Writing

The Problem is Everywhere

The peculiar character of the problem of a rational economic order is determined precisely by the fact that the knowledge of the circumstances of which we must make use never exists in concentrated or integrated form but solely as the dispersed bits of incomplete and frequently contradictory knowledge which all the separate individuals possess. The economic problem of society is thus not merely a problem of how to allocate “given” resources—if “given” is taken to mean given to a single mind which deliberately solves the problem set by these “data.” It is rather a problem of how to secure the best use of resources known to any of the members of society, for ends whose relative importance only these individuals know. Or, to put it briefly, it is a problem of the utilization of knowledge which is not given to anyone in its totality. – Friedrich A Hayek “The Use of Knowledge in Society”

Yesterday I met with an organisation that wanted some of my help as they sought to solve a problem. The organisation was developing a new knowledge sharing system to enable is staff to be better informed about products and processes. There was one slight issue with this problem. The organisation already had multiple systems to enable its staff to be better informed about products and processes: intranets, social networks, training, help & support tools, automation, etc.

Problems Everywhere

As we asked why these other systems didn’t work it became clearer that the project team’s issue was that it was solving a problem for others, rather than with others. The explanations for needing a new system did’t stack up and suggested there was more that needed to be learned from the users:

  • ‘Most of the learning is peer to peer. We need to give them better options’: Why do they prefer to learn from peers who might be inaccurate or unavailable? Why will they change this if you offer a new system? 
  • ‘They won’t use a collaboration system because they say they don’t have the time’ : if time is a question of priority, why isn’t it a priority? To what extent is the culture, leadership and performance management of the team driving this lack of priority? If they won’t collaborate why will they have the time to use something else? What is there time actually spent on? What do they do instead?
  • ‘Those system don’t give them the answers they need so we are building a new one’: If the last system didn’t understand what was required, how do you? What does relevance look like to each user? What does relevance look like to their customers?
  • ‘They want help with process X, but we are building something innovative for all processes’: Why do they want help with that process? What’s innovative about ignoring the demand?

The Answer is Everywhere

The answers to these questions are dispersed in a wide range of people beyond the project team. They draw in questions of culture, of practice, or rational and irrational behaviour by real human beings doing real work under the daily pressures of customers and a large organisation. There’s a lot of learning to do.

We have the tools to solve this dispersion and gather insights into what needs to be done in the practices of Big Learning:

  • we can actively collaborate with the users and other participants in the system to get under the pat answers and explore the deeper reasons and problems
  • we can use the practices of design thinking to better understand and shape employee behaviour & the systems involved in action
  • we can analyse data to understand in greater detail what is going on
  • we can experiment and iterate to ensure that proposed changes work the way that we expect
  • we can enable and empower the users to create changes to their work
  • we can accelerate the interactions and the cycles of learning to move faster to better solutions

These aren’t parallel techniques to be applied independently. The practices of Big Learning work best as an integrated system that draws together the insights from all of these approaches to help organisations learn and work. Big Learning enables organisation to work with and through its employees to deliver change. Change does not have to be done to them.

The reason organisations need to develop systems to facilitate Big Learning is elegantly described by Hayek in the conclusion to his essay “The Use of Knowledge in Society”.  Hayek was critiquing the schools of economists who thought that centrally planned interventions designed by experts would be effective. The context may differ but organisations still use forms of central planning by experts to create change. These changes fall short for a fundamental reason – experts can’t know enough alone:

The practical problem, however, arises precisely because these facts are never so given to a single mind, and because, in consequence, it is necessary that in the solution of the problem knowledge should be used that is dispersed among many people

The practices of Big Learning help bring people together to share insights, learn and work as one.

Break the Management Spiral

image

Some days I wonder how much of what we call management theory is piling on new practices to treat the symptoms of the last practice we implemented. Let’s break the management spiral.

