Digital Transformation: The Solutions Are Within


Given the torrent of new technologies driving product and process innovation and efficiency, for most companies maintaining the status quo is no longer an option.

This is an era where roboadvisors will soon become the norm, where digital insights will change the face of marketing forever, where back-office administration will be transformed by technologies and where new products and services will develop at a speed never seen before.

To make things even tougher for established companies, not only is there hot competition from the usual places, technology has also removed barriers to entry, forcing incumbents to question their operating models and their hold over once loyal customers. But in this rapidly changing digital economy, could it be that the biggest threat to your business isn’t the competition but the organisation itself?

The disruption we are now facing on a massive scale requires organisations to transform in the fastest possible time. While many companies immediately look towards costly investments in hardware and software solutions in an effort to keep up, it is only the more astute companies that reflect on the organisation’s ability to quickly identify and evaluate relevant innovation and to rapidly evolve in response.

One thing that we have heard a lot in the past from large multi-national clients is that “unlike startups, here it takes a long time to turn the ship”. Our question is, is that lack of organisational agility an inescapable characteristic, built into the DNA of large organisations, or is adaptability a matter of choice?

Our Design Leads have addressed complex systemic challenges at both ends of the business spectrum, from startups to market leading incumbents. This work has certainly highlighted the characteristic strengths, aptitudes and behaviours of each: It will come as no surprise to readers that young, innovative companies tend to take more risks, are more reactive and more willing to fail; an advantage for sure, if harnessed effectively. They are also comfortable in emergent situations, which means that Innovation Arts’ approaches to problem solving – including Design Thinking and cross-functional collaboration – tend to already feel natural to the people who work there. This is not always the case in more established companies, whose cultures have evolved away from entrepreneurialism towards the need to protect and grow brands and meet shareholder expectations. But there is a reason companies cultures evolve as they do. When working with engineering clients who design and build aircraft engines, or the aircraft themselves, for example, we have not been shocked to find that a need for precision, caution and paramount safety have also influenced the way business processes are managed. Yet here too, digital transformation is an imperative, and leaders have found ways to exploit cultural strengths while still embracing new, accelerated ways of thinking and working that save thousands of hours of effort and rework.

Some incumbents choose to fast track their development of targeted innovation by combining forces. Our work in the Financial Technology sector has involved partnering with startups and established big names who, recognising each others’ strengths, search for symbiosis to exploit emergent Fintech markets. But even there, innovation cannot be kept distinct from the rest of the organisation and ultimately the ship still has to be turned. The question is how? At Innovation Arts we are convinced that the solution lies not in a book or a consultancy report, but within your existing organisation.

No matter who comprises your organisation, from millennials to experienced old-hands planning their retirement, every person within it will have lived through an extended period of highly intensive and accelerated change – as a child. Children face transformation constantly: physically, mentally, emotionally and in the expectations family and society have of them. Children are extraordinarily resilient and adaptable, and every new change strengthens them for the next. By drawing on this to recreate three key conditions that make thriving in change possible in your organisation, we can rediscover that strength:

1. Questioning everything, but not needing to provide all the answers yourself.

Traditional hierarchical control and decision-making will not work. In some cases the more experience we have with things working well, the harder it is to access breakthrough thinking. Leadership teams must have the courage to acknowledge that we are in a new, unexplored era, and that their leadership requires resourcefulness – seeking answers from those who know, those who decide and those who do. This culture of trust and delegation will give employees in turn the courage to pose questions and offer suggestions they otherwise would have kept under wraps. Bring the right people together at the right time to answer important questions, and sometimes -in periods of intense transition – consider a temporary focal ‘hub’ to accelerate and align.

2. Creating a safe space to experiment, to fail, and to learn.

One of our core beliefs at Innovation Arts is that failure always precedes success. Modelling, testing and iteration are as key to Design Thinking as they are to technological advancements. If your company has a culture that punishes failure, innovation will never flourish; a learning culture is key to agility. You will also need to rethink cumbersome ‘traditional’ processes for decision-making, communicating and aligning/realigning – you simply don’t have time. A good design is never finished, but good enough for now can be good enough for now: operating models, action plans and communications strategies that meet immediate needs and can be iterated later are appropriate in this fast changing world.

