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Improvement

Exploring Shared Assumptions and Beliefs with the Help of an AI Chatbot

March 27, 2024
Actionable Insights, AI, Alien tech, Article, Business, Chatbots, Collective psyche, Conversations, Dialogue, Improvement, Leadership, Memeology, Organisational effectiveness, Organisational Therapy, Quintessence
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Exploring Shared Assumptions and Beliefs with the Help of an AI Chatbot

Introduction

As businesses strive for innovation and growth, they often find themselves running up against unseen barriers – ingrained ways of thinking and behaving that can severely limit their ambitions and ability to adapt. In many cases, these constraining (shared) beliefs and assumptions live under the surface, making them extremely difficult to identify and uproot.

This sample dialogue (below) aims to illustrate how engaging with an AI chatbot like Claude can provide a fresher, more impartial perspective to help bring those unconscious blockers into the light. By asking probing questions and suggesting reframes, an AI can serve as a cooperative thinking partner to explore the root causes behind an organisation’s collective blind spots.

Let’s take a look at how this conversational process might unfold:
(Note: this is an actual dialogue generated by ClaudeAI)

Overcoming Organisational Blind Spots: A Candid Dialogue

Are Collective Mindsets Holding Us Back?

Business Team: We’re really struggling as a team at work. Our growth and innovation have hit a plateau, and we can’t seem to get over this hump. We feel like there are some underlying assumptions or beliefs that we all unconsciously share that are limiting our thinking, but we can’t quite put our finger on what they are. Any thoughts?

Claude: That’s an insightful observation. Could you elaborate on the areas where your team has faced repeated roadblocks or struggled to adapt? Have you noticed any patterns in how new ideas get instantly dismissed or shut down?

The Perils of Risk-Aversion

Business Team: You know, now that you mention it, we do tend to instinctively shut down ideas that seem too ambitious or radically different from our current model. There’s an assumption that taking big swings is too risky and that we’re better off sticking to incremental innovations.

Claude: I see, so there seems to be an excessive aversion to risk-taking that could be crippling your team’s ability to innovate more boldly. Where might this belief originate from? Perhaps past failures that bred excessive caution within the team?

Overconfidence from Past Successes

Business Team: And you’re right, we may be overly reliant on past glories and successes rather than pushing for true disruption these days.

Claude: Overconfidence and complacency from previous successes is a common pitfall for teams. Have you explored where those constraining beliefs originated within your group? Sometimes they start from overcorrecting after a past failure. Or they take root from excessive short-term focus and risk-aversion in decision making over time.

Business Team: You’ve hit the nail on the head. We can trace the risk-aversion back to a few high-profile product launches that failed a few years ago. And the reverence for our old products stems from the founders still being closely involved, constantly reminiscing about how we initially disrupted the market.

Shattering Ingrained Narratives

Claude: Those do seem like major sources of the limiting beliefs constraining your team’s thinking. But how can you start dismantling and changing those ingrained narratives collectively? Here are some suggestions:

  1. Make the limiting beliefs explicit and discuss them openly together as a team. Bringing these unconscious biases into the light is key.
  2. Have you analyzed instances where those beliefs caused you to miss opportunities and calculated the cost of leaving innovation on the table as a group?
  3. Could you find examples of competitors or companies in other industries who have succeeded by doing the opposite – embracing risks, continuously reinventing themselves? Study how they cultivated a different organizational mindset.
  4. Implement structural changes to counteract the limiting beliefs. For instance, explicitly weighing the cost of inaction, having an “innovation ombudsman” role, or celebrating failed experiments more than static successes.
  5. Bring in fresh perspectives through new hires, industry experts, or even customers who can challenge the status quo assumptions.

The ultimate ambition might be to make curiosity, experimentation, and an appetite for disruption core cultural values for your team and organisation.

Business Team: This is immensely helpful. We have a much clearer picture now of how to diagnose and deliberately shift our unhelpful collective beliefs as a team. Change starts by bringing those unconscious biases into the light through open discussion. We really appreciate you laying out such a detailed framework – we’re energized to start implementing these ideas right away.

Bringing in an Organisational Psychotherapist

Sometimes, even with the best intentions, it can be extremely difficult for a team to identify and overcome their own deep-seated collective assumptions and beliefs on their own. This is where bringing in an outside organisational psychotherapist can be invaluable…

By prompting deeper reflection, offering new perspectives, and designing tailored interventions, an experienced organisational psychotherapist or AI assistant can catalyse the crucial process of surfacing and reflecting upon an organisation’s dysfunctional beliefs and narratives.

While working with a human expert may ultimately be advisable for any complex organisational transformation, this dialogue demonstrates how an AI like Claude can provide a potential first step. Through probing inquiries and analytical detachment, an AI chatbot can shed light on the obscured mental models that might be unwittingly obstructing an organisation’s path to greater innovation and growth.

The Corporate World’s Superficial Psychology

March 26, 2024
Article, Business, Capability development, Culture change, Improvement, Joy, Leadership, Organisational effectiveness, Psychology, Quintessence
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The Corporate World’s Superficial Psychology

Businesses Ignore Deming’s Call for Real Behavioural Insight

W. Edwards Deming, the pioneering management thinker, strongly advocated for businesses to develop a deeper understanding of psychology in order to optimise systems, drive improvement, and bring joy and pride in work to the workplace.

“Understanding psychology, the study of human behaviour, is the key to managing people.”

Deming wrote. Yet decades after Deming’s teachings, most businesses remain woefully ignorant about true human psychology and behavioural drivers.

The Superficial ‘Pop Psych’ Fixation

Instead of delving into substantive research from psychology, cognitive science, and behavioural economics, the corporate world tends to favour simplistic “pop psych” maxims and heuristics. Businesses love to tout the latest bestselling books promoting ideas like “positive thinking”, “grit”, “growth mindsets”, or “mindfulness” as the secrets to better employee engagement and productivity. Consultants peddle pseudoscientific personality assessments built on shaky Jungian foundations. Corporate training programmes regurgitate self-evident platitudes about “emotional intelligence.”

Human Behaviour Is Central to Everything

This cavalier dilettantism toward psychology is concerning because human behaviour is central to every aspect of an organisation – its culture, management practices, teamwork, decision-making processes, innovation, marketing, you name it. If companies fail to rigorously study and apply research-based behavioural insights, they are effectively driving blind.

Ignoring the Science of Human Behaviour

Psychology is a legitimate field of science that has produced a wealth of empirical findings on human cognition, motivation, bias, social dynamics, and more. And not just academic theories, but proven applications in areas like user experience design, behaviour change, survey methodology, and marketing. Ignoring this body of knowledge is akin to an engineer neglecting physics or materials science.

The System of Profound Knowledge

Deming admonished that businesses must take a fundamentally different view of work, one focused on understanding systems holistically – including the human dimensions and variation. Yet even today, businesses tend to fixate on simplistic notions like employee incentives, traditional hierarchies, coercion, and other regressive pop psych-led management dogma. They give short shrift to the scientific realities of how people actually think, feel and behave.

A True Commitment to Understanding People

Of course, as Deming taught, psychology alone does not automatically confer excellence in management. It requires a coherent philosophy, sustained practice, and an unwavering commitment to continual learning, all of which many businesses still lack. But grasping human behaviour remains a crucial foundational layer.

For companies to truly embrace people-centric management as Deming advocated, they might choose to move beyond gimmicky pop psych trends and selective, self-serving interpretations of research. They may, instead, choose to dive deep into the expansive knowledge base of rigorous behavioural science – including the inconvenient truths it reveals – and apply those insights in thoughtful, judicious ways. Only then can businesses hope to make substantive and lasting improvements. Of course, improvement of any kind seem decidedly out of favour at the moment.

The Personal Upside of Business Improvement

March 26, 2024
Actionable Insights, Antimatter principle, Article, Business, Capability development, Improvement, Learning
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The Personal Upside of Business Improvement

[Or – what’s all this business improvement malarkey, and what’s in it for me?]

Waning Interest Post-Pandemic

As we’ve learned to live with COVID, much has changed in how businesses operate. Remote work is now the norm rather than the exception. Supply chains have been disrupted. Customer behaviours have shifted significantly. In the midst of this turbulence, it feels like interest in business improvement initiatives has waned and taken a backseat.

Survival Mode

The sluggish economy and persistent inflation have put many companies in survival mode, just trying to keep the lights on. Ambitious programmes to reengineer the way the work works, implement new systems, or drive improved effectiveness now feel like costly distractions. After all the chaos of the last few years, who has the bandwidth for that right now?

The Personal Upside

While the economic arguments for deprioritising business improvement are understandable, I think we’re missing something important – the personal upside. Streamlining operations, updating shared assumptions and beliefs, developing better practices, and finding ways to work smarter don’t just benefit the business. They allow each of us to be more successful and fulfilled as individuals.

The Costs of Inefficiency

Think about it – what does bloated, inefficient business activity translate to on a personal level? Wasted time on tedious manual tasks. Constant firefighting and rework thanks to poor ways of working. Headaches and frustrations navigating clunky systems and workarounds. At its worst, organisational dysfunction mentally drains and demotivates employees to the point they burn out or quit.

The Benefits for Individuals

On the flip side, smart business improvements that simplify and optimise how we execute allow us to flow through high-value work with less friction. We spend more time on the energising aspects of our roles utilising our skills and making an impact. Our days feel more productive and purposeful rather than mired in busywork and cleanup. More gets done, with less expended effort.And we learn.

From streamlined reporting that saves hours a week, to improved workflows that reduce costly errors, to delighting customers through superior service – the personal benefits of working at a well-oiled operation are massive in terms of satisfaction, growth, and work-life balance.

