a couple of years ago I did a piece of consulting work for a large
consulting work for a large
consulting work for a large multinational company which will remain
multinational company which will remain
multinational company which will remain nameless I charge them five thousand
nameless I charge them five thousand
nameless I charge them five thousand pounds I sent off the invoice 30 days to
pounds I sent off the invoice 30 days to
pounds I sent off the invoice 30 days to be paid I received the money two years
be paid I received the money two years
be paid I received the money two years later for the first six months I didn’t
later for the first six months I didn’t
later for the first six months I didn’t even register that was a problem and
even register that was a problem and
even register that was a problem and then I realized that this was an unpaid
then I realized that this was an unpaid
then I realized that this was an unpaid invoice so I started chasing this
invoice so I started chasing this
invoice so I started chasing this company my wife helped me out she helped
company my wife helped me out she helped
company my wife helped me out she helped me to run the business
me to run the business
me to run the business we called call centers in India in
we called call centers in India in
we called call centers in India in Poland in Scotland various parts the
Poland in Scotland various parts the
Poland in Scotland various parts the accounts payable Department of this
accounts payable Department of this
accounts payable Department of this company London headquarters everybody
company London headquarters everybody
company London headquarters everybody was very polite I’m sorry we haven’t
was very polite I’m sorry we haven’t
was very polite I’m sorry we haven’t paid your invoice nobody questions for a
paid your invoice nobody questions for a
paid your invoice nobody questions for a second that this invoice needed to be
second that this invoice needed to be
second that this invoice needed to be paid they were all completely powerless
paid they were all completely powerless
paid they were all completely powerless to actually do anything about it there
to actually do anything about it there
to actually do anything about it there had been a glitch somehow and the
had been a glitch somehow and the
had been a glitch somehow and the invoice had fallen into her into a bit
invoice had fallen into her into a bit
invoice had fallen into her into a bit of a black hole and no one could
of a black hole and no one could
of a black hole and no one could retrieve it if I’d been doing the work
retrieve it if I’d been doing the work
retrieve it if I’d been doing the work for a small company the chief executive
for a small company the chief executive
for a small company the chief executive could have got out his checkbook in the
could have got out his checkbook in the
could have got out his checkbook in the old days I guess today he would probably
old days I guess today he would probably
old days I guess today he would probably get out his mobile phone and just
get out his mobile phone and just
get out his mobile phone and just transfer the money money immediately but
transfer the money money immediately but
transfer the money money immediately but because it was a big multinational
because it was a big multinational
because it was a big multinational nobody had the authority to actually
nobody had the authority to actually
nobody had the authority to actually make such an action did I get angry at
make such an action did I get angry at
make such an action did I get angry at this state of affairs no I became
this state of affairs no I became
this state of affairs no I became fascinated I became fascinated that this
fascinated I became fascinated that this
fascinated I became fascinated that this huge company with profits in the
huge company with profits in the
huge company with profits in the billions couldn’t pay a 5,000 pound
billions couldn’t pay a 5,000 pound
billions couldn’t pay a 5,000 pound invoice and the question I asked myself
invoice and the question I asked myself
invoice and the question I asked myself was who is accountable for this problem
was who is accountable for this problem
was who is accountable for this problem is it the person I did the original
is it the person I did the original
is it the person I did the original piece of work for he was deeply
piece of work for he was deeply
piece of work for he was deeply embarrassed he was apologetic but of
embarrassed he was apologetic but of
embarrassed he was apologetic but of course he was powerless to do anything
course he was powerless to do anything
course he was powerless to do anything about it and all he could do really was
about it and all he could do really was
about it and all he could do really was just to sort of tell me to speak to
just to sort of tell me to speak to
just to sort of tell me to speak to somebody else
somebody else
somebody else was it the Accounts Payable
was it the Accounts Payable
was it the Accounts Payable Department or process who were
Department or process who were
Department or process who were accountable yes at some level they were
accountable yes at some level they were
accountable yes at some level they were absolutely were that was why we were
absolutely were that was why we were
absolutely were that was why we were calling : in Scotland and India
calling : in Scotland and India
calling : in Scotland and India but we never found out who the
but we never found out who the
but we never found out who the individual who shall we say was
individual who shall we say was