3. Playfulness.

If you can’t have fun with the problem, you’ll never solve it: If disruption is seen as a chore or something to be feared rather than as an exciting challenge then your organisation’s response will be lacklustre at best. Adopt collaborative approaches that engage employees and make working together on complex challenges tough but pleasurable. That doesn’t mean you can’t acknowledge employees concerns – people still need to understand what changes means for them. One thing that can help is keeping a constant focus on your values. Games Science can help you keep focused on who you are as a company even when you face a perpetually moving target.

These practical changes can tap into your organisation’s innate ability to adapt and embrace the opportunities that digital transformation presents for your business. Talk to us about how we can help you release the solutions within.

Innovation Arts is a hybrid strategy consultancy and design agency. Innovation Arts brings a fresh and highly effective approach to stimulating ‘group genius’ through design practices that stretch people’s thinking and initiate ideas. 
Described by GQ as the ‘management consultant of the future’, the Innovation Arts team is a mixture of strategists, management consultants, designers, advertisers, branding and communications experts and artists, all skilled in helping organisations make change happen. It’s a unique blend that helps an organisation think differently about the challenges it’s facing, as well as address them.
Based on their experience of working repeatedly with some of the leading FTSE100 and Fortune 100 companies, governments and civil society organisations, their clients engage them because they deliver systemic, high-quality, sustainable outcomes with less risk, more certainty and in a fraction of the time compared to conventional approaches.

How Employee Engagement could Make or Break your Company in Crisis


From major product recalls to technical systems failures, from Brexit to critical safety issues, the fitness of all organisations to respond is put to the test when crisis management is required.

 

When a situation breaks, the Communications Director is on the frontline managing an increasingly complex number of stakeholders; media, shareholders, suppliers, partners and customers. The objective is to protect the brand and organization while keeping the media coverage to a minimum and stakeholders informed and placated.

 

However, while every Communications Director will ensure their company has a Crisis and Issues plan prepared in advance, one key stakeholder group is too often forgotten: your employees. They can be your saviour in such a situation, available to call upon as well-informed brand ambassadors and corporate advocates, OR they can be your bête noire if ignored. Of course when you are in crisis mode you have to prioritise, but if you wait to engage the broader employee base until the fire-fighting has subsided, it might be too late.

 

We know that most employees need to feel part of a holistic system, to be engaged with the wider purpose of the organisation. So if they are getting their updates from social media, feeling powerless to respond and sensing themselves on the periphery of the organisation, they will not only feel confused and demotivated, but could also present an immediate risk and a longer term weakness. A recent survey showed strongly that if employees no longer believe in their company, or that they can successfully uphold the brand or reputation, they are likely to start looking elsewhere (Gallup Survey 2017) and this effect is amplified in times of crisis.

 

The implications of this are borne out in difficult experience. Whatever the sector or industry, the Communications Directors and Internal Communications Directors we have worked with, who have faced such situations, all say the same – the one thing they would do differently next time is to ensure that all employees accompany the senior team managing the situation in unison.

 

At Innovation Arts, when we talk about Employee Engagement, we are not talking about the measure of employee morale previously known as ‘job satisfaction’. Rather, we are talking about actively engaging the organisation collaboratively in the aspirations, ambitions, trials and successes of the wider company. And we believe that your crisis handling should mirror the way you engage your organisation on a day to day basis, and around important initiatives – just in a more focused and intensive way commensurate with the urgency of the situation.

 

So if you were to come to us looking to put a crisis plan in place that engages your employees effectively, our first question to you would be, what is your internal engagement process OUTSIDE of a crisis situation? Don’t worry if you don’t have one yet, you’re certainly not alone. And it could well be that planning for a crisis situation provides the impetus you need to develop a broader employee engagement mechanism to support your business. We would always recommend putting this plan in place BEFORE you need it! The next question, then, is how to go about designing a plan that will actually be used, and used effectively?

 

Innovation Arts believes that more voices cut down on noise, which is another way of saying that by involving all critical stakeholders in creating the plan they will be expected to deploy, their ownership of the plan not only makes it more effective and reduces resistance but also devolves the leadership required in rapid-response situations.

 

The number of critical stakeholders we suggest you involve in creating your plan can vary between 12 and 100 depending the size and complexity of your organisation, and this in turn will guide the time investment required to collaborate and align on your Internal Engagement plan. Depending on your needs we will recommend between one and three days of intensive work in a DesignSession for exponential results.