The Workplace Attraction Issue

Given the intensely competitive landscape for people, any organisation looking to attract and retain commited and engaged people might choose to prioritise continuous improvement as part of their employee value proposition. When people can channel their energies into engaging, rewarding work day after day, that’s when we build exceptional teams delivering exceptional results.

Don’t Brush It Aside

So don’t just brush business improvement aside as a nice-to-have these days. See it as key driver of personal success and engagement, helping your teams flourish while fuelling joy and delight in the (distributed) workplace.

What Are You Missing Out On?

March 22, 2024
Article, Business, Capability development, Collective psyche, Culture change, Improvement, Innovation, Joy, Leadership, Management, Memeology, Organisational effectiveness, Organisational Therapy, Paradigm shifts, Quintessence
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What Are You Missing Out On?

In any organisation, the beliefs and assumptions that everyone holds in common can have a profound impact on culture, productivity, and overall success. By neglecting shared assumptions and beliefs you may be missing out on harnessing the power of aligning them for optimal performance. But what exactly could this approach unlock for your organisation?

For Executives and Senior Managers

Shaping the Organisational Mindset

As a leader, you set the tone for the entire company’s culture and worldview. However, failing to examine and actively shape the company’s ingrained assumptions can lead to misalignment and hinder performance. Organisational psychotherapy illuminates existing belief systems – a.k.a. the collective mindset – and provides means to cultivate an organisational mindset centered on the things that matter to you, and a unified vision for success.

Transcending Limiting Assumptions

Over time, organisations develop deep-rooted assumptions that act as invisible shackles, limiting innovation, adaptation and achievement of goals. You could be missing out on breaking through these limitations by not exploring the underlying group psyche. Organisational psychotherapy techniques identify and reframe constraining assumptions, allowing you and your peers, and your workforce, to operate from an empowered, possibility-focused perspective.

For Middle Managers

Bridging Misaligned Beliefs

In the pivotal role of middle management, you navigate the shared assumptions of both leadership and frontline teams. Unaddressed, differing beliefs between groups can breed misunderstanding and hinder synergy. Organisational psychotherapy provides a framework for uncovering disconnects and fostering more cohesive, aligned assumptions across all levels.

Fostering Trust and Psychological Safety

Highly effective teams are built on a foundation of trust and the ability to take interpersonal risks. You could be missing out on this key ingredient if psychological barriers rooted in distrustful and deleterious assumptions remain unaddressed. Psychotherapeutic interventions help everyone examine and reshape beliefs around vulnerability, conflict, and collaboration.

For Technical Workers

Unleashing Pioneering Thinking

For technical roles requiring cutting-edge solutions, limiting assumptions around “how things are done” stifle innovation. You may be missing out on radically more effective approaches by not exploring and expanding your team’s collective assumptions about e.g. what is possible. Psychotherapy illuminates blind spots and reframes beliefs to open minds to truely different thinking.

Fostering Knowledge-Sharing

In highly specialised technical domains, knowledge-sharing is critical but often obstructed by entrenched assumptions of competence hierarchies or domain territoriality. Organisational psychotherapy provides means to surface and reflect on these counterproductive beliefs, instead opeing the door to assumptions that celebrate joyful work, collaborative growth and learning.

Summary

Embracing organisational psychotherapy unlocks an often-overlooked yet powerful source of competitive advantage – the shared assumptions and beliefs that underpin an organisation’s culture, communication, and performance. By neglecting this dimension, you may be missing out on by not giving organisational psychotherapy serious consideration as a powerful tool for your toolbox:

For Executives and Senior Managers:
The ability to purposefully shape an organisational mindset aligned with your shared vision and strategic objectives. As well as the opportunity to transcend limiting assumptions that constrain innovation, adaptation, and achievement.

For Middle Managers:
A framework for bridging misaligned beliefs across levels that breed misunderstanding and hinder synergy. And fostering a bedrock of trust and psychological safety that enables teams to take interpersonal risks and collaborate effectively.

For Technical Workers:
Unleashing pioneering, radically different thinking by reframing beliefs around “how things are done.” And cultivating knowledge-sharing by dispelling assumptions of competence hierarchies and domain territoriality.

At every level of an organisation, insidious assumptions and beliefs can act as unseen forces, obstructing potential and stalling progress. You could be missing out on dismantling these forces and instead harnessing the power of shared vision, alignment of mindsets, and collaborative beliefs.

Organisational psychotherapy provides the insight and means to illuminate, examine, and reflect on the collective beliefs and assumptions influencing your organisation’s culture and performance. Is it yet time you explored how to unleash this underutilised power and stop missing out on achieving new heights of success?

The Patent Racket: How Monopoly Rights Insulate Corporate Deadwood

March 18, 2024
Article, Business, Improvement, Patents
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The Patent Racket: How Monopoly Rights Insulate Corporate Deadwood

[A slight departure from my usual topics, but given that one of my clients was a multinational firm of Patent Lawyers…]

Or: How Patents Negate Business Improvement Incentives

For decades, policymakers and capitalists have peddled a revisionist fairytale about the patent system. We’re assured that these government-granted monopolies are a necessity, incentivising the innovation that fuels economic progress. But is this intellectual property fiction obscuring an uglier truth?

Dig deeper, and it becomes clear that rather than driving competition and creative destruction, patents are too often a grotesque corporate lifeline perpetuating stagnation and inefficiency. By erecting fortresses around mediocre inventions, they empower underperforming firms to evade the brisk winds of true market forces.

The Monopoly Malaise

At their core, patents gift companies a temporary but ironclad monopoly over their claimed inventions. During this protective window, other firms are legally barred from independently developing or commercialising that technology without harsh penalties. Rent seeking abounds.

This monopolistic power acts as a force-field, enabling inefficient, unproductive corporations to shrug off the pressures and disruptive threats that typically weed out business deadwood. With competitors theoretically kept at bay by infringement risks, the impetus for continuous operational improvement or cost optimisation is dismayingly diminished.

Low Patent Quality Compounding the Problem

Indeed, many jurisdictions grant objectively low patent quality thresholds. Coupled with the broad patent eligibility for software and business methods, it becomes evident how easily patents can solidify corporate malaise and market stagnation under the guise of “promoting innovation.”

Obstructing Disruptive Innovation

The negative effects of this dysfunctional system spread far beyond individual companies, harming national economies and society as a whole. By propping up and protecting incumbents that underperform, patents directly impede the process of creative destruction described by economist Joseph Schumpeter. This “creative destruction,” where new innovative companies can challenge and replace stagnant incumbents, is crucial for sustained economic prosperity and growth. However, the monopoly power granted by patents obstructs that renewal process.

Disruptive startups and nimbler challengers with truly innovative and efficient technologies face imposing patent armouries held by establishment titans. Even when their novel solutions markedly improve upon what came before, outdated titans can brandish their government-approved monopolies to litigate or hamstring these competitive threats.

The Patent Arms Race Distortion

In many industries, incumbents nowadays compete not through fireworks of innovation but via gamesmanship of their patent portfolios. Funds that could be productively reinvested into R&D and operations are instead diverted into securing banal patents or defending against infringement claims from rival rent-seekers.

Escaping the Captive State Cycle

This myopic reliance on patents actively impedes dynamism and resilience across economic ecosystems. It perpetuates an entrenched corporatocracy of lumbering, low-productivity enterprises shielded from disruptive competitive renewal.

Apologists may well cite patents as an imperfect necessity somewhere on the policy tradeoff curve. But the self-serving delusion that this suspect monopolist nonsense improves business productivity or customer outcomes would be almost comical if the consequences weren’t so pernicious.

Perhaps it’s time to interrogate whether today’s patent system is beyond saving from its own contradictions. Productive companies might choose the freedom to thrive or wither based on their operational merits in a free market rather than fight subsidised stagnation behind legalised fortresses. Only then can vibrant innovation and economic paradigm shifts truly flourish.

The Heavy Tolls of Patent Protectionism

To recap, some of the key ways patents restrict open competition and shield inefficient businesses:

  • Funds diverted away from productive operations toward paying licensing fees to rent-seekers
  • Reduced freedom to operate and delays from patent thickets
  • Resources squandered on defensive patenting and “design-arounds”
  • Geographic constraints on market access from having to pay licensing fees across jurisdictions
  • Difficulties attracting talent due to patent liabilities and litigation risks from rent-seekers

While patents may incentivise some innovation, their monopolistic downsides appear to be increasingly overpowering any societal benefits in many industries. As we strive for a more dynamic, competitive, and productive economy, its it past time to soberly reassess outdated patent doctrine driving the opposite?

The End of Improvement – The Managers’ Perspective

March 18, 2024
Antimatter principle, Article, Business, Improvement, Management
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The End of Improvement – The Managers’ Perspective

[A follow-on to my previous post: The End of Improvement]

For years, organisations have pretended to be on a relentless pursuit of “continuous improvement.” Executives and managers at all levels have been pressured to implement “new initiatives”, “reengineer” processes, and hit ambitious targets—all part of an elaborate act putting improvement at centre stage. But has this endless improvement malarkey actually improved anything?

The uncomfortable truth is that for many managers, these improvement crusades have merely increased their stress, eroded their autonomy, and undermined their professional standing. Rather than enabling organisations to genuinely work smarter, the improvement police have subjected managers to a demoralising regime of resource constraints, changing metrics, and suffocating controls.

