The cruelty of the so called flat organization

Flat organizations have a very cruel dynamic which I will highlight in this post.

A flat organization is way of organizing which has no hierarchy or very few layers of hierarchy. Supposedly, these organizations are superior  places to work, giving more room for creativity, abstaining from forcing decisions and  less infighting and bureaucracy.

I have worked for 8 flat organizations. Two are listed on Wall Street and are technology powerhouses. Three are industrial/agricultural collectives in Israel, and three were start ups.

Here are a few shared dynamics between all 8 organizations.

  1. There was a huge gap between what the way that they operated, and the way they claimed that they operated.
  2. There was a power elite in all these organizations, whether or not the people held office or not.
  3. There was massive social pressure to conform.
  4. The culture of these organizations was viewed as a ritual, ie, one must behave according to the rules in the spirit of a blind leap of faith.
  5. There was a lot of apparent buy-in to decisions.
  6. A language developed to hint at disagreement without actually saying it. Eg, the goal is really tough, yet if we all hunker down, it may be possible.
  7. There was a lot of cynicism about organizational life.
  8. Decision making was a nightmare.

Organizations need hierarchies to coordinate, make decisions, allocate resources and manage the inevitable kindergarten that exists in all organizations. And often, there is a dirty diaper to change. Lack of hierarchy causes extreme dysfunction and massive anxiety, so a de facto hierarchy is re-construed under the “non-hierarchy”.

The challenge of good organizing is about making more effective hierarchies, not via taking away the very scaffolding which provides sanity against extreme anxiety, albeit many many negative side effects.

 

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Coping with the Critical Flaw of a Senior Manager

Meet three of my clients from the past: a Quebecois, an American and an Israeli. Jacques, Marshall and Zeev are three outstanding executives whose organizations have constantly  over-performed for the last decade. Each manager has a critical flaw in his style.

Jacques sells all the time. When he should be consulting with his management team, he sells them his ideas. When he should be telling them what to do, he sells to sell them his ideas.

Zeev lacks emotional intelligence. Severely! Despite outstanding cognitive capabilities and strategic depth, he fails to factor people into his decisions.

Marshall commits his organization to impossible goals out of an almost fanatical religious belief in aggressive over-commitment. His teams constantly over achieve yet few executives (none) can stay with Marshall for more than one year due to mental and physical exhaustion.

Over my long career, I have worked with outstanding managers like these three on their critical (and near fatal) flaws. In this post, I want to share what I have learnt in the hope that can help someone.

  • Many of these flaws are like chronic pain. They are here to stay. There are good times and bad times, but the flaw is best recognized as permanent. By doing so, appropriate expectations can be set.
  • Taking the bull by its horns (“stop selling to me Jacques”) is rarely effective. Damage control strategies appear to be more effective. (What happens if your people don’t buy in, Jacques?)
  • Working around the flaw has proven itself in many cases. (Zeev should empower his HR partner to provide input and guidance for to augment his poor instincts).
  • Paradoxical interventions are very effective. For those who are not acquainted here is a link. Paradoxical intervention should not be practised without appropriate training. (Marshall, why not have your staff work on New Year’s eve? Just give them the appropriate carrot).

And the consultant must remember that he or she is not a brain surgeon. Dealing with critical flaws is a slow uphill crawl. It’s not about your own competence; don’t push to be overly effective otherwise you will lose your clients’ trust.

 

 

 

 

 

 

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Strange fetishes of organizations

A recent visit to the Museum of Sex in Amsterdam enlightened me about various strange sexual fetishes. I grew up in the sixties in an era when, let’s put it this way…I assumed that there was very little I did not know. I was wrong.

So I got to thinking, is there such thing as a fetish in organizational behaviour? If we describe fetish as obsessive interest, the answer is a resounding yes. So in this post, I want to provide three examples of rampant organizational fetishes that I have seen, and I believe that my readers can see, all around them

  1. The fetish of defining away complexity. Given the complexity of reality, overlapping responsibility is often necessary, creating the need for people to communicate and decide together in the areas of disagreement where overlap occurs. Instead of focusing on addressing this need, organizations prefer to focus on over-definition of roles, responsibilities and process clarity. Thus, our first fetish.
  2. The fetish of overdosing on gender diversity. Oh yes, I may be in trouble for this. However, there are roles where professional competency trumps gender as a selection criteria. When a hospital wants to recruit 6 brain surgeons, three of them of each gender, this makes no sense at all. As a patient at least heaven forbid, I would prefer their recruiting six top surgeons, in the unlucky scenario that I would need their services.
  3. The fetish of engagement. Most management (except perhaps on social media) is about getting as much as possible for as little as possible over an optimized period of time. In a bad market place, employers exploit employees, and in a fast growing market with skill shortages, employees squeeze and extort their employers. It’s a market dynamic for the most part and since 2008, it is a blood bath for employees. Engagement is a sedative aiming at dulling the true nature of the relationship. The goal of engagement is more for less, regardless how the pig is perfumed. Most people know this, but the fetish is rampant.
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Remembering Hyman Bernard

There is no one else alive who remembers Hyman Bernard, or more accurately, Hyman Ber Schwartz. And I ain’t so young either, and although I have not begun to pack my bags, I feel this is a good time to share what I remember. For those readers who like small short stories with happy endings, this is the time to stop.