 

Typical questions you might want to answer in such a DesignSession include:

 

By using Design Thinking and Collaborative methodologies in this process, the outcome will be more robust. From Framing of how a crisis situation might occur in your organisation to Architecting around different plausible scenarios and Building an employee engagement plan which is aligned across stakeholder groups.

 

All our DesignSessions are bespoke, co-designed with you and every one starts with a simple conversation about the opportunity to collaborate. Click here to contact us to discuss how engaging your employees could be the secret ingredient to success.

 

Innovation Arts is a hybrid strategy consultancy and design agency. Innovation Arts brings a fresh and highly effective approach to stimulating ‘group genius’ through design practices that stretch people’s thinking and initiate ideas. 
Described by GQ as the ‘management consultant of the future’, the Innovation Arts team is a mixture of strategists, management consultants, designers, advertisers, branding and communications experts and artists, all skilled in helping organisations make change happen. It’s a unique blend that helps an organisation think differently about the challenges it’s facing, as well as address them.
Based on their experience of working repeatedly with some of the leading FTSE100 and Fortune 100 companies, governments and civil society organisations, their clients engage them because they deliver systemic, high-quality, sustainable outcomes with less risk, more certainty and in a fraction of the time compared to conventional approaches.

Hope in Berlin: We join Save the Children for their 2017 Global Conference on Children on the Move

Monday, June 19th, 2017

Keeping positive can prove challenging when a scroll through your newsfeed submerges you in painful stories of suffering abroad and at home. At Innovation Arts we are given the unique opportunity to collaborate with organisations that refresh the narrative – writing empowering and hopeful stories through hard work. Save the Children is one such organisation, striving to improve the lives of children all over the world. Their 2017 Global Conference on Children on the Move was a chance to focus on the needs of children migrating between countries. We were honoured to join them on June 12 and 13th in Berlin to capture the event’s output through graphic recording.

 

Participants congregated to share research, explain current initiatives and ideate new solutions for the needs of children on the move as well as means of prevention against the many risks these children face. Among participants were humanitarian organisations like UNICEF, government representatives, the United Nations, intergovernmental agencies, universities, private sector companies, Save the Children’s many international offices, and many more.

Photo: Participants congregate around our infomural and graphic recording to reflect upon output from the day.

It was inspiring to see the spirit of collaboration and collective action that permeated the event. There was incredible energy as attendees shared their work, ideas and passion for change.

 

We were asked to graphic record throughout the day, capturing output from talks and workshops. The graphic recording was galleried in the main hall so attendees reflect upon the content from the day, and discuss plans for future action.

Photo: One of our graphic recorders captures content from a talk in real time.

We created an infomural that wove together the output of the event into a visual story. There was a powerful narrative running through the event – the journey of young refugees, migrants and displaced persons from risk and turmoil to hope and opportunity, supported by the collective initiatives of all those represented by the event – and we wanted to bring it to life.

Photo: Participants take photos of our infomural as it progresses throughout the event.

As part of the event, Save the Children nominated 20 inspiring young people, all currently or in the past considered “children on the move”. These incredible young people were strong advocates for the rights of their peers, contributing music, legal aid, philanthropic support, and more to the cause. We shared their stories in visual form and were thrilled to see them respond effusively, laughing and taking photos of each other.

Photo: Youth participant and singer-songwriter Bahajt Alturjman poses in front of his portrait and personal story.

It was a pleasure to collaborate with Save the Children and we were inspired by the stories we captured during the event. The strength and positivity that was generated during the two days of talks and workshops is much needed. There is a lot of work to be done but huge hope for the future.

Values: A Double-Edged Sword


What happens when they go uber-wrong?

When new employees join Uber, they are asked to subscribe to 14 core company values, which include making bold bets, being “obsessed’ with the customer, and “always be hustlin’.” The company particularly emphasizes meritocracy, the idea that the best and brightest will rise to the top based on their efforts, even if it means stepping on colleagues to get there. The top priority: achieve growth and revenue targets. Those values have helped propel Uber to one of Silicon Valley’s biggest success stories. Yet, the focus on pushing for the best result has also fueled its “toxic culture” and present troubles: crippled by complaints that it condones sexual harassment, bullying and retaliation against those who complain, shedding executives and board members like so much unwanted freight, a cutthroat, win-at-any-costs culture where workers gain advantage by tearing each other down. And on Tuesday, its CEO, Travis Kalanick, has announced plans to take a leave of absence to get his act together. Poor embattled Uber.