individual who shall we say was responsible for that process what some
responsible for that process what some
responsible for that process what some of the people didn’t know others were
of the people didn’t know others were
of the people didn’t know others were probably deliberately keeping him or her
probably deliberately keeping him or her
probably deliberately keeping him or her out of out of our way as it were
out of out of our way as it were
out of out of our way as it were perhaps it’s the person right at the top
perhaps it’s the person right at the top
perhaps it’s the person right at the top the chief executive that she financial
the chief executive that she financial
the chief executive that she financial officer ultimately everything goes back
officer ultimately everything goes back
officer ultimately everything goes back to that individual but of course that
to that individual but of course that
to that individual but of course that person’s got rather bigger things to
person’s got rather bigger things to
person’s got rather bigger things to worry about than my 5,000 pound invoice
worry about than my 5,000 pound invoice
worry about than my 5,000 pound invoice so as I thought about the problem I
so as I thought about the problem I
so as I thought about the problem I realized that but they were all
realized that but they were all
realized that but they were all accountable but none of them were
accountable but none of them were
accountable but none of them were accountable none of them felt any
accountable none of them felt any
accountable none of them felt any accountability they had out sourced the
accountability they had out sourced the
accountability they had out sourced the problem to me they’d outsource the
problem to me they’d outsource the
problem to me they’d outsource the problem to a third party it wasn’t even
problem to a third party it wasn’t even
problem to a third party it wasn’t even part of that company was the money
part of that company was the money
part of that company was the money eventually made yes it was and the
eventually made yes it was and the
eventually made yes it was and the reason it was paid I’d still to this day
reason it was paid I’d still to this day
reason it was paid I’d still to this day don’t know exactly how it got paid I
don’t know exactly how it got paid I
don’t know exactly how it got paid I think somebody shows it took pity on me
think somebody shows it took pity on me
think somebody shows it took pity on me and found a way of putting in a little
and found a way of putting in a little
and found a way of putting in a little bit of extra effort to find the source
bit of extra effort to find the source
bit of extra effort to find the source of the problem but the reason I tell you
of the problem but the reason I tell you
of the problem but the reason I tell you this story of course is an illustration
this story of course is an illustration
this story of course is an illustration of this massive problem of our time
of this massive problem of our time
of this massive problem of our time which is that we create these huge
which is that we create these huge
which is that we create these huge corporations which are complex they are
corporations which are complex they are
corporations which are complex they are incredibly complex by design and there’s
incredibly complex by design and there’s
incredibly complex by design and there’s nothing wrong with some level of
nothing wrong with some level of
nothing wrong with some level of complexity in the business world but the
complexity in the business world but the
complexity in the business world but the trouble with complexity is it creates a
trouble with complexity is it creates a
trouble with complexity is it creates a deficit of accountability it’s very easy
deficit of accountability it’s very easy
deficit of accountability it’s very easy for people to fall back on formal rules
for people to fall back on formal rules
for people to fall back on formal rules and procedures and not take any
and procedures and not take any
and procedures and not take any responsibility for what happens when you
responsibility for what happens when you
responsibility for what happens when you see these famous examples of corporate
see these famous examples of corporate
see these famous examples of corporate scandals it’s a very different story
scandals it’s a very different story
scandals it’s a very different story than somebody not paying their invoice
than somebody not paying their invoice
than somebody not paying their invoice but in some ways the root causes are
but in some ways the root causes are
but in some ways the root causes are similar because we have big companies
similar because we have big companies
similar because we have big companies like Wells Fargo like Volkswagen like
like Wells Fargo like Volkswagen like
like Wells Fargo like Volkswagen like all the companies during the financial
all the companies during the financial
all the companies during the financial crisis where bad stuff happened because
crisis where bad stuff happened because
crisis where bad stuff happened because people didn’t feel personal
people didn’t feel personal
people didn’t feel personal accountability we blame the chief
accountability we blame the chief
accountability we blame the chief executives and to sunderson that’s
executives and to sunderson that’s
executives and to sunderson that’s rightly so but many of these chief
rightly so but many of these chief
rightly so but many of these chief executives were genuinely oblivious to
executives were genuinely oblivious to
executives were genuinely oblivious to the problems that were happening three
