Overcoming Scarcity Mindset: The Resourced Leaders Guide #6

Let me kick off this week's blog with a personal story, one that's been a driving force in my journey as a Trauma informed Coach. Scarcity mindset isn't just a topic I talk about; it's something I've intimately grappled with. For years, I found myself in a relentless cycle of not feeling good enough, of not doing enough, of not having enough. The weight of this scarcity thinking was heavy, and it held me back from pursuing my dreams.

My own struggles with scarcity mindset are what inspired me to delve deeper into this complex issue. I also saw how pervasive scarcity thinking was in my industry of International Development and how my colleagues and other consultants were battling burn out and scarcity thinking. I became a trauma informed coach and I’m not in the process of becoming Trauma of Money Coach to not only understand and heal my relationship with abundance but also to help others facing similar battles. What I've found is that scarcity mindset is one of the biggest hurdles my clients grapple with. They, too, constantly wrestle with feelings of inadequacy, a nagging sense that they don't measure up, and the ever-present belief that they're not doing or having enough.

So, why is this topic so vital in today's world?

Understanding the Pervasiveness of Scarcity Mindset

Capitalism and Patriarchy: Scarcity mindset is deeply intertwined with the systems we live in. Capitalism often thrives on a culture of scarcity – it encourages us to strive for more, fostering competition and hierarchy. The patriarchy, too, perpetuates scarcity by dictating rigid standards of success and worthiness.

The Digital Age Dilemma: The era of social media and the 24/7 news cycle further exacerbates scarcity thinking. Our nervous systems are on constant high alert, perpetually in fight-or-flight mode. The relentless exposure to problems worldwide leaves us in a state of constant need, constantly seeking external solutions to fill our internal voids.

Media Influence: Mass media amplifies scarcity thinking by magnifying problems and accentuating shortcomings. This relentless focus on scarcity fuels our feelings of incompleteness and anxiety, convincing us that something crucial is perpetually missing from our lives.

Global Unrest and the Pandemic: The COVID-19 pandemic, coupled with global unrest, has added fuel to the fire of scarcity thinking. The uncertainty, fear, and instability that have become a daily part of our lives intensify our sense of scarcity. We find ourselves continuously on edge, our nervous systems overloaded with stress.

Now, you might wonder, how does scarcity mindset relate to resourced leadership?

The Scarcity-Resourced Leadership Connection

Scarcity thinking can significantly hinder our ability to lead effectively. It keeps us locked in a loop of fear, preventing us from taking calculated risks and making bold, innovative decisions. In international development and social change, it's ironic that we're trying to alleviate scarcity for others while ignoring our own. It's akin to trying to fill a leaky bucket.

Scarcity thinking casts a long shadow over leadership in the business world. When business leaders are mired in thoughts of insufficiency and competition, it can stifle creativity and innovation within their teams. A constant focus on scarcity can lead to risk aversion, making leaders hesitant to explore new opportunities or invest in growth. This mindset often trickles down, affecting the organizational culture and making it challenging for employees to feel empowered and take ownership of their work.

Moreover, leaders entrenched in scarcity thinking may struggle to build strong relationships and collaborations, as they view others as potential threats rather than allies. Ultimately, scarcity thinking hinders effective leadership in business by constraining leaders' ability to envision and pursue ambitious goals, make bold decisions, and create an inclusive, thriving workplace.

The nonprofit model, while founded on noble intentions, can inadvertently perpetuate scarcity thinking within organizations. Constantly seeking funds and resources to fulfill their missions, nonprofits often find themselves in a perpetual state of financial uncertainty. This scarcity mindset can lead to a relentless focus on survival, diverting attention away from long-term strategic planning and innovative solutions. Nonprofit leaders may become consumed by competition for limited grant dollars and donor support, fostering a sense of lack and rivalry among organizations with shared goals. This constant struggle for resources can undermine collaboration and hinder the sector's collective potential for meaningful impact. To truly thrive, nonprofits need to shift from a scarcity mindset to one of abundance, recognizing the value they bring to their communities and exploring innovative, sustainable funding models that empower them to focus on their missions rather than their survival.

Moreover, scarcity thinking isn't merely a mental construct; it's deeply connected to our nervous systems. This chronic activation hampers our ability to regulate our emotions, make clear decisions, and effectively communicate. This can impact all our relationships at work and at home.

Recognizing Scarcity Mindset

Comparison: Feeling like you're constantly falling short, measuring your worth by external standards.

Fear-Based Decisions: Letting fear dominate your choices, resulting in a reluctance to take risks.

Blame Game: Assigning blame to external factors for your situation, often feeling like a victim of circumstance.

Control Issues: Difficulty trusting others or delegating tasks because you fear losing control.

Hoarding Resources: Whether it's physical possessions, time, or information. This behavior can lead to isolation and missed opportunities for collaboration and growth.

Fixed Mindset: People in a scarcity mindset often have a fixed mindset when it comes to their abilities and potential. They believe that their skills and talents are limited and cannot be developed further.

Embracing Abundance: Your Journey Begins Now

Here's the exciting part: You can break free from scarcity thinking. The path to abundance begins with awareness – recognizing when you slip into scarcity mode. This awareness is your first step toward transformation.

Cultivating gratitude is another powerful tool, helping shift your mindset towards abundance. Regularly acknowledging and appreciating what you do have can change your perspective.

Setting healthy boundaries, which is an essential aspect of self-care, aids in regulating your nervous system. Creating these boundaries can be transformative in your journey.

And remember, you're not alone on this path. Share your struggles and support each other. Building connections and fostering a sense of belonging counteracts isolation.

A simple exercise

One of my favorite exercises is called “Facts Versus Fake News.” I walk many of my clients through this exercise to gain clarity when they are engaging in scarcity thinking.

The goal is simple: to catalog thoughts as they appear. And then to assess whether the thoughts are grounded in reality (aka facts) or whether they’re grounded in scarcity stories we tell ourselves (aka fake news).

Here’s how it works:

The results of this exercise can be enlightening.

What you’re likely to uncover are places where your inner truth clashes with reality. Places where you are telling yourself stories of scarcity thinking.

These limiting beliefs are holding you back. And, until you address them, you’ll continue to struggle making decisions.

And, here's a shameless plug: Stay tuned for my upcoming e-book, an in-depth exploration of overcoming scarcity mindset.

Feeling like you need more personalized guidance on this journey from scarcity to abundance? Reach out to me – I'm here to help.

Together, we can shift from scarcity to abundance and lead with resilience and authenticity.

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