 

After months of research into the inner workings of the company, US Attorney general Eric Holder this week published a report with recommendations for what Uber could do to redeem itself https://goo.gl/zwGhJA. Central to the report was a recommendation to “Reformulate Uber’s 14 Cultural Values,” to reflect more inclusive and positive behaviors.

 

Corporate value statements—those things you often see engraved in Plexiglas in corporate lobbies—exist to remind a company of its purpose in the wider world, of its very human reason to exist. But they must move beyond the lobby to act as the glue to bind employees together like a family, a beacon to steer towards when the going gets rough, and a code of ethics to hold employees to a higher standard. And yet, because company value statements are—necessarily—broad and open (or in Uber’s case vague and meaningless), a company’s values can be difficult for employees to translate into day-to-day behavior. What, exactly is meant by “super-pumpedness,” and does that mean downing several cans of Red Bull before clocking on, or something else entirely? And what happens when colleagues have different interpretations of the values? How easy is it for the language of a company’s values to translate into action for the boots-on-the-ground employee? How can a company ensure that its values are lived, not just talked about?

 

Innovation Arts knows that company culture crises are often an accumulation of small transgressions by employees who do not understand what the corporate values mean for the day-to-day. Or that trouble begins when the values fail to communicate what top brass believes their company to be. In our experience, a company’s values come to life within the company culture, which tends to bubble up from the bottom, from the lowliest employee to the CEO. If a company’s stated values include respect and diversity, then employees will be respectful of one another, form teams with people not like themselves, and reach outside their own sphere for new ideas. When your company values and culture promote “be yourself” and “toe-stepping,” then, well, just ask Uber what happens.

 

We have worked with a number of companies and cherished national institutions who are mindful of the impact values have on an organization, and wanted to ensure their values were meaningful for the people who follow them every day. However, admitting that you don’t quite understand them, or maybe that you interpret your corporate values differently than your colleagues can be a difficult conversation. That’s where the concept of game science can literally be a game-changer. By working with game designers, Innovation Arts has developed a new way to engage and inspire employees about their organization through our game Dilemma™ that translates an organisation’s values into day-to-day behaviours for every employee to understand and act upon. Dilemma™ employs a rigorous interview process to ensure a bespoke experience for each organization that uses it, and allows employees to put their corporate values through their paces through a series of scenarios matched with potential responses. Players earn points for responding with the action most closely tied to the intent of their company’s values—carefully avoiding the reactions born of habit or context. As much as we want to aspire to the better angels of our nature, it is a fact of modern life that we go astray, especially when time is short. Dilemma™ addresses these little slips and shortcuts, and encourages the players to talk through what a “wrong” response is, and yet, why an employee might be tempted to take the easy route. By identifying the preferred actions and the likely workarounds, what we have noticed is that the people who play Dilemma™ are more likely to talk about their company’s values in a way that is meaningful for each person, clarifying what the values are, why they exist, and how they should be enacted. Being honest enough to have an open and frank conversation about the accepted wisdom of company culture can motivate a group to own their values, and bring them to life.

 

Corporate values everywhere are a hot topic. The May 2017 issue of Fast Company magazine featured a cover story about the importance of embracing corporate values, and the impact they can have on the wider world. From automakers such as Ford and Audi to fashion houses like Gucci and Ralph Lauren, from health care firms to consumer packaged goods makers, companies are increasingly seeking to align their commercial activities with larger social and cultural values—not just because it makes them look good, but because employees and customers have started to insist on it. Millennials spend money in areas they believe in, and companies will simply have to respond. If you count the number of lives big companies like Facebook or Airbnb touch, they can have as much influence as a national official, so what they stand for themselves matters.

 

And that finally is what makes a company’s values so important. With global politics in a state of upheaval and trust in governments and other institutions suffering, corporations and large businesses may have to step forward to fill that gap and lead. What will ultimately differentiate those leaders is their inner motivations, their intentions. If your company intends to do good, and your employees know how to translate that into action, then it is clear on which side you will end up. What are your intentions? Are your employees living it every day, with every action, every decision? Perhaps it’s not clear whether they are engaged or not, or if your company’s values are simply words without meaning. If so, we encourage you to challenge your people to live up to what you say you stand for, to make each other better. What do you do when the chips are down, or you are in a hurry, or you are simply desperate to make that sale? We know that if you can count on your values in times of stress, then you will be able to rely upon them in times of ease. And it is possible that having a higher purpose will help a company’s profits in the long run.