the problems that were happening three
the problems that were happening three or four or five levels below them so
or four or five levels below them so
or four or five levels below them so we’ve got this problem of complexity we
we’ve got this problem of complexity we
we’ve got this problem of complexity we create companies that are too big to
create companies that are too big to
create companies that are too big to fail but at the same time they’re also
fail but at the same time they’re also
fail but at the same time they’re also too complex to manage and for me this is
too complex to manage and for me this is
too complex to manage and for me this is a problem that we need to find a way
a problem that we need to find a way
a problem that we need to find a way addressing so that’s what I’m going to
addressing so that’s what I’m going to
addressing so that’s what I’m going to talk to you about for the next ten
talk to you about for the next ten
talk to you about for the next ten minutes
minutes
minutes the starting point for that
the starting point for that
the starting point for that investigation about how to overcome the
investigation about how to overcome the
investigation about how to overcome the problems of complexity is the following
problems of complexity is the following
problems of complexity is the following should we fight complexity with
should we fight complexity with
should we fight complexity with complexity if we are operating in a
complexity if we are operating in a
complexity if we are operating in a global business well with clients in
global business well with clients in
global business well with clients in multiple countries should we create
multiple countries should we create
multiple countries should we create complex matrix structures to serve their
complex matrix structures to serve their
complex matrix structures to serve their needs at some level that feels like an
needs at some level that feels like an
needs at some level that feels like an attractive way of doing it and there’s a
attractive way of doing it and there’s a
attractive way of doing it and there’s a whole bunch of academic theory that says
whole bunch of academic theory that says
whole bunch of academic theory that says that’s a good thing to do I believe that
that’s a good thing to do I believe that
that’s a good thing to do I believe that that’s the wrong approach because it
that’s the wrong approach because it
that’s the wrong approach because it creates all the problems we’ve been
creates all the problems we’ve been
creates all the problems we’ve been talking about it’s slow it’s inert its
talking about it’s slow it’s inert its
talking about it’s slow it’s inert its demotivating it lacks creativity instead
demotivating it lacks creativity instead
demotivating it lacks creativity instead we should be pushing in exactly the
we should be pushing in exactly the
we should be pushing in exactly the opposite direction we should be fighting
opposite direction we should be fighting
opposite direction we should be fighting complexity with simplicity what do I
complexity with simplicity what do I
complexity with simplicity what do I mean by that I mean we should be
mean by that I mean we should be
mean by that I mean we should be deliberately finding ways of increasing
deliberately finding ways of increasing
deliberately finding ways of increasing the accountability and ownership lower
the accountability and ownership lower
the accountability and ownership lower down our organization simplifying our
down our organization simplifying our
down our organization simplifying our structures in order that people have the
structures in order that people have the
structures in order that people have the discretion to make the right decisions
discretion to make the right decisions
discretion to make the right decisions to pay the five thousand pounds that
to pay the five thousand pounds that
to pay the five thousand pounds that they owe me and to make the right
they owe me and to make the right
they owe me and to make the right judgment calls on issues of a moral or
judgment calls on issues of a moral or
judgment calls on issues of a moral or ethical basis the metaphor I like to use
ethical basis the metaphor I like to use
ethical basis the metaphor I like to use here is one of traffic system design and
here is one of traffic system design and
here is one of traffic system design and many of us have traveled in many parts
many of us have traveled in many parts
many of us have traveled in many parts of the world and we’ve seen different
of the world and we’ve seen different
of the world and we’ve seen different approaches to how to manage the traffic
approaches to how to manage the traffic
approaches to how to manage the traffic systems in the world and the choice
systems in the world and the choice
systems in the world and the choice comes down to essentially on the left
comes down to essentially on the left
comes down to essentially on the left side a complete free-for-all
side a complete free-for-all
side a complete free-for-all when we’ve got too many cars on the road
when we’ve got too many cars on the road
when we’ve got too many cars on the road a free fall leads to complete gridlock
a free fall leads to complete gridlock
a free fall leads to complete gridlock on the old on the right hand side we
on the old on the right hand side we
on the old on the right hand side we have the the traffic cop and around the
have the the traffic cop and around the
have the the traffic cop and around the traffic cop we’ve got the traffic lights
traffic cop we’ve got the traffic lights
