Is Honesty Always the Best Policy?

"We often assume that more of a "good" leadership trait is always better. More confidence will inspire, more ambition will motivate, and more authenticity will build trust. But research tells us that's not the full story. Even the best leadership qualities can backfire when taken too far. In management research, Pierce and Aguinis (2013) call this the too-much-of-a-good-thing (TMGT) effect."

"What if honesty revealed something you didn't want to hear? Consider confidence as an example. Leaders who lack confidence struggle to inspire followers. Moderate levels of confidence can build trust and create momentum. Yet excessive confidence tips into arrogance, overreach, and poor decision-making. Honesty, like confidence, may also have this tipping point. We're told that "Honesty is the best policy." But is this always true?"

Many leadership qualities follow an inverted-U pattern: they help up to a point but become counterproductive when excessive. Confidence can inspire and build momentum at moderate levels but excessive confidence leads to arrogance, overreach, and poor decisions. Honesty boosts trust when calibrated but oversharing can unsettle employees and undermine relationships. The too-much-of-a-good-thing (TMGT) effect explains that traits valued in leaders and employees have optimal levels beyond which benefits decline. Effective leaders calibrate openness and authenticity to the context and audience to maintain trust and effectiveness. Positive traits require moderation and situational judgment.

Read at Psychology Today