Leading Players Forced to Perform

At the top, senior executives have been both star-crossed thespians and unwitting victims of the improvement theatre. On one hand, they are expected to deliver rousing soliloquies as inspirational champions of transformation, rationalising headcount reductions as “rightsizing” and selling disruption as “rejuvenation.” Yet at the same time, they face relentless pressure from analysts and investors to cut costs and boost short-term metrics like earnings per share.

Their status and influence within their organisations has increasingly hinged not on strategic vision or operational expertise, but on delivering an award-worthy performance complete with unsustainable year-over-year budget cuts and headcount reductions. Is it any wonder top leaders become burned out, jaded husks after just a few years treading the boards of the improvement theatre?

The Overloaded Managerial Understudy

Moving down the hierarchy, middle managers have been conscripted as overloaded understudies to the improvement theatre. Caught between lofty edicts and challenging targets from the leading players above, and implementation pressures from the ensemble below, this critical but underappreciated class has been tasked with doing more-and-more with less-and-less.

From lean six sigma programmes to ERP system rollouts, managers have been bombarded with new tools, KPIs and time-consuming compliance rituals—all while their discretionary budgets and spans of control wither. Their expertise and commitment are repeatedly second-guessed through recurring rounds of process “optimisation” between each act of the improvement theatre.

Is it any surprise that managers increasingly suffer burnout, demotivated by the cognitive dissonance of being improvement enforcers one day, only to find themselves targets of the latest performance drive the next? With each new production, their authority and influence diminish further as indispensable institutional knowledge is upstaged by the latest bestseller, ibusiness class n-flight magazine, consultant’s script or other fad.

The Final Performance

Enough is enough. The idea that organisations can infinitely cut, reduce and optimise their way to success through improvement theatre has been definitively debunked by decades of ineffective and morale-sapping performances. Rather than doubling down with yet another encore, we need to rediscover fundamentals that have been tragically ignored.

Perhaps it’s finally time to rehumanise the workplace by recognising the intrinsic motivation, expertise and institutional memories that managers bring to the table. By realigning the way the work works based on pragmatism and mutual respect rather than dogmatically pursuing an arbitrary definition of “better,” we can foster genuine and sustainable progress over the long run.

After all, if an “improvement” worsens the wellbeing and standing of those charged with implementing it, can it really be considered improvement at all? And are we fools to expect these turkeys to vote for their Christmas? Organisations might choose to pause, escape the pressures, recriminations, frustrations and despair, and simply strive to optimise for the needs of all the Folks That Matter™  – including the managers – before mindlessly leaping into the next faddish improvement drama.

 

The End of Improvement

March 17, 2024
Antimatter principle, Article, Improvement, Lamentation
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The End of Improvement

The Ambitious Noughties

There was a time, not long ago, when the desire for improving our ways of working seemed insatiable in the software development field. Around the first decade of this new century, our industry seemed filled with ambitious visionaries – determined to overhaul outdated practices, streamline inefficient workflows, and move beyond cumbersome legacy ways of working.

New approaches were the hot topics on everyone’s minds, promising to free teams from the constraints of bloated, joy-sucking development. Concepts like daily standups, timeboxed cycles, kanbans, and retrospectives became standard practice, with teams attacking projects in short, focused bursts. Iterative processes with continuous feedback loops were all the rage. We took inspiration from the Giants such as:

  • Ackoff
  • Schein
  • Deming
  • Goldratt
  • Buckminster Fuller
  • Marshall Rosenberg
  • Stafford Beer (VSM, etc.)
  • Gregory Bateson
  • Margaret Mead
  • Taiichi Ohno
  • John Seddon
  • Don “The Don” Reinertsen

We dissected and studied the principles of:

  • Lean
  • Training Within Industry (TWI)
  • Socio-technical Systems
  • The Toyota Product Development System (TPDS)
  • Morning Star
  • WL Gore
  • Haier
  • Semco
  • Menlo Innovations

and a host of others.

The Rallying Cry

The goal? Cut bureaucracy, promote face-to-face communication, prioritise the delivery of high-quality “working software” and above all else bring more joy into the workplace. No more excessive documentation or tedious planning sessions. We’d fail fast, learn from customers, use the best knowledge available to Man, and constantly adapt our approach.

You could feel the palpable relief when developers traded in their cube farms for open office layouts intended to inspire collaboration. There was a grassroots momentum to work smarter.

The Gradual Demise

But somewhere along the line, that collective drive seemed to fizzle out into resigned acceptance. Was COVID a factor, I wonder. And the consequent remote working?

Today, walking through any tech workplace reveals teams in an unfortunate state of extremes. On one side, those many still operating using antiquated processes that should have been retired years ago. Rigid hierarchies. Stifling red tape. Mindless box-ticking rather than meaningful progress.

On the other, there were those who adopted “modern” ways of working…only to slowly backslide into new dysfunctional habits. Unmotivated workers mindlessly performing pro forma rituals, succumbing to collective apathy. The processes changed, but the hunger for actual improvement has left the building.

The Lost Ideals

What happened to that passion for customer-centric, iterative craftsmanship? Viewing colleagues as peers, not corporate zombies? Taking pride in elegant products, over simply checking boxes?

Perhaps the new approaches were flawed from the start. Or the ideals were too lofty for reality at scale. Most likely, disillusionment gradually set in as the same organisational failures persisted – miscommunication, mission creep, mounting technical debt, management metacluelessness, and of course, burnout.

The Harsh Reality

Regardless of the root causes, one truth is inescapable: That widespread eagerness to find smarter, more fulfilling ways of working has dwindled. Fatigued developers have retreated, finding comfort in self-protection rather than striving for better.

A Faint Flicker of Hope

We did rally together toward a vibrant vision of leaner workplace cultures. For a few bright years, we dared dream the next big breakthrough would be nurturing more joyful ways of working and relating.

That glimmer still flickers under the rubble of abandoned buzzwords and dismantled visions. But rekindling it invites rededication to a progress that few seem able to muster lately. Complacency has become the new normal. And the need for pride in work just an echo from history.

Semper Mirabilis.

Deming’s 95/5 Principle Negates Individual Coaching

March 15, 2024
Alien tech, Article, Business, Capability development, Coaching, Collaboration, Collective psyche, Culture change, Deming, Dialogue, Improvement, Learning, Organisational effectiveness, Organisational Therapy
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Deming’s 95/5 Principle Negates Individual Coaching

In the world of organisational improvement and performance enhancement, W. Edwards Deming’s principles have had a profound impact. One of his most famous principles, the 95/5 rule, suggests that 95% of performance issues are attributable to the system and processes, while only 5% are due to the individual worker. This principle has however not led many organisations to prioritise systemic changes over individual development initiatives. So does Deming’s 95/5 principle entirely negate the value of individual coaching? Let’s explore.

The 95/5 Principle: Putting Systems First

According to Deming’s 95/5 principle, the vast majority of performance problems stem from flawed organisational systems, processes, and cultures. Focusing on individual skill development or coaching would be akin to treating the symptoms without addressing the root cause. Deming advocated for a systems thinking approach, wherein organisations critically examine and optimise their practices, policies, and culture to create an environment conducive to success.

In the context of collaborative knowledge work, this principle suggests that individual coaching efforts will have limited impact when the underlying organisational systems and processes are not optimised for effective collaboration, knowledge sharing, and collective problem-solving.

The Shortcomings of Individual Coaching

Proponents of Deming’s philosophy argue that individual coaching alone is insufficient in addressing performance issues within collaborative knowledge work environments. Even if individuals receive coaching to enhance their communication, teamwork, or creative thinking skills, these efforts will be undermined or rendered ineffective when the systems and culture within which they operate are counterproductive or siloed.

For example, imagine a scenario where knowledge workers receive coaching on effective knowledge sharing practices, but the organisation lacks a robust knowledge management system or has rigid hierarchical structures that discourage cross-functional collaboration. In such cases, the individual coaching will yield limited results due to systemic barriers.

Organisational Transformation: The Key to Collaborative Success

According to Deming’s principle, our primary focus should be on transforming organisational systems and culture to foster an environment conducive to collaborative knowledge work. This could involve:

  • Optimizing communication channels and knowledge sharing platforms
  • Breaking down departmental silos and promoting cross-functional collaboration
  • Fostering a culture of continuous learning and improvement
  • Implementing agile and flexible processes that adapt to changing needs
  • Establishing clear roles, responsibilities, and accountability mechanisms
  • Organisational psychotherapy – enabling the organisation to surface and reflect on its shared assumptions and beliefs

By prioritising systemic changes, organisations create an enabling environment where individuals can thrive and collaborate effectively, minimising the need for extensive individual coaching.

The Verdict: Individual Coaching Has Limited Value

While individual coaching may provide some marginal benefits, Deming’s 95/5 principle suggests that it has limited value in the grand scheme of enhancing collaborative knowledge work. Organisations that solely rely on individual coaching initiatives without addressing the underlying systemic issues will experience suboptimal results and inefficiencies.

The path to success lies in embracing a systems thinking approach, transforming organisational assumptions and beliefs, structures, and culture to create an environment that fosters collaboration, knowledge sharing, and collective problem-solving. Only then can organisations unlock the full potential of their knowledge workers and achieve sustainable performance improvements.

In conclusion, Deming’s 95/5 principle entirely negates the value of individual coaching as a standalone solution for enhancing collaborative knowledge work. Instead, it calls for a fundamental shift towards organisational transformation, where systemic changes wrought through i.e. organisational psychotherapy take precedence over individual development initiatives.