traffic cop we’ve got the traffic lights and we’ve got the one-way systems and
and we’ve got the one-way systems and
and we’ve got the one-way systems and we’ve got the markings in the road
we’ve got the markings in the road
we’ve got the markings in the road everything is done to order on the
everything is done to order on the
everything is done to order on the right-hand side we follow the rules and
right-hand side we follow the rules and
right-hand side we follow the rules and we can essentially ignore any sort of
we can essentially ignore any sort of
we can essentially ignore any sort of thoughts about what we should do for
thoughts about what we should do for
thoughts about what we should do for ourselves it turns out in that debate
ourselves it turns out in that debate
ourselves it turns out in that debate and that sort of conversation there have
and that sort of conversation there have
and that sort of conversation there have been some innovations and one that I
been some innovations and one that I
been some innovations and one that I just like to point you point out to you
just like to point you point out to you
just like to point you point out to you is a famous one from Holland a gentleman
is a famous one from Holland a gentleman
is a famous one from Holland a gentleman called hands Mondamin he came up with
called hands Mondamin he came up with
called hands Mondamin he came up with this notion of shared space you could
this notion of shared space you could
this notion of shared space you could see a beautiful example of shared space
see a beautiful example of shared space
see a beautiful example of shared space there where they got rid of the
there where they got rid of the
there where they got rid of the distinction between this
distinction between this
distinction between this the pedestrians and the cars it’s all
the pedestrians and the cars it’s all
the pedestrians and the cars it’s all open space it is a free-for-all indeed
open space it is a free-for-all indeed
open space it is a free-for-all indeed exhibition Road just immediately outside
exhibition Road just immediately outside
exhibition Road just immediately outside this building is another such example of
this building is another such example of
this building is another such example of shared space the shared space model
shared space the shared space model
shared space the shared space model basically says if we take away the
basically says if we take away the
basically says if we take away the structures and we assume a certain level
structures and we assume a certain level
structures and we assume a certain level of smartness and the rule of law in a
of smartness and the rule of law in a
of smartness and the rule of law in a country or in a place we will allow
country or in a place we will allow
country or in a place we will allow everybody to figure out for themselves
everybody to figure out for themselves
everybody to figure out for themselves the right way of getting through this
the right way of getting through this
the right way of getting through this intersection and Hounds malam improve
intersection and Hounds malam improve
intersection and Hounds malam improve that very quickly a set of emergence
that very quickly a set of emergence
that very quickly a set of emergence norms of behavior take place whereby
norms of behavior take place whereby
norms of behavior take place whereby everybody gets through this intersection
everybody gets through this intersection
everybody gets through this intersection quicker than if it’s paved with traffic
quicker than if it’s paved with traffic
quicker than if it’s paved with traffic lights and signals and markings and so
lights and signals and markings and so
lights and signals and markings and so forth so that is the metaphor that I
forth so that is the metaphor that I
forth so that is the metaphor that I think we need to apply to the
think we need to apply to the
think we need to apply to the organizational world we need to start
organizational world we need to start
organizational world we need to start using this shared space concept within
using this shared space concept within
using this shared space concept within our organizations so that leads me to a
our organizations so that leads me to a
our organizations so that leads me to a particular point of view about
particular point of view about
particular point of view about overcoming the costs of complexity
overcoming the costs of complexity
overcoming the costs of complexity through alternative organizing models we
through alternative organizing models we
through alternative organizing models we all understand that bureaucracy would
all understand that bureaucracy would
all understand that bureaucracy would not without its merits as an organizing
not without its merits as an organizing
not without its merits as an organizing method bureaucracy is the source of
method bureaucracy is the source of
method bureaucracy is the source of inertia and slowness and and
inertia and slowness and and
inertia and slowness and and dissemination in the way that work gets
dissemination in the way that work gets
dissemination in the way that work gets done in large companies what is the
done in large companies what is the
done in large companies what is the alternative to block bureaucracy well
alternative to block bureaucracy well
alternative to block bureaucracy well one very popular emerging concept is the
one very popular emerging concept is the
one very popular emerging concept is the notion of meritocracy what is a
notion of meritocracy what is a
notion of meritocracy what is a meritocracy
meritocracy
meritocracy it’s an organizing model where rather