Papa Hymie (my grandfather) was the youngest of three children. His brother , Uncle Jack, and his sister, Auntie Ida, lived in the British Mandate of Palestine in Raanana, which they founded. Hymie, born in Hamilton Ontario where his father was a ritual slaughterer, never joined Jack and Ida in Palestine. As a matter of fact, my grandfather was not involved in Judaism or Zionism. (Nor was my father, who was a total atheist).

My grandfather was very much like a character from John Steinbeck’s Grapes of Wrath-dirt poor, uneducated, a bit crass. He smoked like a chimney and swore like a trooper. My Dad Phil used to sing me ditties that “I learned from Papa Hymie”.

In the great recession, my grandfather had no money and no food. He left Montreal for a few years to work in the States, so he could send money to my grandmother (Sadie) and my Dad, an only child. My grandfather came back  after the recession as a broken man. In the period when Papa was in the States, my father and grandmother lived with 12 other very poor people in one room, sharing a toilet at the end of the hall for the entire floor. Papa felt guilty and useless for no fault of his own.

When I was born, Papa Hymie used to pick me up and walk me in the stroller on rue Draper. I was told that this was the only thing that made him happy, except smoking.

He worked as a menial clerk in a storeroom at Reitmans, a job he obtained through family connections. Papa got cancer when I was very young and they amputated his leg. I was not told about this, but when I came to visit him at the Jewish General or the Royal Vic (I don’t remember), I noticed that there was only one leg under the blanket, and I was sitting where the other leg should have been.

Papa came home from the hospital, coughed all the time; he was in severe pain. His bother Jack came to visit him from Israel in the late 1950s; those were happy moments.

                                              Papa and Uncle Jack (on right) 1956

I have learnt that Papa had sent Jack and Ida blankets and food, in 1956, due to severe shortages in the emerging State of Israel.

I was visiting my grandparents one day on 5350 Victoria (corner of Isabella) when Papa could not take the pain any more. I remember him being carried away on a stretcher, and then learning about death for the first time.

For many years, I resented being asked to “bring me my leg”, but not any more. I named my son after him, Amir Haim. And I myself often pardon myself for being gruff and very down to earth, because it runs in the family.

And I do wish I could have known Papa a bit more.

My son- some similarity?

 

 

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The exaggerated importance of people skills

I am no stranger to the domain of “people skills”, having made a good living working in this area all my working life, as well as in my military career.

Every so often, there are hurricane-like winds exalting the importance of people skills. At times, it seems to me that people skills are as important as oxygen or clean water. But they are not.

I want to point out the contexts in which people skills are not all that important to success.

  1. In a shitty job market, the importance of people skills take a beating, because management thinks you should kiss their ass simply for having a job.
  2. When someone has extremely good and rare skill set, it is not all that important  for that person to have people skills.
  3. In cultures which foster subservience and deference, people skills are a nice to have, but things get done anyway.
  4. I do believe that feigned interest in people is far more important than authentic people skills for senior executives. My experience is that very senior managers often have reached the top because they put task before people, set impossible deadlines which stress people beyond belief, and ignore the squawking from below the deck. I belief that people skills often (not always) hinder people from getting to the top.

So are people skills important?  Sometimes yes. But not all of the time. If these skills were all that essential, the marketing of our skills would not be a hellish nightmare.

This having been said, there are specific areas where people skills are absolutely critical, as was pointed out to me by my friend GK in personal correspondence.

“Smaller companies and companies in trouble are usually in a very weak situation with employees, investors, board members, and customers. In these situations, which is a huge percentage of actual situations faced, people skills are critical because the relationships are often all that is between a customer or employee leaving, or a board member going hostile. Of course, stellar results always trump everything, but that is not always under the manager’s or CEO’s control.” (emphasis mine AS)

“In big companies results matter, of course. However, what actually matters more is the perception of results, rather than the results. In a big company, managing P&L and spinning information takes a huge portion of senior manager’s time. The critical people that need to be influenced for this to be successful are not always in the direct line of the hierarchy. They are often finance people, other staff people etc. They will support those they like more than those they hate. Of course, they may support those they fear even more (see Machiavelli), but that may be more short term.” (emphasis mine AS)

To wrap things up, if consultants know how to properly position when and where people skills are important, and avoid preaching people skills as a religious doctrine, marketing the abstraction of soft skills may become easier.

