openness

The Adaptable Company: Gary Hamel’s new book that isn’t

Over the past few weeks, Gary Hamel has written two posts on his Wall Street Journal blog about his next book (the posts are here and here). The catch? He’s decided that he isn’t going to write another book. So instead, he published the CliffsNotes version of what he’d write if he was going to write a book, and started what he refers to as an “open source project” about the ideas, inviting people to add their thoughts and comments.

Management guru Gary Hamel

I thought I’d share some of my favorite bits that fit in really well with a Dark Matter Matters world view.

On what it means to be an adaptable company:

An adaptable company is one that captures more than its fair share of new opportunities… An enterprise that is constantly exploring new horizons is likely to have a competitive advantage in attracting and retaining talent. When a once successful company runs aground and starts to list, its most talented employees usually don’t stick around to bail water, they jump ship. A dynamic company will have employees who are more engaged, more excited to show up to work every day, and thus more productive… Adaptability didn’t rate very highly as a design criteria when those early pioneers set out to invent Management 1.0 a hundred years ago. But it’s essential now…

On the problems with big organizations:

Big things aren’t nimble. That’s why there aren’t any 200-pound gymnasts or jumbo-sized fighter jets… In a company comprised of a few, large organizational units, there tends to be a lack of intellectual diversity—since people within the same unit tend to think alike. Within any single organizational unit, a dominant set of business assumptions is likely to emerge over time. One way of counteracting the homogenizing effects of this groupthink is to break big units into little ones. Big units also tend to have more management layers—which makes it more difficult to get new ideas through the approval gauntlet. In addition, elephantine organizations tend to erode personal accountability.

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Love, hate, and memo-list

Top management experts are now acknowledging the importance of creating forums and contexts inside corporations that allow peer review, transparency, and powerful natural hierarchies to flourish. Here’s one great post by Gary Hamel from earlier this year that Iain Gray pointed out today. We’ve had an open forum exactly like this at Red Hat for a very long time. We call it memo-list.

The Greek agora at Tyre. It used to be a popular gathering place back in the day.

When any new employee comes into Red Hat, memo-list is one of the first great shocks to the system. Memo-list itself is not some technological marvel of a collaboration tool– it is just a simple, old skool mailing list where any Red Hat employee can post an email message that goes out to virtually every employee in the company. That’s 3000+ folks.

Memo-list has been a hot issue inside the walls of Red Hat since before I joined ten years ago. Folks tend to either love it or hate it.

Some people are shocked by the fact that any employee can publicly challenge a post by an executive or even the CEO in an email to memo-list (and they do). Some people are annoyed by the discussions that appear over and over, year after year. Some people view it as idle chitchat and a waste of time.

But some people view it as the backbone of the Red Hat culture. A place where the power of meritocracy is nurtured. Where the employees force transparency, openness, and accountability. Where peer review makes for better ideas (after all, given enough eyes, all bugs are shallow).

I love memo-list, warts and all (I think Gary Hamel would like it too). In my view, it is the single most important thing that differentiates the Red Hat culture from most other corporate cultures.

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Does transparency really have to start on day 1?

Open source folks often talk about transparency as a key part of the open source way. And if you ask most good open source folks when a project should start being open, they’ll say it should be open from the very beginning.

But what does that really mean?

Let’s look at the example of one of the most famous and successful open source projects (and one that is close to my heart), Linux.

Back in January, I wrote a post that broke down the first message Linus Torvalds ever sent out to the world about Linux into some of the key concepts that would become central to the open source way. Linus created a blueprint for the open source culture in the tone of his first email, long before the term “open source” was even coined.

Here again are the first few lines of his initial Linux post from August 25, 1991:

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Save us, General Zinni! Teach us corporate folks some 21st century leadership skills

I happened to catch General Tony Zinni on The Daily Show a few weeks ago. This was the first time I’d seen him talk, and I found him to be an incredibly creative, thoughtful man. So this weekend, I sat down and read his recently published leadership book Leading the Charge: Leadership Lessons from the Battlefield to the Boardroom. If you want to learn more about General Zinni’s long list of accomplishments, both inside and outside the military, there is a really good Wikipedia profile of him here.

In this book, General Zinni describes an introspective, creative, and rapidly changing American military mindset. After reading, I’m convinced the subtitle should have been something like “Lessons from the New Military for a Corporate America Totally Blowing It.”

This book provides a crisp analysis of the failures of the 20th century leadership model still prevalent in most businesses today. It is an indictment of the post-economic-meltdown-state of American business, which he believes was caused in large part by a systemic failure of this traditional leadership model.

Like a true man of action, General Zinni brings his own ideas and experience of leadership methods that work in the high-pressure, high-risk world of the military to the table. He provides a vision for how we can fix what is broken, and shows what the leadership model for the 21st century organization could be.

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