it’s an organizing model where rather
it’s an organizing model where rather than falling back on rules and
than falling back on rules and
than falling back on rules and procedures for doing everything or
procedures for doing everything or
procedures for doing everything or falling back on just listening to our
falling back on just listening to our
falling back on just listening to our boss we are actually privileged
boss we are actually privileged
boss we are actually privileged acknowledge and expertise and judgment
acknowledge and expertise and judgment
acknowledge and expertise and judgment in a meritocracy the smartest people
in a meritocracy the smartest people
in a meritocracy the smartest people actually are the ones that make
actually are the ones that make
actually are the ones that make decisions and we try to make sure that
decisions and we try to make sure that
decisions and we try to make sure that everyone stands what needs to be done
everyone stands what needs to be done
everyone stands what needs to be done through debate and discussion that is
through debate and discussion that is
through debate and discussion that is what a meritocracy does unfortunately
what a meritocracy does unfortunately
what a meritocracy does unfortunately meritocracies can also be a little bit
meritocracies can also be a little bit
meritocracies can also be a little bit slow you think of it in terms of
slow you think of it in terms of
slow you think of it in terms of analysis paralysis we’ve all been in
analysis paralysis we’ve all been in
analysis paralysis we’ve all been in meetings where we decided that we would
meetings where we decided that we would
meetings where we decided that we would try to get to the bottom of things by
try to get to the bottom of things by
try to get to the bottom of things by just having a
just having a
just having a debate around it we tried to build
debate around it we tried to build
debate around it we tried to build consensus I work at London Business
consensus I work at London Business
consensus I work at London Business School when we don’t know what to do in
School when we don’t know what to do in
School when we don’t know what to do in London Business School we form a
London Business School we form a
London Business School we form a committee and after nine months and four
committee and after nine months and four
committee and after nine months and four to five meetings of that committee we’ve
to five meetings of that committee we’ve
to five meetings of that committee we’ve essentially figured out what the problem
essentially figured out what the problem
essentially figured out what the problem was but we’ve actually changed nothing
was but we’ve actually changed nothing
was but we’ve actually changed nothing it’s a very very common scenario in
it’s a very very common scenario in
it’s a very very common scenario in professional service of companies in
professional service of companies in
professional service of companies in universities meritocracy you’re not bad
universities meritocracy you’re not bad
universities meritocracy you’re not bad but it’s not the end of the story so
but it’s not the end of the story so
but it’s not the end of the story so what is next I believe that we should
what is next I believe that we should
what is next I believe that we should give it a name another name I like is
give it a name another name I like is
give it a name another name I like is adhocracy adhocracy privileges action
adhocracy adhocracy privileges action
adhocracy adhocracy privileges action okay in a bureaucracy we’re privileged
okay in a bureaucracy we’re privileged
okay in a bureaucracy we’re privileged in formal position and status in a
in formal position and status in a
in formal position and status in a meritocracy we’re privileged
meritocracy we’re privileged
meritocracy we’re privileged acknowledged adhocracy says that when we
acknowledged adhocracy says that when we
acknowledged adhocracy says that when we don’t know the right way forward the
don’t know the right way forward the
don’t know the right way forward the best thing to do is to actually do
best thing to do is to actually do
best thing to do is to actually do something is to actually take action to
something is to actually take action to
something is to actually take action to experiment to try something out build a
experiment to try something out build a
experiment to try something out build a prototype talk to our customers to
prototype talk to our customers to
prototype talk to our customers to understand what really their needs might
understand what really their needs might
understand what really their needs might be and then going back to my story about
be and then going back to my story about
be and then going back to my story about my unpaid invoice in an ad hoc recei
my unpaid invoice in an ad hoc recei
my unpaid invoice in an ad hoc recei somebody takes responsibility for
somebody takes responsibility for
somebody takes responsibility for helping me to solve that problem that is
helping me to solve that problem that is
helping me to solve that problem that is adhocracy it is not falling back on
adhocracy it is not falling back on
adhocracy it is not falling back on rules now what is ad hoc Racine look
rules now what is ad hoc Racine look
rules now what is ad hoc Racine look like in practice it has many many guises
like in practice it has many many guises
like in practice it has many many guises okay the whole thing purpose of this
okay the whole thing purpose of this
okay the whole thing purpose of this concept is that it is done to be
concept is that it is done to be
