Discipline makes Daring possible.

The trough of inefficiency

The trough of inefficiency

It’s a well-known phenomenon.   As a one-person or few-person business grows and adds more people it becomes less and less efficient.    As more people are added and roles are specialised, overheads are added too – of communication, coordination and support, and eventually management.

The result is that a business spends time in what Seth Godin calls The trough of inefficiency.  Perhaps even getting stuck there forever.

It doesn’t have to be this way.

When you started your business, you were its CEO – Chief Everything Officer.   You did everything, gradually shaping a unique end-to-end process for making and keeping promises to the people you serve.  A process that works.

We fall into the trough of inefficiency because we think of our businesses as pin-factories – a set of tiny, repetitive operations chained together, managed by someone who can see the bigger picture, who has the whole process in their head.

Why not simply replicate the Chief Everything Officer instead?

If you can do it, so can someone else.  Especially if you tell them what you do.

Tell them your Promise, Tell them what you do to make it, and what you do to keep it.   Write it down like music in a Customer Experience Score so that they can run the whole thing themselves, even when you’re not in the room.

If everyone’s a Chief Everything Officer, you only need meetings for business-changing decisions, not the day-to-day.

If everyone’s a Chief Everything Officer, you don’t depend on specialists.  When everyone knows everything that needs doing, they can support each other.

If everyone’s a Chief Everything Officer, You don’t need managers.  People co-ordinate themselves, managing their own Customer Experiences.

Even better, further growth is simple.  For more impact, add more Chief Everything Officers.

A Customer Experience Score can your ladder out of the trough of inefficiency.

It works just as well as a bridge to stop you falling in in the first place.

Smarter than we thought

Smarter than we thought

It’s long been assumed that people find it harder to compare between high-value options than between low-value ones.  To put it concretely, we’re supposed to find it harder to compare a £350,000 house and a £355,000 house, than to compare a £90,000 house and a £95,000 one.

The idea is that although the size of the difference in value might be the same in both cases, as the proportion of the difference shrinks, comparison becomes harder.

It turns out this assumption is wrong.  In a recent study, researchers found that not only are we more accurate in our selections, when more value is at stake, we can also be fast.  And when we are given context – in other words, we know there’s a lot at stake – we consciously slow down to make our decision better.

This has some implications for pricing.   You can’t take a ‘nobody will notice the extra £xxx’ attitude.  People will expect to see higher value for a higher price, and they can tell the difference.

Perhaps more interesting are the implications for delegation.  We’re smarter than we thought.

You can trust your people with bigger decisions than you might have assumed.  Especially if you give them the context to make them in.

Democracy

Democracy

For the ancient Athenians, elections were profoundly unsatisfactory.  The idea of devolving responsibility for running Athenian life to a few people simply because they could afford to do it full time was, for them, disturbing, and likely to lead to demagoguery, factionalism, and ultimately tyranny.

So for most public offices their preferred method of selection was sortition – a random selection from a pool of eligible citizens, much like our modern jury service.  Posts were held temporarily and short term, so that during his life a free Athenian could expect to serve many times in several different capacities, part of a group of people performing the same office.

Of course to our eyes, the system was far from perfect.  Only free men were in the pool of eligibility, but within that pool, it didn’t matter who you were; what you did, how well you were educated, or how much you owned.  If you were a free Athenian man, you could be picked and you took your turn at making Athens run smoothly.

And it meant that every free Athenian man had to be able to carry out these duties if called upon.  They had to learn how things worked, as part of their education, and by participating as observers as well as actors.

It took a lot of effort to run things this way (effort freed up by slaves), but it seems to have been effective at making a life well lived (eudaimonia) possible for everyone involved.

Nowadays we’d use technology to free up people’s time and call it participatory democracy, or holacracy, or Teal, or self-management.

The Athenians just called it democracy.

Octopuses

Octopuses

Humans keep most of their brain cells in their heads.

Which means that our bodies, sensing the world around us, have to send messages ‘up the line’ and wait for instructions before they can act.  That’s an exaggeration of course, we have automatic reflexes.  But on the whole, if I want to move my legs, my brain has to tell them to do it first.

Octopuses have a different model of intelligence.  Most of their brain cells are in their tentacles.  Which means that each tentacle has its own ‘brain’.  Tentacles are autonomous, able to operate independently of the head-brain, and of each other, yet also connected.  Tentacles can even have different ‘personalities’ – some are ‘shy’, some are ‘bold’, and so will react differently to the world around them- enriching the information collected and minimising risk to the organism as a whole.

You can probably see where I’m going with this.  Over their 155 million years of evolution, octopuses have mastered the art of effective delegation. For them ‘The Boss’ has all but disappeared.  9 brains are better than one.

We could learn something from them.