How “Constant State of Ship” Drives Transformative Practices

March 11, 2024
Antimatter principle, Article, Automation, Business, Capability development, Culture change, Engineering, Familiar, Fellowship, Flow, Improvement, Learning, Memeology, Organisational effectiveness, Organisational Therapy, Product development, Quintessence, Self-organisation
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How “Constant State of Ship” Drives Transformative Practices

Introduction

In the relentless pursuit of delivering value to customers, with unparalleled speed and reliability, the software development world has yet to widely embrace a revolutionary principle – the “Constant State of Ship”. This state, where software artefacts and products are perpetually poised for release into production environments within just 15 minutes’ notice, has emerged as a driving force behind best practices that enable true continuous deployment. Remarkably, this groundbreaking concept formed the foundation of the pioneering “Javelin” software development approach, a visionary approach conceived by FlowChainSensei (Bob Marshall) at Familiar circa 1996 and onwards, foreshadowing the industry’s even-now-yet-to-be-realised embrace of these practices.

The Power of “Constant State of Ship”

The “Constant State of Ship” serves us as an unyielding forcing function, inviting teams to adopt and adhere to a comprehensive set of best practices that catalyse the seamless flow of software into production. Let us explore how this principle reinforces each of thirteen fundamentals of Continuous Delivery (hat tip to Dave Farley):

The 13 Fundamentals Enabled

  1. A Repeatable, Reliable ProcessWith the ever-present possibility of an imminent release, teams may choose to establish a well-defined, automated pipeline for building, testing, and deploying their software. This process needs to be repeatable and reliable, minimising the risk of human error and ensuring consistency across releases.

    The “Constant State of Ship” mindset suggests that teams have a streamlined, automated release pipeline that can be triggered at any moment. Manual steps and ad-hoc and emergency exception procedures become liabilities, as they introduce variability and increase the chances of mistakes during deployment.

    To achieve this repeatability and reliability, teams are supported to invest in build automation tools, automated testing frameworks, and deployment automation pipelines. Every step of the release pipeline can be codified, documented, and thoroughly tested to ensure predictable outcomes each time.

    Moreover, the “Constant State of Ship” principle fosters an environment of continuous learning and improvement. Any failures or issues encountered during a release are promptly analysed, and the release process is refined to prevent future occurrences. This cycle of continuous feedback and optimisation ensures that the release pipeline remains reliable and efficient, even as the codebase and systems evolve over time.

    By operating in a “Constant State of Ship” mode, teams are invited to treat the release pipeline as a critical component of their software development lifecycle, investing the necessary resources and effort to make it repeatable, reliable, and capable of delivering changes to production environments at a moment’s notice.

  2. Automate All the ThingsIn a “Constant State of Ship” paradigm, manual interventions become significant bottlenecks and risks, hindering the required velocity and reliability. Automation becomes imperative, spanning every aspect of the delivery pipeline, from code compilation to infrastructure provisioning. The threat of an imminent release leaves no room for error-prone manual processes that could delay or derail a deployment. Teams must automate build processes, test execution, environment provisioning, deployment steps, and release orchestration to ensure consistency and minimise the risk of human error.
  3. Maintain a Releasable StateThe core tenet of “Constant State of Ship” requires that the codebase and associated artifacts remain in a perpetually releasable state. This principle invites teams to address issues promptly, maintain a high level of code quality, and vigilantly consider the accumulation of technical debt. Any defects, bugs, or instabilities in the codebase could potentially disrupt an imminent release, leading to costly delays or failures. Teams must adopt practices like continuous integration, automated testing, and ensemble programming to ensure that the codebase remains in a stable, deployable state at all times.
  4. Focus on Robust (Real) Quality Assurance

    In the “Constant State of Ship” paradigm, where the possibility of demand for an immediate release is ever-present, quality assurance cannot be treated as an afterthought. “Constant State of Ship” invites the integration of quality practices throughout the entire development lifecycle, ensuring that quality is baked into the software from inception to deployment.

    While testing plays a role, it is merely one facet of a comprehensive quality assurance strategy. Teams may choose to adopt a holistic approach that emphasises quality as a continuous, pervasive practice woven into every aspect of the development approach.

    This begins with cultivating a culture of quality-driven development, where every team member participates in collective ownership and responsibility for the quality of their work. Practices such as clarity of (quantified a la Gilb) requirements, ensemble programming, peer code reviews, adherence to coding standards, and continuous static code analysis can help identify and mitigate potential issues early in the development cycle.

    Furthermore, “Constant State of Ship” invites teams to embrace principles of iterative and incremental development. By breaking down complex features into smaller, manageable, well-bounded increments, teams can more effectively manage quality risks and ensure that each increment and subsystem meets the required quality criteria before progressing to the next.

    Continuous integration and deployment pipelines play a pivotal role in this quality assurance strategy, enabling teams to continuously validate and verify the software’s functionality, performance, and stability with each incremental change. These pipelines automate the execution of various quality checks, including unit tests, integration tests, and performance tests, providing real-time feedback and enabling teams to address issues promptly.

    However, quality assurance extends beyond mere testing alone. Teams have the opportunity to adopt a holistic approach that encompasses design practices, architectural decisions, and operational readiness. By considering quality implications at every stage of the software development lifecycle, teams can proactively identify and mitigate potential risks, ensuring that the software remains in a releasable state at all times.

    “Constant State of Ship” elevates quality assurance to a core discipline that permeates every aspect of the software development effort. By fostering a culture of quality-driven development and adopting continuous quality practices, teams can attend to the needs of all the Folks That Matter™, with confidence, knowing that their software meets the highest standards of reliability, stability, and performance.

  5. Implement Robust Deployment PipelinesAchieving a “Constant State of Ship” necessitates the implementation of robust deployment pipelines. These pipelines automate the entire process of building, testing, and deploying software changes, ensuring consistency and minimizing the risk of errors. With the ever-present possibility of an imminent release, teams cannot afford manual, error-prone deployment processes. Automated deployment pipelines provide a standardised, repeatable path to production, reducing the likelihood of failed or inconsistent deployments.
  6. Monitor the PipelineRegular smoke testing of the deployment pipeline is crucial in a “Constant State of Ship” mode. This practice helps catch issues early, before they can impact production environments, ensuring the pipeline’s reliability and preventing costly downtime. The possibility of an imminent release amplifies the importance of having a thoroughly validated deployment pipeline. Smoke tests act as a safety net, verifying the integrity of the pipeline and identifying any potential issues that could disrupt a deployment.
  7. Integrate ConstantlyThe “Constant State of Ship” mindset encourages teams to integrate their changes frequently, often multiple times per day. This practice surfaces issues early, reduces merge conflicts, and ensures that the codebase remains in a releasable state, ready for deployment at any given moment. Infrequent integration can lead to divergent codebases, making it harder to identify and resolve conflicts, which could potentially disrupt an imminent release. By integrating frequently, teams can maintain a stable, unified codebase that is always primed for deployment.
  8. Evolve the ArchitectureMaintaining a “Constant State of Ship” over time invites the continuous evolution of the system’s architecture (see also: Reverse Conway). Are teams prepared to refactor and adapt their architectures to accommodate new requirements, technologies, and scaling needs, without compromising the ability to release rapidly and reliably? As products grow and evolve, architectural decisions made early on may become hindrances to continuous deployment. The “Constant State of Ship” principle invites teams to proactively evaluate and evolve their architectures, ensuring that they remain flexible, scalable, and conducive to rapid releases.
  9. Leverage Data EnvironmentsWith the constant possibility of an imminent release, the ability to provision and manage data environments becomes critical. Teams may choose to adopt practices like database versioning, data seeding, and data masking to ensure consistent and reliable testing and deployment across environments, minimising the risk of data-related issues in production. The “Constant State of Ship” mindset invites a robust data management strategy that enables seamless and repeatable deployments, regardless of the data complexities involved.
  10. Mirror Production EnvironmentsTo minimise the risk of issues arising from environmental differences, teams operating in a “Constant State of Ship” mode may choose to ensure that their development, testing, and staging environments closely mirror production environments in terms of configuration, data, and infrastructure. This practice helps identify and address potential issues before they impact the live production system. The possibility of an imminent release heightens the importance of having production-like environments, as any discrepancies could lead to unexpected behavior or failures during deployment.
  11. Codify InfrastructureManually provisioning and configuring infrastructure for each release becomes a significant bottleneck when operating in a “Constant State of Ship” mode. Adopting Infrastructure as Code (IaC) practices, where infrastructure is defined and managed through code, enables teams to provision and tear down environments rapidly and consistently, minimising delays and reducing the risk of configuration drift. The “Constant State of Ship” principle invites a high degree of automation and repeatability in infrastructure management, making IaC a beneficial practice for ensuring rapid, reliable deployments.
  12. Foster Collaborative OwnershipAchieving a “Constant State of Ship” invites a high degree of collaboration and shared ownership among team members. Siloed responsibilities and knowledge become obstacles to rapid delivery. Teams may choose to adopt practices that promote collective code ownership, cross-functional collaboration, and shared understanding of the codebase and delivery processes. The “Constant State of Ship” mindset invites a culture of collective responsibility, where all team members are empowered to contribute to and understand the entire delivery process, enabling seamless and efficient releases.
  13. Continuous ImprovementOperating in a “Constant State of Ship” mode exposes inefficiencies and bottlenecks in the delivery pipeline and processes with uncompromising clarity. Teams may choose to embrace a culture of continuous improvement, regularly reviewing their practices, identifying areas for optimisation, and implementing changes to enhance their ability to deliver value rapidly and reliably. The constant presence of imminent releases acts as a driving force for continuous improvement, encouraging teams to continuously refine their processes, tools, and practices to achieve higher levels of velocity and quality. FlowChain was designed to systematise this very purpose.