The Management Spiral

Let’s assume we are a traditional organisation run in line with prevailing management practices.  Here’s one example of what we might experience:

  • We hire to match fixed definitions of expertise and because we don’t help our people to learn & adapt so we don’t trust them to deliver alone. 
  • Because we don’t trust our employees to be able to work unguided, we have a strict processes & policies. 
  • The policies and processes don’t cover all situations or all decisions, so we have hierarchy to lead, sort issues & coordinate. 
  • Our hierarchy doesn’t do that work because human nature means hierarchical leaders become invested in their power and expertise which disengages people, so we run a complicated scheme of performance management and incentives. 
  • The performance system isn’t perfect and worsens performance by creating conflict, waste and misalignment so we need to resort to layoffs, restructures, outsourcing and automation in an effort to restore performance. 
  • Now that we are letting expert people go, it’s clear that we can’t trust anyone and there’s no point investing in people so we are back at the beginning again and need better compliance with policies and process, more effective hierarchy and a new performance management system.

This is a simple linear story.  Even small organisations are far more complex than this example with interplay between each of these factors and a range of personal, political and human issues influencing performance. For example, there’s a reason engagement is low across many industries and countries as every one of the bullets above affects engagement.

We can’t go on adding bandaids to the symptoms of our previous management practices.

Breaking the Spiral

To break this spiral we need to change two key elements of the modern management paradigm:

  • From knowing to learning: Expertise won’t cut it anymore. We need to embrace the pace of knowledge in a connected economy and focus on flows of knowledge, not stocks. Organisations need to ensure that they have Big Learning, where every role is building capability and contributing to the potential of the organisation. It also means means change & growth is inherent in every role and each role has a responsibility to fix, to improve and to share. 
  • From controlling to enabling: If the world is dynamic, we can’t specify in advance. We can’t dictate the process at the detail required. We can’t anticipate every customer need or every community demand. We need to focus instead on enabling the person best placed to make the call and realising value through enabling those outside the organisation. We need to manage to realise and enable our collective potential, the potential of employees, customers and community. 

These two concepts seem to be at the heart of many of the new practices developed to help enhance the future of work. Let’s hope better practices will help us to better manage the system and break the spiral.

The Status Quo Requires Conflict

The status quo isn’t predetermined. It is just where we go back when the conflict of change ends. The status quo doesn’t exist without the conflict of change and doesn’t end until the change succeeds. 

The etymology of phrases can be an arid occupation but it can also deliver up the odd insight. The Latin phrase ‘In statu quo res errant ante bellum’ was the source of our phrase ‘status quo’. It means ‘in the state in which things were before the war’ and was used through history as a way of restoring the pre-existing order of things in treaties following conflict.

There’s two points of significance there:

  • you need conflict to have a status quo
  • you go back until you go forward

These days we often use the phrase status quo loosely as if it is somehow a pre-derermined state. It isn’t. The status quo is defined by the attempted change. The conflict of change creates “the way things were before”. That way is simply an aggregation of all the previous changes.

There’s no point worrying about why the status quo in the systems we are seeking to change resists change or why there may be conflict. The status quo is just a status. It doesn’t have any ideas, a say or any actions. Those belong to the people in the system. Once a change in the system is started by some of those people, that conflict continues until there is no return by everyone to the status quo.

Embrace the conflict as part of the change process, use it to learn how the change needs to be improved and recognise that conflct will be there until the changes become the “way things are”. The desire of change agents to bring about a better system will ensure that.

Change agents deprive the status quo of its power and status.

Guest Post: The Dizziness of Freedom by Diana Renner

Diana Renner and I were discussing working out loud this week when Diana mentioned that she had an unpublished blog post in development that I recognised as the feeling of the ‘trembling finger’ when I am about to work out loud. This guest post is a result of that conversation. It is too good not to be widely shared.

The Dizziness of Freedom

“…creating, actualising one’s
possibilities, always involves negative as well as positive aspects. It always
involves destroying the status quo, destroying all patterns with oneself,
progressively destroying what one has clung to from childhood on, and creating
new and original forms and ways of living

Rollo May

 It has been almost two years since I stepped
into the unknown and became an independent consultant. Looking back, it feels
less like a step and more like a leap. In a single gesture of defiance, I
traded security for freedom, leaving behind a relatively comfortable,
predictable role in a large organisation. I had never expected to end up
working on my own. But the promise of freedom was alluring. It still is. At the
same time freedom opens up possibilities that are terrifying.