concept is that it is done to be designed to be an overarching way of
designed to be an overarching way of
designed to be an overarching way of looking at the world an autocracy a
looking at the world an autocracy a
looking at the world an autocracy a classic example would be the famous
classic example would be the famous
classic example would be the famous Apple Macintosh many of you have heard
Apple Macintosh many of you have heard
Apple Macintosh many of you have heard this story many times before Steve Jobs
this story many times before Steve Jobs
this story many times before Steve Jobs took a bunch of his brightest engineers
took a bunch of his brightest engineers
took a bunch of his brightest engineers he put them in a separate building the
he put them in a separate building the
he put them in a separate building the farther the Apple campus they were
farther the Apple campus they were
farther the Apple campus they were pirates above corporate law their job
pirates above corporate law their job
pirates above corporate law their job was essentially just to create the
was essentially just to create the
was essentially just to create the world’s greatest computer in a
world’s greatest computer in a
world’s greatest computer in a ridiculously short period of time and of
ridiculously short period of time and of
ridiculously short period of time and of course they they succeeded they
course they they succeeded they
course they they succeeded they transformed the way that we think about
transformed the way that we think about
transformed the way that we think about computers today so that’s a classical
computers today so that’s a classical
computers today so that’s a classical example of a special team created to do
example of a special team created to do
example of a special team created to do this a very contemporary example is ING
this a very contemporary example is ING
this a very contemporary example is ING Bank than in the Netherlands ING Bank
Bank than in the Netherlands ING Bank
Bank than in the Netherlands ING Bank has 10,000 employees their central
has 10,000 employees their central
has 10,000 employees their central offices in the Netherlands three and a
offices in the Netherlands three and a
offices in the Netherlands three and a half thousand people they took it upon
half thousand people they took it upon
half thousand people they took it upon themselves to years ago to say as we try
themselves to years ago to say as we try
themselves to years ago to say as we try to
to
to invent ourselves for a digital world for
invent ourselves for a digital world for
invent ourselves for a digital world for an omni-channel operating environment we
an omni-channel operating environment we
an omni-channel operating environment we need to have a completely new way of
need to have a completely new way of
need to have a completely new way of organizing they took three and a half
organizing they took three and a half
organizing they took three and a half thousand people and they broke them down
thousand people and they broke them down
thousand people and they broke them down into ten person agile teams it’s a form
into ten person agile teams it’s a form
into ten person agile teams it’s a form of self-organizing where the teams are
of self-organizing where the teams are
of self-organizing where the teams are the unit of analysis they own their
the unit of analysis they own their
the unit of analysis they own their particular customers their particular
particular customers their particular
particular customers their particular challenges their job is to figure out
challenges their job is to figure out
challenges their job is to figure out how to work there is a structure above
how to work there is a structure above
how to work there is a structure above them to keep them in place
them to keep them in place
them to keep them in place but ultimately those teams are
but ultimately those teams are
but ultimately those teams are completely accountable for their users
completely accountable for their users
completely accountable for their users and their customers and we know that
and their customers and we know that
and their customers and we know that many technology companies have gone down
many technology companies have gone down
many technology companies have gone down this route of creating so called agile
this route of creating so called agile
this route of creating so called agile systems but this is the first time I’ve
systems but this is the first time I’ve
systems but this is the first time I’ve seen a traditional Bank of all things
seen a traditional Bank of all things
seen a traditional Bank of all things reinventing itself in this agile way
reinventing itself in this agile way
reinventing itself in this agile way just for avoidance of doubt the whole
just for avoidance of doubt the whole
just for avoidance of doubt the whole bunch of stuff around compliance and
bunch of stuff around compliance and
bunch of stuff around compliance and legal stuff and regulatory affairs that
legal stuff and regulatory affairs that
legal stuff and regulatory affairs that was left in a traditional structure that
was left in a traditional structure that
was left in a traditional structure that was left as if bureaucracy they took the
was left as if bureaucracy they took the
was left as if bureaucracy they took the rest of the organization that’s the bit
rest of the organization that’s the bit
rest of the organization that’s the bit that became the adhocracy so that is my
that became the adhocracy so that is my
that became the adhocracy so that is my key message is that increasingly in
key message is that increasingly in