 

Corporate values, like personal ones, exist to make everyone’s life better. If you enact them in small ways every day, the value compounds, and you can make a big impact.

 

Is your organisation one of the 10% that is getting it spot on with Engagement and Values, or are you looking for new ideas and support? Whether it’s about articulating the right values for your organisation, embedding them, or engaging your employees around strategic initiatives, we’d love you to get in touch to explore how design thinking, collaboration and games science such as Dilemma™ could help.

 

Innovation Arts is a globally-recognised hybrid strategy consultancy and design agency described by GQ as ‘the management consultant of the future’. Our focus is on creating the optimal conditions for diverse groups to solve, together, any complex organisational challenge. When faced with challenging disruptions, from a major new product launch to navigating a merger, the level of complexity demands more than the existing processes can handle. By implementing a design thinking-based approach, we deliver high-quality, sustainable outcomes with less risk, more certainty and in a fraction of the time compared to conventional agency approaches.

HR – Nurturing Talent in a Climate of Change


Recruitment and retention issues across a number of sectors are costing businesses millions. For HR Directors, this is a priority, but it is also a complex issue and a challenge to solve.

Whether our clients are FTSE 100 Directors, Global Directors of multinationals or large public institutions, one thing HR Directors express is the need to support both change initiatives and day-to-day operations whilst under greater pressure and flux than before. To paraphrase the Red Queen, We must now run as fast as we can, just to stay in place. And if you wish to go anywhere you must run twice as fast as that.

With voluntary resignations at an all-time high and unemployment rates historically low, the pressure is on HR Directors to find innovative approaches.

Whilst some of the evolution in employee mobility can be put down to external shifts in culture, demographics and economics there are other factors that fall within a businesses sphere of influence. Innovation Arts suggests two areas of focus that HR Directors can lead within their organisations for proven and measureable results:

1) Employee Engagement as a verb not just a KPI.

 

Measuring absenteeism, turnover, and productivity might give you a metric of how engaged your employees feel, but true employee engagement is more than a KPI, it’s a way of life. HR Directors can lead this, but the whole leadership team needs to get behind it. It’s about getting the whole organisation involved, and actively behind the Company’s purpose and strategic objectives.

It can seem easier and faster, particularly in a large company, to take high-level decisions in the boardroom, and cascade strategies top-down rather than face the mammoth task of truly engaging hundreds and thousands of employees, and in the short term maybe it is. But there’s always a price to pay down the line when it comes to delivering the strategies.

Teams that are consistently high performing all show a number of common factors, including collaboration, trust and transparency. Conflicts are sought out and resolved together, not ignored or over-ruled. The companies we work with that invest in up-front collaboration on big decisions see pay back many times over in true employee engagement and measurable business results.

2) Values and Behaviours that support your strategy, are understood in practice and are

measureable across the organisation.

 

As well as playing a vital role in delivering an organisation’s strategy and objectives, lived values and behaviours are also instrumental to managing talent throughout the employee lifecycle. Most companies have them on a poster on the wall somewhere, yet it’s a rare company where they are actively managed. In our experience, sectors such as Health and Hospitality – where you might naturally expect strong common values to guide employee actions – show the strongest sense of shared values amongst employees, yet without company-wide interventions these values are still not translated into daily lived behaviours. Indeed, employees express a sense of frustration with that disconnect. In other sectors such as Finance or Manufacturing, the Company Purpose doesn’t always align naturally with any specific values, and if they are not integral to the recruitment process then it is only by chance that employees find anything to relate to in the values found on the corporate charter. Overall Innovation Arts estimates that fewer than one in ten organisations have values and behaviours that are clearly understood and lived on a day-to-day basis.

Can your employees articulate your organisation’s values and explain how they affect the decisions they take and the way they behave in their own jobs? When an employee identifies strongly with an organisation’s values they are much more likely to engage and to stay. The implication for HR Directors is that from recruitment through day-to-day work to performance management, values and behaviours should be an integral part of what we measure and track.