In his book The Concept of Anxiety,
Danish philosopher Søren Kierkegaard explores
the immense feelings of dread that accompany that moment when we find ourselves
at a crossroads in life. The moment when the choice to do something hangs in
perfect balance with the choice to do nothing. Kierkegaard uses the example of
a man standing on the edge of a tall building or cliff, from where he can see
all the possibilities of life. As he looks over the edge, he experiences both a
fear of falling and at the same time a terrifying impulse to throw himself
intentionally off the edge.

Every edge I have stood on has provoked
feelings of dread and excitement. Whether going into a first meeting with a new
client, writing a few pages in my book, or facing a bored and unmotivated
group, I have struggled with what Kierkegaard calls our dizziness of freedom.
Just like Kierkegaard’s protagonist,
staring into the space below, I have contemplated many times whether to throw
myself off or to stay put.

However, what seemed risky and largely unknown
two years ago rapidly has become part of a familiar landscape. It would be
natural to relax and enjoy the view… Yet I have
learned that it is at this very point that I need to become more vigilant than
ever and exercise my freedom to choose in three key ways:

  • To rally against the safe but numbing comfort of the status
    quo
    . I need to keep reminding myself that the
    greatest learning is just outside of my comfort zone. I need to keep stretching
    myself to keep growing.
  • To resist the strong
    pull of the crowd
    . I have found perspective on the
    margins, not looking to the outside for approval or acceptance, not following a
    trend just because everyone else is following it.
  • To interrogate the
    world
    ’s criteria for what is good or successful. I am suspicious when I am being offered a formula to quick success
    or many riches. It is powerful to be able to question mainstream expectations,
    and carve my own path with courage and purpose.

The responsibility that comes with the freedom
to choose is terrifying. But the cost of not choosing is even more so.

We need to welcome this dizziness of
freedom
as a sign that we are, in fact, just where we need to be. A sign
that we need to slow down and reflect on the risk, then step off the edge
anyway.

Diana Renner – Leadership consultant, facilitator, author of ‘Not Knowing – the art of turning uncertainty into opportunity’, Chartered Management Institute Book of the Year 2015, UK.

www.notknowingbook.com
www.notknowinglab.com
Twitter: @NotKnowingLab

Big Learning

Organisations need to rethink their approach to learning. It is no longer a function and an oft-neglected subset of the role of HR. Now it is clearer than ever that learning and the realisation of human capability is the function of organisations.

Why do we come together?

Organisational models are changing. There is much discussion of the potential of new ways of working and organising work. We are thinking about the post-work economy, the Uber-economy, holacracy, responsive organisations, the human-to-human economy or many other forms of the debate on the role and shape of organisations.

What is clear is that in an era where the friction of information, interaction and collaboration is reducing is that organisations to survive must enable people to be and do better together than they can be on their own. Realising the human potential of individuals and teams becomes a critical part of the rationale of organisations, whether that simple rationale is in turn justified in lower transactional costs, trust, scale, access to funding, need for community, collective security or some other rationale.

From Execution of Processes to Learning

When we focus on our organisations existing to better realise human potential we shift the focus of organisations away from the traditional rationale of efficient execution of stable business models. We must recognise that as our people’s knowledge, skills and capabilities grow so can the ways we work, we engage others and we create value. Highly competitive markets and fast followers will compete away value that is not based on organisations continuing to improve their ways of working, their value for customers and that takes collectively learning.

Start-ups are just one example of organisations designed for the purpose of learning. First a start-up seeks to learn what problems need solving. Then it starts to build business models that more effectively address these problems and create value.  All the way through this journey, the people in the organisation are challenged to work in better ways, to learn more and to realise their potential.  Start-up organisations have become innovators in the ways of working as they have found ways that better enable the potential of their lean teams to be realised. Many of these work practices are now becoming commonplace e.g. agile delivery, lean, customer centred design approaches, experimentation, data analytics, holacracy, collaboration, etc. 