key message is that increasingly in today’s fast-paced business world we run
today’s fast-paced business world we run
today’s fast-paced business world we run the risk of getting stuck in analysis
the risk of getting stuck in analysis
the risk of getting stuck in analysis paralysis because almost in love with
paralysis because almost in love with
paralysis because almost in love with this sort of flow of information that’s
this sort of flow of information that’s
this sort of flow of information that’s washing over us for me the companies
washing over us for me the companies
washing over us for me the companies that succeed in the future of course
that succeed in the future of course
that succeed in the future of course they will do analysis they will use
they will do analysis they will use
they will do analysis they will use analytics they will use big data but
analytics they will use big data but
analytics they will use big data but what they will do more than anything
what they will do more than anything
what they will do more than anything else is they will put a premium on
else is they will put a premium on
else is they will put a premium on decisive action that is the arrow point
decisive action that is the arrow point
decisive action that is the arrow point here and it will be infused with what I
here and it will be infused with what I
here and it will be infused with what I call emotional conviction they will not
call emotional conviction they will not
call emotional conviction they will not be afraid of falling into a discussion
be afraid of falling into a discussion
be afraid of falling into a discussion around intuition and gut feeling an
around intuition and gut feeling an
around intuition and gut feeling an emotional belief wrapped around an
emotional belief wrapped around an
emotional belief wrapped around an understanding of the hard data so we
understanding of the hard data so we
understanding of the hard data so we need formal structuring companies we
need formal structuring companies we
need formal structuring companies we need knowledge but action and adhocracy
need knowledge but action and adhocracy
need knowledge but action and adhocracy must be the sort of decisive part of the
must be the sort of decisive part of the
must be the sort of decisive part of the story now my final few minutes let me
story now my final few minutes let me
story now my final few minutes let me just acknowledge the challenges of doing
just acknowledge the challenges of doing
just acknowledge the challenges of doing this for us as individuals what does
this for us as individuals what does
this for us as individuals what does this mean for us as individuals working
this mean for us as individuals working
this mean for us as individuals working in these large companies adhocracy is a
in these large companies adhocracy is a
in these large companies adhocracy is a certain set of behaviours by the
certain set of behaviours by the
certain set of behaviours by the initiative taking is about
initiative taking is about
initiative taking is about experimentation and collaboration
experimentation and collaboration
experimentation and collaboration these are skills that many of us have
these are skills that many of us have
these are skills that many of us have this is the world of entrepreneurship
this is the world of entrepreneurship
this is the world of entrepreneurship and enterprise and of course it’s a
and enterprise and of course it’s a
and enterprise and of course it’s a slightly challenging set of skills and
slightly challenging set of skills and
slightly challenging set of skills and behaviors to coexist within a large
behaviors to coexist within a large
behaviors to coexist within a large company we all know about people like
company we all know about people like
company we all know about people like Elon Musk these days these unreasonable
Elon Musk these days these unreasonable
Elon Musk these days these unreasonable people who actually have a point of view
people who actually have a point of view
people who actually have a point of view which does not couldn’t go inside neatly
which does not couldn’t go inside neatly
which does not couldn’t go inside neatly with the way that everybody thinks we
with the way that everybody thinks we
with the way that everybody thinks we need to find a place for the Elon Musk’s
need to find a place for the Elon Musk’s
need to find a place for the Elon Musk’s of this world to find a home for
of this world to find a home for
of this world to find a home for themselves within our companies in order
themselves within our companies in order
themselves within our companies in order for this adhocracy notion to actually
for this adhocracy notion to actually
for this adhocracy notion to actually take off and that’s difficult because
take off and that’s difficult because
take off and that’s difficult because these people are subversive they are
these people are subversive they are
these people are subversive they are Mavericks they have to be allowed to
Mavericks they have to be allowed to
Mavericks they have to be allowed to fail as often as they succeed and as
fail as often as they succeed and as
fail as often as they succeed and as leaders of such people our job
leaders of such people our job
leaders of such people our job absolutely
absolutely
absolutely is to find ways of nurturing them so
is to find ways of nurturing them so
is to find ways of nurturing them so what we actually need it turns out for
what we actually need it turns out for
what we actually need it turns out for this new adhocracy like model to work is
this new adhocracy like model to work is
