Source: Jim Collins, Good to Great (based on his conversation with Admiral James Stockdale)
Hold unwavering faith that you will prevail in the end while confronting the most brutal facts of your current reality. It avoids both blind optimism and despair.
When to use it
Use it during a prolonged difficult period, such as a long restructure or job search.
How to apply it
Write down the hard facts of your situation without softening them.
Separately write the long-term outcome you are confident you can reach.
Drop any deadline-based optimism, such as 'it will all be fine by Christmas'.
Set actions based on the facts, not on hope.
Review the facts each week and adjust the plan without abandoning the end goal.
Tip: Collins noted it was the optimists with fixed deadlines who struggled most when those deadlines passed.