From Learning to Big Learning

Increasingly large organisations are seeking to apply these skills to their work to compete and to grow. Slowly learning is being seen as it should have been seen all along, as a critical capability to enable the delivery of strategy and ensure organisational survival against disruption and entropy. 

However, learning in this context is no longer a function of HR. Learning becomes a function of every role, every process and every action in the organisation. We are not applying 70:20:10 with the goal of making learning programs better. Now the entire organisation seeks to use the capability of every individual to learn and improve to better achieve its goals and better create value. Organisations will succeed on the extent to which its group of individual learners outperforms the learning going on at competitors. This is Big Learning. 

Individual practices like lean thinking, agile, design, experimentation, analytics etc are not implemented to perfect a practice or make work more efficient. Each of these practices are part of creating step changes in performance through learning, a mindset of Big Learning. These practices are developed to enable the organisation to realise its purpose of enabling its people to realise their potential faster and more effectively than competitors.

Big Learning takes a new System

Big Learning takes a new systemic approach to the development of people’s potential and the processes of work in the organisation. Declaring your organisation a learning organisation or increasing funding your learning team won’t cut it. There is no one product or service to purchase. Every organisation needs to develop its own Big Learning system. The changes will involve every role, process and function. The approach will depend on its customers, its strategy, its people and its culture. The answer will depend on what best realises its ability to create increasing value over time.

A New System Takes Change Agents

New approaches to help organisations and their people to learn and share their capabilities, and work in new ways are being created every day. Managers and workers already have a wide range of tools and approaches available to begin their experimentation. Change agents need to be enabled to start to make this change happen. Organisations need to start challenging themselves today whether they are realising the potential of their people to create value for customers and the community.

“Work is learning and learning is the work” – Harold Jarche

From Bucket List to Purpose

I am beginning to have a problem with the bucket list. A bucket list is a list of experiences or achievements to have fulfilled by the time you die. My problem with bucket lists is that they are too often laundry lists of notable achievements, socially recognised moments and exotic travel destinations. It is rare to see a bucket list with an internal logic.

If a bucket list takes this form, then it is simply another manifestation of the overhang of expectations.  The image of the grim reaper cutting short bucket lists creates an unnatural urgency.  That urgency can be used to create consumer demand. Promoting experiences as ‘bucket list-worthy’ have become a way to market experiences from the mundane to the sublime. The bucket list is the latest manifestation of consumer marketing, the experience you have to have. There is no end to things that we just have to have on our bucket lists.

Life isn’t determined by what we have to have. There is precious little that we have to have. Once we move beyond meeting the needs of living standards, quality of life is determined by more than what we have. Quality of life is determined by the impact we choose to have on the world.  

Those choices arise as you make each decision on work, on relationships and on living. Many of these choices are the mundane, everyday living choices that are a far remove from the exotic one-off experiences of the bucket list.  However, over time what these choices will share in common is your personal sense of purpose.  Realising a personal inner purpose over the many obstacles is how each of us can help realise our potential. That is far more important than the fleeting experience of ticking off a random list.

A fully ticked bucket list will keep you busy but won’t necessarily let you die happy. A life of fulfilling purpose will.

I am and I do

Birthdays come around once a year. They are a repeating milestone. This year I have a small gift for myself – an absence of expectations. Instead I am focusing on what I am and what I do.

There is much discussion these days on the unrealistic expectations we place on ourselves. Every day’s to do list is a reminder to me that I fall easily for creating these expectations. Much of my life’s experience has taught me that most of the time we are neither quite as bad or as good as we think.

So this birthday, I am changing my expectations. I am.

On previous birthdays I have reflected on what I wanted to be. I set myself all kinds of milestones. I challenged myself to do more. Some I achieved but far too many became part of the overhang of what might have been. That overhang was mine alone, an unreal fiction and entirely unconstructive. Nothing more gets done because I once thought that I would have done more by now.

