see a lot of prophets of doom around here. I want can-do people looking for short-term victories and long-term excitement.” I told them there was no time to focus on who created our problems. I had no interest in that. “We have little time to spend on problem definition. We must focus our efforts on solutions and actions.