The Visionary “Javelin” Approach

The “Javelin” approach (initally named “Jerid”) pioneered by me and my teams at Familiar from 1996 onward, was truly ahead of its time, recognising the transformative power of the “Constant State of Ship” mindset. By enshrining this principle as a cornerstone from its inception, “Javelin” has paved the way for the modern continuous deployment practices that have since become poised to gain industry standard status. This pioneering approach, along with FlowChain and e.g. Prod•gnosis, Flow•gnosis, Product Aikido, etc. exemplifies the spirit of continuous improvement intrinsic to the “Constant State of Ship” principle, ensuring its enduring relevance and impact.

Deep Cultural Implications

Reshaping the Culture and Mindset

Adopting the “Constant State of Ship” principle suggests a profound transformation that extends way beyond technical practices and processes – it hints at a seismic shift in the culture and mindset of software development teams and their parent organisations. This metamorphosis permeates every aspect of the organisation, reshaping shared assumptions, beliefs, and ways of working. However, navigating such a profound cultural shift can be a daunting challenge, often met with resistance and inertia.

This is where the discipline of organisational psychotherapy plays a pivotal role. By applying principles from psychotherapy, sociology, and group dynamics, organisational psychotherapy facilitates teams’ cultural and mindset shifts required to embrace the “Constant State of Ship” paradigm smoothly and effectively.

A Culture of Ownership and Accountability through Empowerment

The “Constant State of Ship” mindset fosters a culture of collective ownership and accountability. Organisational psychotherapy techniques, such as participative decision-making and fellowship, empower team members to take responsibility for the quality, stability, and deployability of the codebase and overall product. This sense of empowerment cultivates a culture of shared ownership, where individuals proactively address issues, collaborate across boundaries, and collectively strive for continuous improvement.

Embracing Transparency and Trust

Maintaining a “Constant State of Ship” requires a high degree of transparency and trust among team members. Organisational psychotherapy practices, such as surfacing shared assumptions and beliefs, encourage open communication and facilitate the identification of problems and risks early. By fostering an atmosphere where team members feel comfortable expressing concerns, sharing mistakes, and seeking help, a culture of transparency and trust emerges, enabling teams to collectively address challenges and ensure the software remains in a releasable state.

Prioritising Continuous Learning

The “Constant State of Ship” principle instills a mindset of continuous learning and improvement. With each release, teams gain valuable insights into their processes, tools, and practices. Embracing new shared assumptions becomes essential, as teams must continuously refine and adapt their approaches based on feedback and lessons learned. This culture of continuous learning fosters an environment of experimentation, where failures are embraced as opportunities for growth, and success is measured by the ability to deliver value rapidly and reliably.

Aligning Towards a Common Goal

Ultimately, the “Constant State of Ship” principle unifies teams around a common goal: meeting the needs of all the Folks That Matter™ with unparalleled speed and reliability. This shared mission transcends individual roles, responsibilities, and technical disciplines. It creates a sense of collective purpose, where every team member’s contribution, regardless of their specific function, is valued and recognised as essential to achieving this overarching objective.

By leveraging organisational psychotherapy techniques, organisations can accelerate and streamline the cultural and mindset shifts required to embrace the “Constant State of Ship” paradigm. This discipline not only makes the transition quicker and easier but also more cost-effective, as it addresses the root causes of resistance and inertia, facilitating a smoother and more sustainable transformation.

By reshaping the culture and mindset of software development teams, the “Constant State of Ship” principle cultivates an environment conducive to continuous deployment success. It fosters a sense of collective ownership, transparency, continuous learning, and shared purpose – traits that are indispensable in today’s rapidly evolving software landscape.

Embracing the Future

When the ability to swiftly adapt and innovate is paramount, the “Constant State of Ship” principle emerges as a beacon, guiding software development teams towards a future of quiet competence and competitiveness. By embracing this mindset, as exemplified by the visionary “Javelin” approach, teams can unlock the power to attend to folks’ needs with unprecedented speed, reliability, and quality – solidifying their organisation’s position as industry leaders in the software development arena.

Metacluelessness – The Competence Blind Spot Plaguing Organisations

March 10, 2024
Actionable Insights, Alien tech, Article, Business, Capability development, Ethics, Gullibility, Improvement, Management, Organisational effectiveness, Psychology, Quintessence, Teambuilding, Toxic behaviours
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Metacluelessness – The Competence Blind Spot Plaguing Organisations

The Danger of Overconfidence

As a manager, having confidence in your abilities is certainly important for leading teams and making critical business decisions. However, there is a fine line between self-assurance and falling victim to a dangerous cognitive bias called metacluelessness – a lack of awareness about the boundaries of your own competence.

Clifford’s Ethics of Belief

Philosopher William Kingdon Clifford highlighted the ethical importance of not allowing ourselves to remain in a state of false beliefs or delusions. In his essay “The Ethics of Belief,” Clifford argues it is wrong, whenever the occasion arises, to believe something on insufficient evidence. To do so is to erect a “scorner’s chair” for truth and to fail to uphold our fundamental duty as human beings to pursue truth diligently.

Metacluelessness as Unethical Delusion

Metacluelessness directly violates this duty that Clifford lays out. It causes managers to grossly overestimate their skills, knowledge, and overall managerial competence based on delusional confidence rather than objective assessment of the evidence of their understanding. Managers suffering from metacluelessness erect their own “scorner’s chairs” for truth in their areas of responsibility.

They think they have a solid handle on principles, best practices, people, psycvhology, emerging trends, and the complexities involved, when in reality there are gaping holes in their grasp that they fail to acknowledge. Suffering from metacluelessness, managers operate under a false sense of mastery over critical management disciplines. They are clueless about the true extent of their cluelessness and knowledge gaps. This creates disastrous blind spots in their judgment and decision-making.

The Root of Managerial Arrogance

As Clifford states, “The source of all the miserable self-idolatries…the despicable vices…is nothing other than a persuasion existing in men’s minds not based on fair reasoning and evidence.” Metacluelessness breeds overconfidence based on delusional beliefs about one’s true competence. It is the root of managerial arrogance, close-mindedness, dismissal of risks, and poor strategic vision.

Catastrophic Consequences

The consequences can be catastrophic – flawed strategies, missed opportunities, sunk costs from failures, poor leadership examples set for teams, and more. Entire companies have met their demise because executive leadership teams suffered from the “miserable self-idolatry” of individual and collective metacluelessness in critical areas.

Cultivating True Competence

Combating metacluelessness requires cultivating true competence – an awareness of what you don’t know and diligence in addressing those shortcomings. It starts with the intellectual humility that Clifford upheld as critical for a responsible pursuit of truth and knowledge. Admit the limits of your expertise without feeling inadequate. As Clifford wrote, “A generous admission of knowledge gaps is the condition of all real progress.”

The Best Never Stop Learning

Recognise that as a manager, you supervise teams filled with specialised knowledge you cannot possibly match in every domain. True competence means knowing when to rely on the wisdom of others with deeper mastery and looking for opportunities to expand your own understanding through fair reasoning and examination of evidence. It’s about embracing a habit of perpetual learning to strengthen beliefs in alignment with evidential proof.

The best managers never stop questioning their grasp of important principles and best practices based on the ethics of belief laid out by Clifford. Don’t let the “despicable vice” of overconfident metacluelessness derail your judgment through beliefs detached from rigorous evidentiary standards. Proactively identify and confront the boundaries of your competence. Only then can you become a more complete, ethically sound, and effective manager capable of leading teams and companies to success built on a foundation of diligently pursued truths.

Effective Regulation

March 7, 2024
Article, Business, Capability development, Culture change, Dialogue, Improvement, Organisational effectiveness, Organisational Therapy, Paradigm shifts, Quintessence
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Effective Regulation

Within business organisations, the discourse around effective regulation often becomes polarised, oscillating between the extremes of rigid compliance and laissez-faire approaches. Compliance, typically understood as strict adherence to rules and procedures, can foster an environment of micromanagement that stifles innovation. On the other hand, a laissez-faire attitude, characterised by minimal oversight, can lead to chaos, unethical practices, and a lack of accountability.

However, true effective regulation does not reside on this spectrum between micromanagement and laissez-faire. Rather, it represents a fundamentally distinct “third way” – a holistic approach that transcends the limitations of these two extremes, fostering a culture of responsibility, continuous improvement, creativity, and autonomy.

Redefining Regulation as Principled Action

The third way redefines regulation not as a checklist of rules to be blindly followed, but as a commitment to upholding core ethical principles and standards aligned with the organisation’s mission. This paradigm shift requires:

  1. Clearly articulating the organisation’s shared assumptions and beliefs, including its guiding purpose, principles and values.
  2. Engaging employees in embodying these principles through e.g. dialogue.
  3. Revising policies to reinforce the principles, not merely enforce rules.
  4. Nurturing critical thinking over box-ticking compliance.

By empowering individuals to internalize and live these principles, a sense of ownership and genuine accountability is cultivated.

Organizational Psychotherapy: Fostering Shared Responsibility

Central to the third way is a culture where every member is invested in upholding ethical practices and sustainable growth. Organisational psychotherapy can be a powerful tool in nurturing this culture by:

  1. Facilitating open dialogues to surface underlying shared attitudes and beliefs.
  2. Identifying systemic issues impacting trust and accountability.
  3. Developing tailored interventions to address dysfunctional group dynamics.
  4. Providing a safe space for honest feedback and conflict resolution.
  5. Make attending to folks’ needs a central plank.

Through this therapeutic process, organisations can heal dysfunctional patterns, rebuild trust, and instill a genuine sense of shared responsibility that transcends the compliance-laissez-faire dichotomy.