Chains

Chains

Here’s Peter Drucker talking about management chains, way back in 1954:

“Every additional level makes the attainment of common direction and mutual understanding more difficult.  Every additional level distorts objectives and misdirects attention.  Every link in the chain sets up additional stresses and creates one more source of inertia, friction and slack.    Above all, especially in the big business, every additional level adds to the difficulty of developing tomorrow’s managers, both by adding to the time it takes to come up from the bottom and by making specialists rather than managers out of the men moving up the chain.”

There’s a good chance that these observations reflect your reasons for setting up on your own – so you could focus on the customer rather than your boss(es), and so you could have complete autonomy over how you serve those customers.

But as you grow your own business from just you to more than a few, how do you stop yourself replicating the structures you found so constricting?

Simple.

Make everyone a manager – not of other people, but of the process every business runs – making and keeping promises to the people it serves:

disappearing boss course card

 

When everyone’s a boss, there’s no need for chains of any kind.

Thanks to Michele Zanini for the prompt.

Unfreedom

Unfreedom

If you need to have a job in order to live (and most of us do), then work all too easily becomes a series of power plays, tests of will between worker and supervisor, supervisor and manager, manager and director.  Between subordinate and superior.

Power plays that can get nasty, because there is no way out, no safe word you can say to signal ‘Stop, I’ve had enough‘.

When everyone but the person at the top feels too afraid to disobey, and is unable to walk away in protest, what cascades down is unfreedom.  Or as we might have called it in earlier times, slavery.

How much worse then, if it turns out that what you are in thrall to isn’t even human, but AI.    Statistics generating targets that take no account of actual conditions on the ground – a pandemic, a storm, a tornado – with no possibility of being overidden by an intelligent human.

As a result 6 people died in this Amazon warehouse, picking stuff people don’t need, made using resources that could be better used elsewhere (or not used at all) to make money Bezos doesn’t know what to do with.

Work should not be this way, need not be this way.

Stop.  I’ve had enough.

And I know where and how to change it.

Bullshit Jobs

Bullshit Jobs

This week, I’ve mostly been re-reading this book by David Graeber, published what seems like a lifetime ago in 2018.

In 2015, YouGov published a poll, showing that when asked whether their job “makes a meaningful contribution to the world?” 37% of respondents said ‘no’, and 13% of people said they didn’t know.  That’s a terrible waste of human potential.

Until recently many of those 37% or 13% will have been furloughed, while many of the other 50% weren’t – their jobs (care workers, nurses, shop workers, bus-drivers etc) were simply too ‘key’ to allow that, or they were self-employed.

I wonder whether furlough gave some of the 37% time to re-think what they wanted from work?   Is that what’s behind ‘The Great Resignation”?

What seems to be fairly clear from my re-reading of this book, is where most of those ‘bullshit jobs’ are.   They’re in corporates, or privatised government agencies.

Where they aren’t is in small businesses.

One more reason why I believe bigger small businesses are the future.

Cultivating culture

Cultivating culture

Growing a culture is easy.  You just leave an agar dish open to the air.   The culture you get is a matter of what falls into your dish.

For a business, it’s the same.  As soon as you add people to your business, you get a culture. As new people join, they pick up the norms, the narratives, and the identities of the people already there.  The result of whatever’s fallen into your dish.

But with a framework that attracts the right things into your dish, that’s easy to grow on and around, it’s possible to grow a culture you’ve designed rather than one that happens by chance.   Even if you’ve already got the wrong culture already in place.

What would your business culture look like if you designed it?

It’s me they want

It’s me they want

It’s a trap many founders of service businesses fall into.  You start off as the technician, doing everything, and at first you love it.

Then you grow your client base, and with it a team to help you serve them.   Yet it seems, no matter how much you reassure them that your team is capable, no matter how much extra you charge them for the privilege, clients insist that you are the one that looks after them.  Or, they insist that it’s a particular member of your team that looks after them.    You get overloaded, and your team lose out on the chance to grow.

The answer is to make sure a new client or a new project starts with one of your team, not you.  Perhaps random, perhaps thoughtfully matched to each others’ working styles.   That means making sure everyone knows how to make and keep your business promise as well as or better than you, from start to finish.  And that means articulating what that experience looks like.

There’s nothing wrong with being relationship-based – I’m all for connection between people –  but the deepest relationship you want to forge is one between the client and your business, where the client’s experience will be consistently outstanding, no matter who delivers it.  Not identical, consistent.

The more you enable your team to stand up and say “I am Spartacus!“, the more clients you’ll be able to delight, without killing yourself or your team in the process.

Autonomy

Autonomy

I’ve always hated being under an obligation to anyone.  I’d much rather be a giver than a receiver, and I always used to try and ‘balance the books’ whenev