To breakthrough to higher levels of performance, look at the organisation as a whole.
Many and perhaps most organisations spend time and energy trying to improve efficiency and control. However, when we move to high complexity, problems begin to arise.
The symptoms of stress in existing systems can become evident as we may see crises and other problems arising. We begin to see a fall-off in performance as we apply more processes and “red tape”, which tends to make things worse, shown here as a feedback loop in blue. It’s at this point, we need to breakthrough.
The breakthrough is to recognize that we need to be able to manage complexity and be efficient at the same time.
Attempts to control complex dynamic challenges tend to be ineffective. It is also inefficient to over control routine work. We need a more integrated approach.
We want to make routine process more efficient and approach complex problems by making the kind of decisions that enable us to respond effectively.
In more academic terms, what we are doing is integrating strategy and operations to achieve a breakthrough in performance.
Performance “flow” happens when people are working in the right way for the job. An example might be to have some redundancy in a supply chain to cope with unexpected events such as earthquakes.
The two “outliers” offer clues to micro manage or over manage.