 

 

 

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I’m old enough to remember

Miss Montreal

  1. In grammar school, we needed to stand when the teacher entered the room, and wish her good morning in harmony. “Good morning Miss Scott”. Then our nails and collars were examined.
  2. In grade 3, we were given a nib pen with a bottle of ink, an extra nib and blotting paper.
  3. Spelling correctly was really important. So was handwriting. I even remember being castigated by a British teacher (Mr Blackwell)  that my handwriting was like “a fly out of an inkwell”.
  4. Maurice Duplessis  was premier and would probably never die.
  5. Bad behaviour at school was punished with the strap. 5 were administered for reading girly magazines.
  6. We read the defunct Montreal Star. Pat Pierce, the TV critic, had a patch over her eye.
  7. There was an Alouette truck selling cakes all summer. long You hailed the truck and it pulled over to the side. I loved the chocolate cake with vanilla cream inside. 15 cents.
  8. We all were forced to learn Latin because “it teaches you to think”.
  9. We needed to submit a weekly book report, every single week, all through school. Thankfully, Ms Williamson, the librarian with the memory of an elephant,  had great recommendations.
  10. You arrived at an airport 20 minutes before the flight.  TCA served great food on very short halls.
  11. Bus drivers called out the name of stops in English and French. St James Street-rue St Jacques. Rue de la Montagne, Mountain Street. Terminus, tout le monde descende svp- Last station everyone get out please.
  12. Sometimes we were waved through the Canada US border because the guards on either side did not want to work outside in the cold.
  13. Garland terminus was still in use.
  14. Women could not wear short pants in public because it was illegal in Quebec.
  15. Sex lessons consisted of Mr  Paul Hecht showing us two skeletons and explaining that, 9 months after copulation, a child is born.

Garland Terminus

TCA

 

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A glimmer of hope

On Friday morning, I woke up, walked my dear dog George, ate breakfast, and headed to the beach-a mere  17 minute drive. It was so hot that my car had just started to be comfortable only as I approached the parking attendant, where I was milked 20 shekel (about $7) for parking.

At the beach kiosk, I stocked up on Zero, cold water and an ice coffee, then headed 50 meters to the seashore where a Hebrew speaking Sudanese illegal milked me for another 20 shekel for an umbrella and a chair. I set up shop and started reading my book, Steinbeck`s Grapes of Wrath.

On the right next to me was a large Palestinian family from  Bethlehem!  On my left was a British granny and her family on holiday. The family included the grandmother, a grandchild and his Israeli wife and three Israeli grandchildren. Behind me there was a football game. The players were bellowing to one another in English, Hebrew, some African language, Russian and Arabic.

The sea was calm but there were many people in the water and the lifeguards had their hands full with kids getting lost, people swimming beyond limits and other sundry affairs. The lifeguard used 3 languages, French, Hebrew and Arabic. They were very polite, addressing people with appropriate honorifics.

Granddad with blue hat, move right; Ms Yellow Bathing Suit, hold onto your child with two hands; Uncle, move south`

And the ice cream salesman: Lemon icy prevents pregnancy. Ilana Ilana, buy a cold ice-banana; I am leaving town-buy now or never.

I never lose an opportunity to practice my Arabic, so I wished the people next to me a happy holiday. They offered me some nuts. They also offered the British granny and her family some nuts. The British granny turned out to be Iraqi born, and soon a lively conversation was going on in three languages.

And I felt a surge of joy.

This is what life can look like without leaders. The beach, the water, the nuts, the trilingual dialogue, the football game, the polite lifeguards, the peace of mind that yes, things can be very good.

And if the context is appropriate, there can be more than just cold peace. A rare moment of pure optimism.

 

 

 

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Beware of the ideology of consensus-based decision making

Liz now works as a  senior  sales manager in a company that makes decisions via consensus building, or buy-in. Liz has been with the company for 9 months.

The common practice is to consult all those impacted by a decision for input in order to build full apriori support for the decision and ease its implementation.

The company’s culture frowns on managers and decisions made without buy in. Decision making  takes a while, but it is very rare that people blame one another for poor decisions, because before the decision, everyone has agreed.

Liz ‘s boss wants to take away three of her 3 dedicated presales people in order to transfer them to a new “brand enhancement” group, Liz is dead set against this move and has not budged towards agreement  despite all of her boss’s attempts to get her buy in.

Liz has been very flustered due to the mounting pressure on her to conform to the proposed change; Liz went out to lunch today with Allon, a veteran member of the Israel based team currently spending a month in company HQ, where Liz works.