The last two years of working for myself has been a wonderful lesson in the importance of being & doing. I wondered what I might become when I began this process. I didn’t become anything. I am and I do. However, along the way I discovered:

  • I am helping people & organisations with collaboration, leadership, learning and the future of work, because it interests me and I work at improving my capabilities & connections every day
  • I am a baker because I bake whenever I can and I learn new techniques and approaches
  • I am a writer because I write whenever I have something important to say and I seek to get better with feedback.
  • I am enjoying a different life, because every day I am making new and better choices
  • I have a sense of purpose, because the purpose is in the work
  • I am happy. I just am. If I wasn’t, I would do something about it.

When other people want to hire your expertise, it is a solid reminder you are growing more every day.  When people admire your baking, or your writing or some other activity, it is a reminder that those skills are growing too. If nobody else notices, then you still know you are growing. When you ask yourself what made you happy today and there is always an answer, you are happy.

What you are now doesn’t matter. It just is. 

What you want to be doesn’t matter now. What matters is what you do today. 

Live and work your way forward day by day. I am.

CEO: This job is almost impossible

I am very pleased to be sharing with you today my first post as CEO. Apologies if it seems a little frazzled. I am by the challenges ahead but that’s also because I am writing at home surrounded by the turmoil of my young family. I thought I would pass over the usual inspiring memo and start a conversation here in our enterprise social network. I am humbled by the many posts here that saw me selected as your CEO. I now have a great challenge ahead to honour that confidence in my potential as a leader and to use my new position wisely. We have many challenges ahead and we will need to work together to solve them.

As he was leaving the organisation, my predecessor remarked “This job is almost impossible. You are going to need a lot of help to fix things”  Yet again he was incredibly insightful. 

A Big Challenge

I suspect I see the job of a CEO slightly differently to my predecessor but I agree on its challenges. I see the CEO as less of a commander atop a hierarchy. I haven’t won this role for my expertise or ability to make all the decisions needed. For me a CEO is a guardian of the organisation’s purpose and its impacts for customers, community and people. Ultimately, the CEO is held accountable by these stakeholders for their ability to facilitate great outcomes from the whole team.

To advance our purpose and improve our effectiveness, I will be less of a boss and leading the way as a change agent helping to create the needed focus, better performance and accountabilities in our organisation’s network. At the same time I recognise in a time of rapid change I need to lead the way as learner in chief. That will be easy for me. One of the reasons I am frazzled is that I have a big learning curve ahead and our organisation has a lot to learn.   

Learning on the job as CEO is almost impossible, how can you help me to learn the role, learn better ways of working and learn the future of this organisation?

Only A Job 

I am acutely aware that CEO is only one job. Some CEOs confuse the job and the role thinking that their personal power and expertise is the answer to the organisation’s challenges. I know too well that I don’t have the expertise and I don’t have the answers. You know that well. It was discussed aloud when you chose me.

My authority comes not from the role but from your confidence in my ability to help realise our purpose and to create the answers we need together. That is the only sustainable basis of your decisions to follow. We need to replicate relationships based in understandings of capabilities, effectiveness and authority for every role in the organisation so that anyone can lead, can contribute their expertise and realise their potential. Working together in this way and working explicitly on our relationships will make our interactions can be rich in trust and quickly identify those who would rather work elsewhere. 

Changing our leadership approaches and relationships is almost impossible, how can you help me to create new relationships in this organisation?

We’re Together in Change 

We need trust and strong relationships because we are going to work to use all our talents to fixing things together. We need the people closest to our customers and those with new ideas and new information to have the authority to make change and to call on the support of their colleagues to see it through. At times, we have valued processes and rules over outcomes for our customers and our people. Not all of our ways of working deliver the outcomes we want. We aren’t as responsive as we would like. We have work to do. All our employees have the responsibility to find fixes to the issues that they see in our business. They won’t be able to do that on their own. They will need your help too. 