this new adhocracy like model to work is we actually need ambidextrous leaders
we actually need ambidextrous leaders
we actually need ambidextrous leaders will lead leaders who are on the one
will lead leaders who are on the one
will lead leaders who are on the one hand extremely good at empowering people
hand extremely good at empowering people
hand extremely good at empowering people getting others to take responsibility to
getting others to take responsibility to
getting others to take responsibility to trust the gut feeling of the people who
trust the gut feeling of the people who
trust the gut feeling of the people who are working for us providing support and
are working for us providing support and
are working for us providing support and assistance giving them what we often
assistance giving them what we often
assistance giving them what we often call psychological safety but at the
call psychological safety but at the
call psychological safety but at the same time as such leaders we have to be
same time as such leaders we have to be
same time as such leaders we have to be prepared occasionally to step in and act
prepared occasionally to step in and act
prepared occasionally to step in and act decisively ourselves Jeff Bezos of
decisively ourselves Jeff Bezos of
decisively ourselves Jeff Bezos of Amazon of course is a very famous
Amazon of course is a very famous
Amazon of course is a very famous example of somebody who doesn’t just
example of somebody who doesn’t just
example of somebody who doesn’t just leave things to his team neither does he
leave things to his team neither does he
leave things to his team neither does he only acts on the data he’s often making
only acts on the data he’s often making
only acts on the data he’s often making these sort of gut-wrenching decisions
these sort of gut-wrenching decisions
these sort of gut-wrenching decisions about taking Amazon in a new direction
about taking Amazon in a new direction
about taking Amazon in a new direction so to succeed in this very fast-paced
so to succeed in this very fast-paced
so to succeed in this very fast-paced world the leaders of the future have to
world the leaders of the future have to
world the leaders of the future have to be able to do these two different things
be able to do these two different things
be able to do these two different things equally well so to summarize the
equally well so to summarize the
equally well so to summarize the classical bureaucracy this multinational
classical bureaucracy this multinational
classical bureaucracy this multinational company that I mentioned at the start
company that I mentioned at the start
company that I mentioned at the start it’s there’s a place for bureaucracies
it’s there’s a place for bureaucracies
it’s there’s a place for bureaucracies there’s absolutely a place for these
there’s absolutely a place for these
there’s absolutely a place for these things to happen but there is a risk
things to happen but there is a risk
things to happen but there is a risk that they become very very slow and
that they become very very slow and
that they become very very slow and inert and they make our lives difficult
inert and they make our lives difficult
inert and they make our lives difficult and they are unable to do even ordinary
and they are unable to do even ordinary
and they are unable to do even ordinary things well the meritocracy has a place
things well the meritocracy has a place
things well the meritocracy has a place there are many knowledge intensive
there are many knowledge intensive
there are many knowledge intensive openes out there that actually require
openes out there that actually require
openes out there that actually require the sort of debate in deliberation that
the sort of debate in deliberation that
the sort of debate in deliberation that is necessary for success but
is necessary for success but
is necessary for success but increasingly I believe we need to start
increasingly I believe we need to start
increasingly I believe we need to start thinking in terms of infusing our
thinking in terms of infusing our
thinking in terms of infusing our organisations with a great deal more of
organisations with a great deal more of
organisations with a great deal more of an action mindset and adhocracy as I
an action mindset and adhocracy as I
an action mindset and adhocracy as I call it which is about flexibility and
call it which is about flexibility and
call it which is about flexibility and decisiveness where people feel that they
decisiveness where people feel that they
decisiveness where people feel that they have the freedom the discretion to take
have the freedom the discretion to take
have the freedom the discretion to take judgments based on their own personal
judgments based on their own personal
judgments based on their own personal accountability for me the firm’s that
accountability for me the firm’s that
accountability for me the firm’s that succeed in the future will have overcome
succeed in the future will have overcome
succeed in the future will have overcome these costs of complexity by essentially
these costs of complexity by essentially
these costs of complexity by essentially building organic self-organizing systems
building organic self-organizing systems
building organic self-organizing systems where that sort of initiative and
where that sort of initiative and
where that sort of initiative and entrepreneurship is encouraged thank you
entrepreneurship is encouraged thank you
entrepreneurship is encouraged thank you [Applause]
[Applause]
[Applause] [Music]
[Music]
[Music] [Applause]
”
Be First to Comment