Monday, September 30, 2019

How do leaders successfully deal with accelerated change, chronic uncertainty and rampant complexity? - part #2

Picking up where I left off last week, my third thought during this recent diner meeting was that complexity is the enemy of execution.

In simple terms, there are two basic patterns of change: First, there is complicated change where we put forth great effort, track and measure specific variables and most of the time this will result in predictable outcomes. When thinking about complicated change, image a Toyota Prius. An expert mechanic can take it apart and reassemble it without changing a thing. The car is static, and therefore the whole is the sum of its parts.

On the other hand, complex change also takes great effort, and we track and measure specific variables. However, with complex change the outcomes are unpredictable. When thinking about complex change, image a Brazilian rainforest. The rainforest is in constant flux, and the weather patterns change daily. Animal species who live there change or go extinct. Local agriculture or forest fires impacts it’s water, etc. Given the rainforest is in a constant dynamic state, the whole is far more than the sum of its parts. Therefore, most of what we understand about the rainforest, we understand in retrospect.

Right now, many leaders and their organization are dealing with complex change. As Charles Massy wrote in his book, Call of the Reed Warbler: A New Agriculture, A New Earth, Chelsea Green Publishing, 2018: “The word ‘complexity’ has as its Latin base the root word plexus - braided or entwined - which leads to complexes, or ‘braided together’, and so to complexity. Thus, complexity results from the interrelationships, interaction, intertwining and interconnectivity of elements distributed over different hierarchical levels: first, within a system, and second, between a system and its environment…. when in unstable states, that give rise to discontinuous and unexpected changes - changes that are not explicable by a single causal factor and that feed back into the system to inform its ongoing interactions.”

When we think about complex changes and complex systems, we recognize that they have the following characteristics. First, they involves large numbers of interacting elements. Next, the interactions are nonlinear, and minor changes can produce disproportionately major consequences. In short, when the change or system is dynamic and the whole is greater than the sum of its parts, then solutions can’t be improved. Rather, they arise from the circumstances. This is frequently referred to as emergence.

Not too long ago, I met privately with an executive in her office who was dealing with the fall out from a major reorganization plus the recognition that they needed to develop a whole new strategic plan. Around us were pages and pages of detailed information with dates and reports. She had many questions and she was seeking many specific answers. Finally, she realized that she did not know how her people were going to react to all that was happening and she was not certain how to proceed. Together, we discussed the concept of emergence and having the capacity as a leader to wait and see what happens. There were just too many moving parts. She needed to have the capacity to be patient with the process and let it unfold.

We as leaders need to remember that complex change and complex systems have a history. The past is integrated into the present and evolution is irreversible. Even if a complex change or system may, in retrospect, appear to be ordered and predictable, hindsight does not lead to foresight because the external conditions and systems constantly change. 

So what do we do?

First, remember that a successful organization has four pillars, namely people, structure, systems and culture. Each of these are critical to short and long term success.

Second, you can have the best mission, vision and core values plus an awesome strategic plan but not be successful, because you may have the wrong people reporting to the wrong people, all of which is working within inefficient systems and a toxic culture. None of which will help you with complexity!

So, for me in the midst of complexity, the foundation upon which ownership, clarity and alignment is built starts with the senior leadership team. As Patrick Lencioni wrote in his book, The Four Obsessions of an Extraordinary Executive back in 2000, “Build and Maintain A Cohesive Leadership Team.” As he explains, “Cohesive teams build trust, eliminate politics and increase efficiency by: knowing one another's unique strengths and weaknesses, openly engaging in constructive ideological conflict, holding one another accountable for behaviors and actions, and committing to group decisions.” This is not flashy, hot-off-the-press, NYT best-seller, buzz based work. For me, this is old school, analog level work that when done well and consistently makes a profound short and long term difference.

From today moving into next year, I encourage all people in leadership positions to return to building and maintaining a cohesive team that can deal with conflict and differences of perspective. Given the ambiguities of the complex changes before us, we need a cohesive leadership team. We can do this starting today by role modeling collaborative behaviors and by being more visible across the entire organization. Next we can create role clarity for all members on the team and at the same time, living with the reality of task ambiguity within a complex environment. Finally, we can coach others on a formal and informal basis because some days you just need to go out for lunch and visit with people.

Complex change and complex systems are hard to work with. We as leaders need to embrace this challenge and get better at working with them.

Geery Howe, M.A. Consultant, Executive Coach, Trainer in Leadership, Strategic Planning and Organizational Change Morning Star Associates 319 - 643 - 2257

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