We will only succeed in the harsh competitive environment if we have the ability to better leverage the talents and potential of all our people. Together we will focus on how we improve everyone’s effectiveness, autonomy and agility to deliver better outcomes for the organisation, its customers & community and importantly for themselves. Our collaboration will be critical to connect us, to share information and to solve the daily obstacles we face to better performance. Everyone has a role to play in this.

Realising the potential of all our people to contribute to purpose is almost impossible, how can you help me to accelerate our change?

Let’s Continue the Conversation

Attached to this post is a memo that the executive sent to the CEO some time ago outlining the importance of this enterprise social network to our strategy. Unfortunately, as it was a email it was only seen by the CEO and the executive team. As all our employees will contribute to creating value for our customers through collaboration and continuous improvement, it would have been wiser to share this with you earlier. As we move forward, our leadership team has agreed to write fewer politely worded memos and to engage in real conversations out loud here in the enterprise social network. I would ask you each to work out loud too.  Sharing our work as it progresses is a way to help us learn and improve.

Our future success is a real challenge. It always is. You might even say it is almost impossible, but nothing less would suit our very capable people. We will improve and deliver our purpose one day at a time. I am frazzled but I couldn’t be more excited as CEO as I have confidence that this amazing group of people will help find each day’s answer to the question: 

‘What Do We Need to Improve Today?’

It is almost impossible to believe that I am CEO of this great network of talented people. I know you will help me get over that too!

Previous posts:

#1 The Last Thing We Need Is An Enterprise Social Network

#2 Dear CEO: This Enterprise Social Network Doesn’t Work For You

Use Digital Capabilities to Build Digital Capabilities

Our traditional management models die hard. 

Many organisations are starting to consider how they build new digital capabilities like agile, hypothesis-based experimentation, design thinking, analytics and collaboration. Yet when they start to plan these changes to more digital ways of working, they use management models from pre-digital management:

  • transactional approach to interventions
  • solutions defined by expertise
  • linear implementation approaches
  • waterfall project plans
  • push compliance and competency models focused on supply of new skills to employees
  • narrow delivery models using only learning and classroom learning
  • limited if any measurement of the changes

These approaches seek to make organisations ready for more digital management using the methods of traditional management.

Digital Dog Food

We can do better than this. We can start by asking projects to build digital capabilities to eat their own dog food. If nothing else, they will learn on behalf of the organisation the challenges and opportunities of new digital ways of working. 

New Digital Capability Building

Projects to build digital and responsive capabilities in organisations can be role model projects for those capabilities. Taking a leaf from the digital tool suite challenges those building capability to consider capability building that offers:

  • many paths on the learning journey as part of career paths and achievement of learner goals
  • mobile options, social learning and performance support to sustain learning in the digital work place and wherever is convenient for employees
  • offers people pull and push options across the range of 70:20:10 learning with options also for the depth of content and timing of learning experiences
  • encouraging people to seek out and share learning options from the depth of learning available in their personal networks 
  • engaging programs built from deep insights into the change and capability challenges for employees in working in new ways

New Digital Delivery

The projects to build new digital capabilities themselves can adopt digital approaches by shifting to:

  • agile delivery
  • minimum viable solutions
  • hypothesis-led test and learn iteration
  • considering needs for adaptive change and related changes on the wider organisational system
  • encouraging learners to act as a community to support successful delivery of the project goals.
  • strong analytics supporting not just the delivery of learning but also the strategic contribution of the capability building  
  • leveraging collaboration and networks in and outside the organisation to build capabilities, particularly in making smart decisions on what to build and what to buy.

More Effective

Working on transformation projects in these new ways won’t always be efficient.  It definitely won’t be easy. However, using the tools and approaches of digital management enables organisations to learn and evolve their goals through the process of transformation. This learning will be the path to step changes in effectiveness and a better match to employee and organisational needs.  At a minimum, it helps ensure that the project creates a team of highly capable change agents to help drive the next phase of the journey.