Continuous Learning: An Organisational Ethos

The third way recognises that effective regulation is an ever-evolving process, requiring a steadfast commitment to continuous learning and improvement as an organisational ethos:

  1. Encouraging the continuous development of improved abilities and intelligence, by reframing failures as learning opportunities.
  2. Implementing substantive, regular dialogue on emerging best practices.
  3. Facilitating cross-functional knowledge sharing and mentoring.
  4. Gathering feedback from all the Folks That Matter™ to identify areas for development.

By making attending to folks’ needs a core value, organisations can remain agile, adaptive, and always improving their approach to regulation and governance.

Ethical Leadership and Collaboration

Effective regulation invites exemplars who embody the principles the organisation aims to instill, proselytising ethical conduct through their actions and decisions. Organisations can champion the third way by:

  1. Exemplifying ethical behaviour in all things.
  2. Openly acknowledging mistakes and pivoting course when needed.
  3. Prioritising ethical decision-making in all communication and conduct.
  4. Actively listening and incorporating feedback from across the organisation.
  5. Fostering cross-functional collaboration on key initiatives.

This ethical behaviour, amplified by collaboration, inspires others to genuinely embrace the third way of effective regulation.

Summary

The third way represents a distinct approach that transcends the micromanagement-laissez-faire spectrum, offering a holistic, principled path centered on shared responsibility, continuous learning, and collaborative ethical leadership. By leveraging tools like organisational psychotherapy, mindset shifts, and genuine organisational commitment, businesses can cultivate an environment that upholds ethical conduct, innovation, sustainable growth, and the highest standards of accountability and integrity.

The Why of FlowChain: Deliberate Continuous Improvement

February 19, 2024
Actionable Insights, Article, Business, Capability development, Culture change, Deming, Doctrine, Flow, Flow•gnosis, Flowchain, Improvement, Learning, Memeology, Metaflow, Organisational effectiveness, Prod•gnosis, Product development, Quintessence, Rightshifting, Software Delivery, Software development, Systems thinking, Value streams
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The Why of FlowChain: Deliberate Continuous Improvement

In my career, working with hundreds of companies, I’ve almost never seen organisations* take a truly deliberate approach to continuous improvement. It’s nearly always treated as an afterthought or add-on to business-as-usual (BAU). But real transformation requires making continuous improvement an integral and core part of daily work. This is the “why” behind FlowChain – enabling deliberate, in-band continuous improvement.

In other words, applying the same disciplines from product development, delivery, etc. to the business (sic) of delivering continuous improvements  – continuously improving the way the work works.

What Is FlowChain?

So what is FlowChain? At its core, it is a system for managing flow – both the flow of outputs and the flow of improvements to the way the work works, concurrently and by the same means. And by “flow”, I mean the steady progress of work from request to completion through all steps in a process. Flow is optimised when the right work is happening at the right time by the right people. Roadblocks, delays, and waste are minimised or eliminated.

Flow

Optimising flow delivers the following benefits:

  • Increased productivity – less time wasted, more work completed
  • Improved quality – fewer defects, rework minimised
  • Better customer service – faster response times, reliability
  • Higher employee engagement – less frustration, more joy

But achieving flow requires continuous improvement. Problems must be made visible. Waste must be reduced iteratively. Roadblocks must be cleared continuously.

This is why FlowChain incorporates improvement into its regular rhythm. Each cycle follows a deliberate sequence:

  • Plan – Select and sequence the upcoming work.
  • Execute – Complete the work while tackling issues.
  • Review – Analyse completed work and identify improvements.
  • Adjust – Make changes to improve flow.

Unlike most continuous improvement efforts – that are separate from BAU – FlowChain makes improvement an integral in-band activity. The rapid cycles provide frequent opportunities to reflect, gain insights, and act.

Compounding Benefits

Over time, the compounding benefits are immense. Teams develop a “flow habit”, where improving flow becomes second nature. Powerful capabilities like root cause analysis, A3 problem-solving, improvement katas, and change management are honed.

In my experience, this deliberate approach is transformative. Teams gain tremendous agency to systematically improve their own flow. The organisation as a whole cultivates a culture of continuous improvement. And customers experience ever-better service and responsiveness.

The “why” of FlowChain is simple – create focus, visibility, accountability, and agency to drive continuous improvement. The results – ever better flow, reduced waste, and sustainable transformation. Deliberate, in-band continuous improvement stops being an aspiration and becomes a reality.

*Ask me about the exception.

Improving Human-to-Human Communication Through AI and Chatbots

February 13, 2024
Actionable Insights, AI, AInklings, Article, Automation, Chatbots, Improvement, Innovation, Interactive books, Quality, Writing
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Improving Human-to-Human Communication Through AI and Chatbots

For God’s sake, there is truly no longer any excuse for typos, misspellings, and grammatical errors in your posts, articles, and other writings.

Artificial intelligence (AI) and chatbots are transforming how we communicate. When integrated thoughtfully, this technology can optimise and enhance written communication between people. In this post, I’ll discuss some ways AI and chatbots can improve messaging, email, documentation, and other word-based interaction between humans.

Automated Proofreading and Editing

AI-powered writing tools already help by providing grammar and spelling checks. But newer capabilities can now also flag unclear phrasing, verbose language, overused words, and overly complex sentences. This aids writers in simplifying and refining their messaging before sending to a recipient. Readability statistics further help authors match their tone for the intended audience.

Summarisation and Translation Features

For long-form writing like reports or manuals, AI can generate a concise summary highlighting key facts, main takeaways, or action items. This allows collaborators or stakeholders to quickly grasp the essence before diving into the details. Meanwhile, instant translation functionality enables clear communication across language barriers.

Interactive Books

AI is also enhancing books through interactive elements powered by chatbots. Platforms like Ainklings.com allow authors to insert quizzes, discussion questions, exercises and other engaging features directly into the book text (or via sidecars). Readers can further highlight passages and interact with supplementary content related to the main narrative, enriching the reading experience.

Content Recommendations and Insights

Smart suggestions can enable more meaningful interactions through personalised recommendations. By analysing past correspondence as context, AI can prompt authors to include certain missing information, helpful examples, or reminders based on what the recipient would find useful. Language pattern analysis can also reveal insights for improving future discussions.

Automated Meeting Summaries and Notes

While AI currently struggles to match the creativity of human writing, it excels at capturing the salient points from meetings and presentations. Automated summaries of video sessions or collaborative spaces can save meeting participants time while ensuring everyone understands the key decisions or action items.

With thoughtful application, AI and chatbot tools can enhance understanding and engagement between people through better writing assistance, translation, summarisation, and recommendations. As these capabilities continue advancing, keeping the human audience at the center will be key to success.

The Era of Collaborative Knowledge Work

January 30, 2024
Actionable Insights, Antimatter principle, Article, Business, Collaboration, Culture change, Fellowship, Improvement, Management, Organisational effectiveness, Quintessence
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The Era of Collaborative Knowledge Work

Work dynamics have been evolving rapidly in recent decades. Back in 1959, management expert Peter Drucker coined the term “knowledge work” – jobs focused more on expertise application versus manual tasks. Today, many observe the economy shifting from industrial production to innovation through agile collaboration.

Fundamentally Different

The nature of work has fundamentally changed. We have shifted from an industrial economy largely based on manual labour to a knowledge economy increasingly based on intellectual collaboration. This transition invites a new way of looking at work, focused on both recognising and facilitating collaborative knowledge work (CKW).

In this model, cross-disciplinary teams come together to brainstorm and refine breakthroughs iteratively. Silos give way to fluid circles of contribution. Motivation stems intrinsically from the shared mission, not extrinsic rewards. Experimenting with unconventional ideas bears lower risk when paired with constructive peer feedback.

But embracing the CKW paradigm depends on adopting a distinctly different approach to work. How can groups establish norms where everyone feels comfortable contributing without fear of judgement or rejection?

Autonomy, Mastery and Shared Purpose

Part of the solution links back to aligning clearly around higher purpose. When autonomy coexists with shared accountability, inspiration untaps. Structuring reciprocal mentorship allows members to develop emotionally and motivationally while exchanging honest developmental guidance.

This differs drastically from the hierarchical command-and-control management style of the past century that was well-suited for manual labour but proves limiting for knowledge work. Managers can no longer simply dictate tasks and expect compliance. For collaborative efforts to thrive, managers must nurture a culture that empowers teams with autonomy while providing direction, support, and facilitation.

What About Management?

Those in the know recognise the incompatibility of CKW and the traditonal management paradigm. Yet, organistions intent on making the best of CKW are faced with transitioning away from the concept of management towards e.g. sefl-managing teams and fellowship. In essence, we’re talking about culture change. Here’s some guidance in that regard:

Guidance for Old-Guard Managers

For managers used to traditional modes of top-down management, adopting a collaborative approach invites a paradigm shift. Here are key ways to enable more participatory and productive knowledge work:

  • Provide transparent context and clarity around broader goals while giving teams discretion in determining how goals are achieved.
  • Cultivate constructive exchanges where all team members feel comfortable contributing ideas without fear of judgement.
  • Ask probing questions, identify gaps, and point to resources, not dictate solutions.
  • Focus on facilitating the collaborative process through conflict resolution, dialogue around communication norms, and adaptive coordination.
  • Champion new ideas that arise from the team and rally support across the organisation.
  • Evaluate performance based on the effectiveness of collaborative processes and quality of outputs.