Over lunch, Allon told Liz that “buy-in” is not the company culture; it is the company’s institutionalized ideology; it’s almost a religion. As in institutionalized religions  there are ceremonies to enforce practices, high priests aka HR who force feed/preach, and tons of deviant behaviour by staff  who don’t want the religion “shoved down their throat”.

Allon told Liz that the most common way to deal with this forced buy-in is “feigned buy-in”.

Liz, who is very straight-forward almost to a fault told Allon that she does not want to feign buy-in and subsequently  lose the three people who run her successful presales effort,

“You don’t need to lose the people, Liz. First you need to feign agreement, Then, ask for “phased implementation”, perhaps one transfer ever six months. And, in the meantime, just re-recruit the resources you need, give them a new title, and keep them focused on presales activity as always”.

Liz asked Allon why the company puts up with this nonsense.

Most organizational ideologies which look like religion as opposed to culture, want things to look good. Under the table, lots of deviance is tolerated to keep up the appearance. “Don’t forget Liz, buy-in here is an orthodox unchallenged religious premise”.

“Ah”, said Liz, ” It’s not a true belief, because true belief doesn’t look like this”.

Both Liz and Allon had learned.

And finally lessons learned-

The use of consensus-based decision making should be contingency based. There are decisions which need to be taken top down.And feigned buy-in is the child of overdosing on the religion/ideology of consensus-based decision making.

Authority, even arbitrary authority, is needed in some cases.

If you ask the author of this blog, authority is often very arbitrary. And some people even prefer it that way.

 

 

 

 

 

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How do organizations function without trust

Trust is a great enabler and meaningful success factor in organizations. But many organizations have low levels of trust, yet perform well or beyond expectations in some cases, at least for the short run.

The goal of this post is to point out how organizations compensate for lack of trust.

  1. Escalation. In lieu of the capability of solving issues between people or functions, things get escalated up to a more senior level. Often, this escalation is done by emails to a large list of people. Eventually, a senior manager puts people out of their misery and makes a call.
  2. Feigned trust. Like  some of the orgasms some of the time, trust can faked. It is often faked by apparent agreement, nicey nicey fuzzy statements and decisions which are ambiguous, like, “we need to address this issue at a higher level some time by the end of the quarter”.
  3. Blaming. Rabid blaming can replace trust, and often does. The root cause of any given issue is not dealt with, so someone or some function gets hanged. For example in software, when release dates between development and marketing are not agreed upon, release managers get fired. Furthermore, this often happens between governments and their  military. The government can claim military incompetency while the army can claim that the “goals of the mission were unclear”. A perusal of most Israeli newspapers will provide ample examples.
  4. Brute force. Coercion and fear can get jobs done. It is not popular to say so, but it’s very very common. Good? NO. Frequent, heavens yes.

So go for building trust yet realize that if it ain’t going to work, there are bypasses which are not wow wow, but they are usable. If this is the case, focus on damage control.

 

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What we do not see in organizations, nevertheless exists

The medical profession are experts in dismissing patients because they cannot see diagnose things which tests don’t pick up on.

Those of us who suffer from back pain have all heard from doctors that “I cannot see anything wrong”. I have a friend who suffers from very sharp pains in her small fingers which drive her to distraction; she has been assured by her MD that she “need not worry because there’s nothing wrong”.

In this post, I want to caution organization consultants about things we may not see when we diagnose an organization which causes us to misdiagnose or miss the point altogether.

Here are a few things I missed because of things I could not see.

  1. Illicit sexual relations between employees. Many years after I had worked with a chef and F&B manager who quarrelled endlessly for no apparent reason, I learnt that  lovers quarrels  were the cause of what I was observing.
  2. Spouse involvement. I worked with a very senior scientist who earned a huge salary. Suddenly he wanted a title that no one in the organization possessed, as well as a BMW. He negotiated himself into a corner and quit upon his requests being turned down. Years later, when we met at a gas station restaurant on the Tel Aviv to Haifa highway, he told me that his wife had been instrumental in his demands because “she thought they were taking advantage of me”.
  3. Mental Illness of a single individual.  Depression is often masked.   Masked depression can manifest itself as excessive conflict between teams due to one depressed individual,  lack of/excessive motivation and  substandard communication.
  4. A horrendous secret. I worked with a company whose product did not work. It was due to “go live” with another year of investment but the three founding scientists (an Indian, Israeli and American) knew that it would not work. The seemingly endless meaningless friction between them was all about how blame would be allocated. This I learnt only after the company disintegrated.

Years of experience have taught me that I don’t know what I don’t know, but I always assume that I don’t have a complete understanding, ever

And the morale of the story is: read Sherlock Holmes, and never strive to understand everything. Because if you try to get everything right, you “explain things away”.

 

 

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