My working life has been spent with organisations, in one way or another. (And of course my life before that: schools and universities are organisations too…) I love exploring the way organisations work – what makes them tick. That is why, believe it or not, I loved auditing: auditors dig into organisations, discovering the real processes and structures that enable to them to function. (Clue: it isn’t what managers tell you. And it doesn’t have anything to do with shareholders!)
When talking about organisations – something I do often – I repeatedly find myself describing them as dysfunctional. I don’t think that I have come across or worked in an organisation that couldn’t work better in one way or another, from multinational banks to small, two-man operations. I have long wondered why this is. It isn’t that people in the organisation don’t know this: one thing consultants learn very quickly is that what they tell their clients is very rarely news: organisations know what’s wrong, even if they need someone from outside to help them articulate it.
Their processes could be better, their communications could (almost always) be improved, their structures changed to help the business. Hierarchy and structures get in the way rather than enable, and people in organisations know the work arounds – big and small – to get things done.
(A caveat: “could be better” is a value statement: the corollary has to be “better for whom?” Customers? Employees? Managers? Owners? The wider population? The environment? These groups may not be exclusive, but better for one may very well not be better for all.)
Organisations could be – well, better organised. They are dysfunctional.
I have only one answer. Organisations are made up of people, not processes; people make the organisation work. And people are dysfunctional.
Despite the idea that organisations are separate from people, it is people that are the organisation. We pretend they aren’t. We even pretend that organisations are people!
The thing is that whilst some organisations behave as if they were psychotic, most large organisations’ dysfunctionality works in peculiarly non-human ways. (Small organisations’ dysfunctionality is just like the people behind the organisation!) The veil of incorporation lets everyone in an organisation hide behind the processes, hierarchy and bureaucracy that lets the organisation continue to believe they are “rational”.
Liam Barrington-Bush started a campaign to counter this and humanise organisations, “#morelikepeople“, and he’s developed some of his ideas into a book, “Anarchists in the Boardroom“. (I should declare an interest: I’ve known Liam for quite a while, we’ve discussed his ideas many times, I was involved in focus groups around his book, and I read early drafts of a couple of chapters; he and I agree on much, and probably disagree on more!)
Liam’s focus is on not-for-profits and social enterprises, but I think his ideas are relevant to all organisations. Broadly, Liam reckons (amongst other things) that new media – particularly social media – can act as a counter to the rigid hierarchies and management processes that twentieth century industrialisation created. This is a topic has interested me for a long while – Benjamin Ellis covered it particularly well in a one day conference at Cass Business School three years ago.
Using collaborative tools to develop self-organising structures and flatter structures would clearly have an impact on the nature of work and business; if large organisations were able to embrace them, they might become flexible and responsive.
More likely, I feel, is that small organisations – already more flexible than large, and often unencumbered by rigid structures and processes – that are likely to adapt faster to social media, perhaps becoming more openly networked rather than hierachical.
(Liam is using crowd sourcing to publish his book – itself an interesting example of the changing nature of business in a new, social and collaborative world; he is still looking for supporters.)