Advice for New Managers

For those assuming their first management role, the collaborative approach may feel more intuitive. Still, translating intent into impact invites concerted learning. Here are some areas for new managers to consider:

  • Foster emotional intelligence to nurture relationships, understand different working styles and motivations, and resolve interpersonal friction.
  • Hone facilitative teambuilding techniques like liberating structures, engagement through powerful questions, and conversation mapping.
  • Promote inclusion by valuing diverse voices, ensuring equal opportunity for contribution, and mitigating dominant perspectives.
  • Develop fluency in digital collaboration tools and appropriate applications for remote and hybrid work settings.
  • Elevate and practice orchestrating for collaborative work.
  • Pay attendtion to the quality of interpersonal relationships and the overall social dynamic.
  • Attend to folks’ needs.

The CKW paradigm brings substantial promise and possibility but requires managers themselves to transform. By embracing this challenge, leaders can unlock unprecedented potential from today’s knowledge workers.

The future lies in fully unleashing human potential by connecting talent to shared missions. But practical change management matters. How might we reinvent team rituals and processes to make this vision an everyday reality? The answers will come collaboratively, through commitment to the journey of learning together.

The Social Side of Improvement

January 28, 2024
Antimatter principle, Article, Improvement, Motivation, Productivity, Self-organisation, Teambuilding
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The Social Side of Improvement

While organisational purpose, leadership directives, customer feedback and development processes model guide improvement efforts in business and technology, the truth is that willingness to improve is driven primarily by social and behavioral factors within teams. Even the most meticulous goals, inspired leadership, and incentive structures fall flat without the initiative of people who develop, design and maintain systems. Understanding social dynamics is key.

Cultivating Constructive Exchanges

Improvement starts with recognition of social blockers* and unhelpful or deleterious assumptions – things which teams and individuals may find uncomfortable to confront. Where people feel uncertain about transparency, or fear judgment, they tend to hide issues instead of raising them. Leaders may choose to actively cultivate environments geared towards constructive exchanges, allowing for open dialogue around issues. This helps normalise the process of identification and resolution of deficiencies.

Intrinsic vs Extrinsic Motivation

While extrinsic rewards like bonuses or promotions may temporarily boost improvement efforts, intrinsic joy and satisfaction derived from enhancing systems sustains team momentum better long-term. By tapping into natural human needs for growth, learning and overcoming challenges, organisations can activate self-perpetuating cycles of improvement. Especially in CKW (Collaborative Knowledge Work) this intrinsic drive always outweighs extrinsic rewards.

Team Cohesion and Alignment

Teams that agree on why improvements matter and how to make them happen can work together better to upgrade the way the work works. When a team shares beliefs about the value of making progress, they can encourage each other to take helpful steps through dialogue, teamwork, and motivation. Without this same vision and coordination as a team, people can lose steam and direction, which slows progress.

No policies handed down by an organisation can force improvement to happen without support within the team itself – people’s drive to learn and tackle problems as a group keeps development going over time. Smart teams focus first on creating a common purpose and satisfaction from incremental gains among the team members. This activates social forces within the team that enable ongoing improvements to happen more easily.

In essence, having people work positively together as a team, united by common goals and motivations, is what sustains long-term progress above all. Savvy teams build pride in small wins, and in camaraderie focused on solving challenges that come up. This gives the team itself an inner drive to keep improving.

The Role of Nonviolence

Teams working together day after day to refine and upgrade systems will inevitably encounter disagreements, debates over technical design tradeoffs and even interpersonal conflicts. Without mindful effort, discussions around imperfections can turn counterproductive if they degrade into blame games, aggressive posturing or dismissiveness. Leaders therefore need to proactively encourage nonviolent communication norms.

Attending to Folks’ Needs

For nonviolence to truly take root, teams may choose to move beyond civil language, to proactively attending to the psychological, emotional and practical needs of team members. This involves empathy, active listening, validating concerns without judgment, and extending support to help resolve issues causing distress. By being attentive caregivers, teams allow themselves to feel safer, exposing vulnerabilities including skill limitations and interpersonal issues that may be blocking progress.

Empathetic Language

By teaching team members to frame problems objectively, avoid finger-pointing around issues and discuss potential improvements with empathy, compassion and non-judgment, conversations become solution-focused. This prevents people from becoming defensive when their work is critiqued and keeps debate civil, allowing cooperative analysis of flaws.

Mediation Over Escalation

When conflicts around system deficiencies do emerge within teams, leaders should mediate issues through open dialogue between parties rather than let tensions escalate. Allowing people to air their perspectives fully and feel heard diffuses situations where egos can clash during ongoing refinement efforts. If deficiencies are structural, collective responsibility should be emphasized over singling out individuals to avoid disincentivizing transparency around limitations.

Nonviolence In Action

Ultimately, by normalizing nonviolent communication, dialogue and conflict mediation practices within teams, leaders can ensure that the necessary discussions around flaws and areas of improvement do not themselves disturb the social fabric underlying cooperative work. This sustains healthy relationships between members which are foundational for iterative development.

*Social Blockers

“Social blockers” refer to interpersonal or group dynamics that inhibit progress, innovation, and improvement in teams and organisations. Some examples of social blockers include:

  1. Groupthink – Where there is pressure on members to conform to a dominant narrative and not challenge assumptions. This smothers dissenting perspectives that may reveal flaws or areas to improve.
  2. Blame Culture – When failure or deficiencies consistently get attributed to individuals’ mistakes rather than addressing systematic gaps. This makes people defensive about problems rather than openly discussing solutions.
  3. Office Politics – Power struggles, protection of turf, and ego issues can distract focus away from constructive progress. Backbiting, sabotage, nepotism etc. form rifts that block alignment.
  4. Poor Leadership – Leaders who don’t welcome critical feedback or consumer insights, provide inadequate resources/training, resist change, or don’t mediate conflicts actively perpetuate barriers to improving the social dynamic.
  5. Complacency & Myopia – Organisations can get habituated to certain ways of operating, becoming complacent. Lack of outside perspective also breeds collective myopia to needs for positive change.
  6. Toxic Communicational Norms – Uncivil dialogue, aggressive confrontation styles, disrespect, and microaggressions during discussions on progress inhibits constructive exchanges in teams – somthing vital for improvement.
  7. Violence & Intimidation – In toxic organisational cultures, literal or symbolic threats of violence, intimidation, and aggression are sadly used to suppress dissent and critical feedback that reveals improvement areas. By creating an atmosphere of fear, obligation, guilt and shame,, such coercive tactics block openness.

Essentially any interpersonal and group dynamic that suppresses objective problem-solving, transparency around limitations, innovation through fresh perspectives, and constructive dialogue hampers the will and ability to improve – be it products, services or workflows. Managing these “social blockers” is key.

Further Reading

Rosenberg, M. B. (2015). Nonviolent communication: A language of life (3rd ed.). PuddleDancer Press.

Pronouncing “Quintessence”

January 27, 2024
Article, Business, Improvement, Language, Organisational effectiveness, Organisational Therapy, Productivity, Quintessence, Software development
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Pronouncing “Quintessence”

If you’ve come across the word “quintessence” while reading English texts, you may have wondered about the correct pronunciation and actual meaning of this rather unusual word. As a non-native speaker, the pronunciation can seem tricky at first. Read on for a quick guide on how to say “quintessence” properly and what this interesting word signifies.

Breaking Down the Pronunciation

Quintessence is pronounced “kwin-tess-uhns” in British English. Let’s look at each syllable:

“Quin”: The “qu” sounds like a hard “c” or “k”, as in words like “queen” or “quick”. Say the “kwin” syllable.

“Tes”: This syllable rhymes with words like “test” or “best”. Say “tess”.

“Ence”: Here the “e” becomes a schwa sound – the neutral “uh”. Think words like “enhance”, and say the schwa “uh” sound.

Put together, the full pronunciation is: kwin-tess-uhns. The stress is on the second syllable, “tess”. Say the word a few times out loud, stressing that middle portion, to get comfortable with the pronunciation.

Alternatively, you might choose to pronounce it “quint” + essence”.

The Meaning of Quintessence

So now that you know how to say it properly in your best spoken English accent, what does “quintessence” actually mean? Quintessence signifies the purest, most perfect or concentrated essence of something. For example, you could describe a breathtaking landscape as “the quintessence of natural beauty”. Or for an organisation that has everything sorted, all its ducks lined up, and firing on all cylinders, we might choose to call that a “Quintessential organisation”.

Etymology

The word originates from medieval philosophy, derived from the Latin “quinta essentia”, meaning the “fifth essence“. This referred to what was thought to be the pure substance making up heavenly bodies, beyond the four basic earthly elements of fire, water, air and earth.

In Modern Physics

In modern physics, “quintessence” refers to a hypothetical form of dark energy postulated to explain the observed acceleration of the expansion of the universe. Based on astronomical observations, scientists have determined that some unknown form of energy, termed “dark energy,” makes up about 68% of all the energy in the observable universe. This mysterious dark energy is causing the expansion of the universe to speed up over time. To explain this phenomenon, physicists have proposed that quintessence – an extremely light and slowly-varying scalar field – may account for the observed behavior of dark energy and the accelerating cosmic expansion. Quintessence would have negative pressure, offsetting normal attractive gravity and driving galaxies apart at an ever-faster rate. If confirmed, the quintessence scalar field would be the “fifth element” driving cosmology, alongside ordinary and dark matter. Though still unproven, quintessence remains a leading contender for explaining one of the biggest mysteries in modern physics and astronomy. Further experiments and astrophysical observations may shed more light on this proposed fifth essence permeating the universe.

Summary

So next time you come across this unique word, you’ll know the proper English pronunciation and understand its meaning related to a pure, perfect embodiment of something. With your new knowledge, use “quintessence” to impress your English friends and teachers!

