Reading a recent blog I was struck by the confidence and clarity that Gary Hamel seemed to be identifying a critical flaw in the DNA of popular business management. He cites a recent survey that found “only 20% of employees are truly engaged in their work — heart and soul”. While the respondents laid much of the blame for their lassitude on uncommunicative and egocentric managers, the question he posed is “if there’s not some deeper organizational reality that bleeds the vitality and enthusiasm out of people at work.”
The blog provides some thought provoking observations about the (lack of) humanity of our business world.
Why is there a hole in the soul of business? Before answering the question its useful to first consider the metaphysical characteristics that a business requires. For a listed company it appears to be very simple. The stock market ensures the dominant corporate purpose remains focused on growth and protection of shareholder value. Customers, suppliers, workers, technology and capital are all engaged and employed to achieve that over arching goal. Management skills are used to apply the resources and navigate the environment so as to realise greater shareholder value. The personally inspiring leadership and “big hairy audacious goals” are only kept in place while they generate greater EPS. In some companies founding owners may have an opportunity to redefine corporate purpose and deflect the market’s myopic obsession with quarterly earnings expectations. But for the most part it appears companies have a very small soul that has already been sold to the bulls and the bears. That means (using Hamel's own delightful analogy about corporate innovation) inspiring a soul in a business may be just like teaching a dog to walk on its hind legs; it’s a great party trick but in reality its NOT really part of the corporate DNA.
So is there a different business-beast (perhaps a “net-enterprise” model) that actually does have biped DNA? If there is, I think it’s probably web based, with a collaborative business model permitting small partnerships to form and reform, using open-innovation, online manufacturing or cloud computing, open source business tools and web sales channels. This “net-enterprise” model assumes that the opportunity to build and sustain a successful vocation provides individuals with the self-actualisation necessary for meaning, purpose and a soul in their work. And it appears the “net-enterprise” model is already thriving. It can be found in many forms that range from individual entrepreneurs, to the supply chain of multinational aggregators (like Dell).
So when would we hit that evolutionary tipping point and see the fall of four legged fossils and the rise of two legged humanity? Many nations are already encouraging the change with national high speed broadband network infrastructure building out their “knowledge economy”. But what could I do to accelerate the move to more humanity in business? Evangelise the practice of open innovation, promote the success of those leading gazelles and help drive management evolution.
I’m interested in feedback and views to help achieve better product development. Please contact me to share your views and thoughts.