At Innovation Arts we believe playful approaches get serious results, and this is why our Games Science team has developed a suite of easy to use, effective and engaging tools including DilemmaSelect for recruitment, and Dilemma for embedding and tracking desired values and behaviours sustainably.

Where do you fit? Is your organisation one of the 10% that is getting it spot on with Engagement and Values, or are you looking for new ideas and support? Whether it’s about articulating the right values for your organisation, embedding them, or engaging your employees around strategic initiatives, we’d love you to get in touch to explore how design thinking, collaboration and games science could help.

Innovation Arts is a globally-recognised hybrid strategy consultancy and design agency described by GQ as ‘the management consultant of the future’. Our focus is on creating the optimal conditions for diverse groups to solve, together, any complex organisational challenge. When faced with challenging disruptions, from a major new product launch to navigating a merger, the level of complexity demands more than the existing processes can handle. By implementing a design thinking-based approach, we deliver high-quality, sustainable outcomes with less risk, more certainty and in a fraction of the time compared to conventional agency approaches.

Inspiring the Work Environment by Design


inspiring-work-environment-design

We have begun to touch on the components of a work environment that enable creativity to flourish and productivity to increase. Each of these components can make a difference, but when brought together with the right skill and intention, the effect is extraordinary. The environment is a holistic element of a complex, adaptive system. Jan Smuts, who coined the term “holism” in 1926, defined it as the “tendency in nature to form wholes that are greater than the sum of the parts”. What nature does without our intervention, we must do in man-made environments by design.

Yet looking at the actual designs around us today, we still see determined and rigid solutions in which spatial composition has been the main objective. There are many speculative real estate developments, for example, which do not consider any particular client’s needs and aim primarily at a maximum amount of anonymous rental office space. The same thinking often continues inside the company, where ignorance or a wish to save money results in anonymous rooms divided into identical workplaces.

The most common approach to office space still reckons with one workspace per person whilst imposing negotiation and meeting rooms are considered separately. Many of these individual and group spaces are regularly unoccupied. Meanwhile, the budget for furnishing the office is divided between personal workplaces and a representative zone, altogether forgetting the background zone. Yet, it is common knowledge that the coffee machine is the best communication tool and that the most productive moments at conferences are coffee breaks. Why is this forgotten while filling the office plan with desks and chairs?

And let’s think again about who uses modern office space: It is easy to agree that working practices have changed. Today’s office work no longer consists of only data entry and processing; the linear work arrangement has become parallel and serial, meaning we should be able us to use the worker, time, and space much more intensively. In addition, work is more creative, and most of the creative work is done in changing workgroups that require a flexible use of time and space: there is no more need for physically emphasised hierarchy. And of course everyone can see what mobile phones and laptops have done to our working time and workplace. So how do we see through these changes to the new requirements? What is the new model?

In HIVE, each individual performs a fixed task in the production chain – usually from nine to five. The work does not require interaction or autonomy; the space is divided into an endless number of identical working places. Thanks to automation this past typology is disappearing or changing into DEN-type, more intelligence-requiring activity, where teamwork is of primary importance. The space planning in a den-type office is mostly open, but there is still not much personal independence. The CELL-type is used mostly for work requiring concentrated thinking (lawyers, research centres) where workers have great autonomy in using their time and in the content of their work, but few possibilities for interaction.
It is believed that as information technology develops, the independent concentration type of work and project-based teamwork will be combined in most enterprises. In the new “transactional” office, both interaction and independence will be maximised. The metaphoric CLUB is a place where people gather and communicate, while the actual work is done somewhere else. It is predicted that more and more companies will begin to work like Hollywood film teams that are formed separately for each project.

The premise of the activity setting approach is that one place – an all-purpose workstation per person -no longer suffices.  Instead, people need multiple workplaces.  These specialized settings span the variety of -often contradictory – office worker requirements.  As tasks change, people move to various specialized activity settings.  This movement is healthy, it makes jobs more interesting and encourages participation in ad hoc temporary groups and greater use of specialized costly equipment.

Robert Kelley, 1985

Because today’s workspace must be a multi-task environment, serving many clients and many different knowledge tasks at once, and because different tasks have different spatial, emotional and tooling requirements, the contemporary environment should be designed to be both flexible and capable of being divided into specialized zones. Within each zone, there may be different sub-areas, each with its own use and feel. In addition, many of these zones can expand and contract, thus, they can be configured to be larger or smaller, to be part of or totally separate from each other as the work demands.