Further Reading

Marshall, R.W. (2021). Quintessence – An acme for software development organisations. https://leanpub.com/quintessence

What’s Your System Improvement Index?

January 21, 2024
Antimatter principle, Article, Improvement, Metrics, Organisational effectiveness, Organisational Therapy, Quintessence, Systems thinking
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What’s Your System Improvement Index?

Most systems operate under some sort of performance metric – service uptime, number of users, needs met, revenue growth, new feature deployment, incident resolution time…that sort of thing.

Whether they’re set by management, agreed upon by the Folks That Matter™, or simply targets for continuous improvement, metrics exist.

Sometimes, they’re overtly stated – written down in strategy documents or OKRs.

And other times they’re not formalised in this way.

Don’t mistake the absence of documented goals to mean non-existence of those goals (see also: Your Real Job)..

You might think your system has no performance metrics because nothing is in writing or has ever been formally discussed – but all you have is no clear agreement as to what your system’s performance metrics are.

Whether you’re a founder, product manager, engineer or other contributor, your system can do one of two things – meet expectations or disappoint. The absence of clear, agreed, preferably documented performance metrics merely means you don’t know when the system is underperforming.

If your system lacks clearly defined metrics, stop here – the key takeaway is to discuss and agree metrics and targets, even if just on your own team – so you know when the system is failing to hit the mark.

For most mature systems and products, it’s around this time of year teams analyse performance against goals – 15% improvement in latency, 11% increase in conversion, 7% bump in NPS…that sort of thing.

My question is this:

“To meet your system’s goals, how much do your collective assumptions and beliefs need to improve?”

It’s a difficult question without an obvious answer – 0%? In line with the target metrics? Double digit percentage gains across the board?

I don’t know the answer, and you may not either – but we’d likely both agree your organisation’s mindset and culture can always evolve.

Tools like organisational psychotherapy can help reveal limiting assumptions and facilitate shifts in collective beliefs.

So let me ask plainly:

“To meet your goals this year, how much do you need your organisation’s culture to develop?”

Pinning down an exact number isn’t straightforward, but it certainly isn’t zero.

One suggestion to quantify this:

Conduct regular culture and maturity assessments, and use the year-on-year improvement as an indicative ‘System Improvement Index’ benchmark for collective thinking shifts.

Of course, you may already do this, in which case view it as validation you’re tracking evolutions in organisational worldview.

If not, there are many good culture evaluation frameworks out there. Use one aligned to your organisation’s design and purpose. We have one we can share too – just ask!

Let me close by asking once more:

To meet next year’s targets, how much do your collective assumptions and beliefs need to improve? What’s your system’s ‘Improvement Index’?

The Assumptions Underpinning Business Beliefs

January 12, 2024
Actionable Insights, Article, Culture change, Improvement, Organisational effectiveness, Organisational Therapy, Quintessence
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The Assumptions Underpinning Business Beliefs

“Have you ever asked yourself, what are the deepest principles upon which my management beliefs are based? Probably not. Few executives, in my experience, have given much thought to the foundational principles that underlie their views on how to organise and manage. In that sense, they are as unaware of their managerial DNA as they are of their biological DNA.”

~ Prof Gary Hamel

Professor Gary Hamel’s insight points to a common blind spot – the assumptions upon which we build our businesses rarely get examined. We take our beliefs for granted rather than questioning where they came from or evaluating their current relevance. Over time, unquestioned principles shape our strategic decisions, workplace culture and collective potential – and thus effectiveness – without our awareness.

Organisational psychotherapy offers one route to excavating the hidden shared assumptions that become ingrained in a company’s DNA. Through techniques like group reflection and dialogue sessions, teams can gradually bring unspoken belief systems to the surface. Often these are “stories we live by” – the narrative frames determining priorities, norms, success measures and more. Shining light allows us to reconsider if these beliefs still serve the organisation or if they hinder.

Just as individual leaders have inner beliefs steering their choices, so too do groups and organisations. The shared assumptions get passed down over years through habits, policies, legends and corporate mantras. They solidify into the “way things are done around here” until nobody bothers asking why anymore (if they ever did). And yet today’s business realities may require questioning everything we take for granted about how to operate, adapt and succeed.

I invite leaders to view organisational psychotherapy as an opportunity to unearth the stories we live by. Let’s open up today’s prevailing assumptions to inspection in the cold light of day. Do they still nourish the collective potential or constrain it? This work of examining our beliefs benefits from neutral, experienced facilitation rather than internal politics. Thereby we can evolve the organisational DNA to better thrive in tomorrow’s complex business ecosystems.

The principles we build our organisations upon end up building our organisational lives. What beliefs inform your company’s inner DNA right now? And are you willing to question their ongoing relevance with courage?

The Role of Organisational Psychotherapy in Catalysing Customer Change

January 6, 2024
Article, Business, Customers, Improvement, Management, Organisational Therapy
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The Role of Organisational Psychotherapy in Catalysing Customer Change

“If only we could get our market to see the incredible value of our services” – a constant refrain in supplier organisations everywhere.

In B2B sales particularly, customer organisations’ collective assumptions and beliefs are often the key constraint in both their becoming more effective in their own businesses, and their engaging with you as supplier to buy more of your organisation’s products and services. Here’s a few examples of such limiting assumptions and beliefs from specific sectors:

Manufacturing:

  • “We prioritize efficiency over agility” – Resistance to flexible solutions that disrupt tightly optimized production workflows.
  • “Innovation isn’t a priority” – Complacent attitude that hinders adoption of emerging technologies like IoT, AI etc.

Healthcare:

  • “Do no harm” – Excessive risk aversion that limits deploying new interventions without exhaustive proof.
  • “Clinicians know best” – Dismissive attitudes toward operational insights from managers or partners.

Financial Services:

  • “Regulations limit change” – Using compliance as an excuse to not undertake transformations.
  • “Our brand perception is all that matters” – Focusing excessively on marketing at the cost of customer-centricity.

Retail:

  • “Physical stores still reign” – Resistance to reimagining business models and channels despite ecommerce trends.
  • “Customer loyalty is high” – Taking customers for granted rather than innovating to excite them.

The Role of Organisational Psytchotherapy

Truly transformational change in customer organisations often benefits from addressing underlying psychological factors. This is where organisational psychotherapy can play a pivotal role in enabling customer organisations to embrace change, change which can mutually beneficial to both supplier and customers.

Kickstarting Change

Some ways psychotherapy principles can help suppliers ignite change in customer organisations are:

  • Surfacing unspoken fears about the impacts of change – fears that may be driving resistance.
  • Providing a safe space for customer organisations to voice anxieties and work through them.
  • Surfacing unhealthy group dynamics that reinforce status quo thinking.
  • Challenging embedded assumptions and blind spots through deep and facilitated inquiry and reflection.
  • Enabling open dialogue and vulnerability to build trust.
  • Helping customer teams align around shared goals and visualization.
  • Continually monitoring psychological constraints and misalignments as they emerge.

With compassion and emotional intelligence, consultants trained in organisational psychotherapy can work with customers to bust through mental barriers. This clears the path for implementing bold new visions in partnership with the enabling supplier.

The organisational psychotheapy lens is key to enabling transformations centered on shared assumptions and beliefs, not just processes. I hope these insights on blending organisational psychotherapy with change management and Theory of Constraints inspire you in your efforts to propel customer evolutions.

I’d love to hear about your experiences with organisational psychotherapy in enabling change in customer organisations. What unique insights has it provided you?

The System’s Unseen Value

October 31, 2023
Article, Business, Culture change, Financial, Improvement, Investment, Management, Organisational effectiveness, Paradigm shifts, Quintessence
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The System’s Unseen Value

What is Goodwill?

Goodwill refers to the intangible assets that make a business valuable beyond its tangible assets like equipment, patents, people, or inventory. It includes elements such as brand reputation, market position/share, company culture, and customer relationships. Goodwill matters because it influences the market’s perception of a business’s worth, often adding significantly to its valuation.

Does the System Matter?

While financial experts readily acknowledge the importance of goodwill, the “way the work works” (a.k.a. “the system”) almost never gets its due attention. But just as goodwill contributes to a company’s valuation, the way the work works can significantly affect an organisation’s effectiveness, costs, profitability, and employee satisfaction.

Why Overlook The Way the Work Works?

Goodwill gets its importance primarily because it appears on a balance sheet and contributes to a company’s market valuation. The way the work works doesn’t have such a direct presence in financial reporting, making it easier to overlook. This lack of visibility largely renders it irrelevant. In fact, the way the work works often acts as an intangible asset that can yield long-term benefits. Or as a boat anchor that produces significant dysbenefits.

How to Measure the Way the Work Works?

While it’s challenging to quantify the value of effective work methods, metrics like productivity, quality, employee retention, and customer satisfaction can serve as indicators. Businesses might choose to identify Key Performance Indicators (KPIs) that align with their objectives to assess this aspect accurately. Assuming that the way the work works is even on businesses’ radar at all.

Can Intangibles Translate to Tangibles?

The way the work works can absolutely translate into tangible results, similar to goodwill. Effective work methods can lead to higher productivity, better quality of output, staff morale, and increased customer satisfaction—all of which, in turn, improve a company’s financial performance.

Is It Time to Take Action?

The onus lies on business leaders to recognise the importance of the way the work works and implement strategies for its improvement. Companies that take this aspect seriously will find themselves better equipped to meet challenges and seize opportunities in the market.

In a nutshell, the way the work works may not feature on a balance sheet, but its impact on business success is undeniable. By understanding and optimising the way the work works, organisations can enhance an intangible asset that has long-lasting, tangible benefits.