Looking beyond the allocation of space, remember that as a form of communication our environment can be denoted as being multi-sensory; visual, aural, tactile, spatial and so on: “The will of the epoch translated into space”. An effective working environment should inspire workers, showing them that they are needed, and express the distinctive face and values of the enterprise. An office should be a place with an aura of its own. (Contrast this with the kind of anonymous “non-places”, – planes, ships, airports, supermarkets and indeed offices with which we are increasingly surrounded, where the design aim seems to be to eliminate differentiation altogether).

Several principles and design goals drive the basic layout of an environment that communicates effectively: Its image must include a spatial pattern that relates objects within it, relates the environment to the observer, and to other objects in its surrounding community; it must exhibit an architectural grammar and geometry appropriate to its specific mission and fit within the grammar and style of its location; it must control its boundaries in terms of access, light, sound, sight lines, and it must do this without presenting a defensive posture. The environment must include spatial ambiguity – the high variety that creates interest. It must include sheltered places for quiet reflection as well as open spaces for collaboration and expansive thinking. Paths, boundaries, regions, nodes and landmarks add variety, flexibility, build relationships and communication and facilitate feedback and change. To be psychologically comfortable, an environment must be physically comfortable and allow variation in the colour and texture of the furniture, levels and quality of lighting, and acoustical environment.

The evolution of our working environments is an on-going challenge; neither patchwork fixes nor wholesale redesign will suffice in today’s rapidly changing world. As people expand their horizons, so too must the environment expand its ability to serve. Individual elements must be created which can be replaced when outgrown with new elements that still complement the entire system. Frank Lloyd Wright felt the task of the designer was to design for what people can become–to stretch people to reach their potential. Today’s knowledge workers require an environment that challenges them to reach both their own potential and that of their organization whilst also facilitating that progress. The designer must see and communicate through the environment its conscious ability to evolve.

Complex natural systems are our model for successful, creative, evolving work environments. Our daily workspaces must be engineered to be both organic and cybernetic, adjusting to user requirements minutely and without fanfare. Those of you who have worked with us on an Innovation Arts Design Session will recognize these principles ‘in miniature’ in the temporary, mobile environments that we establish for each session. It is for all the reasons described above that we insist on creating the right environment to support the work we do with you. Our dedicated team designs each environment specifically for each client and each challenge, and over the course of the Session it will shift and evolve to guide, mirror, or lead the participants’ journey as they collaborate on the task in hand.

The Uninspiring Office and the Bored Room


officeThe idea of architecture as a language – a form of communication that affects us – is in itself not new, but brings to our discussions another context for our cycle of understanding; how we observe, reflect and interpret. Architecture is the integration of form and space and those principles that control their organization and these elements are the basis of the experiential pattern language that envelops us in the workplace.

Architecture results from integrated acts of philosophy, art, engineering, craftsmanship and business and – when perfection is sought – allows no compromise between these disciplines. A good piece of architecture directly supports a specific concept of life and work style and acts as a physical, visual, tactile and symbolic guide for its inhabitants. Conversely, bad architecture can work in direct opposition to those inhabitants’ objectives and culture, as per the title of this post. This idea that a work of architecture can also be a productive or counterproductive tool of human economy is relatively new. What is also novel is the idea that the workplace can be an expression of living art, and that this is not only possible but necessary in today’s world.

If we are to design our workspaces with the intent of using the most effective architectural pattern language, we need to get under the skin of how everything speaks. The language of architecture is largely symbolic; specific shapes, forms and textures invoke particular meanings. Just as the expressionist movement in literature gave birth to analysis by metaphor and symbolism, so too has expressionism had its influence over architecture. The early 1920s bore testimony to this architectural influence where buildings were designed and constructed to express or symbolize their use thus aiming to integrate both form and content into a coherent, more meaningful whole, for example the Volkstheatre Project, 1921 or Einstein Tower Observatory, 1920.

In the book ‘Metaphors We Live by’, Lackoff and Johnson build a theory that we live and express ourselves in terms of metaphor. This notion will be examined in greater detail later when I will talk about what we mean by ‘Possibility’. However architecture provides some firm examples of this theory. The Renaissance movement provided this language, its masters drawing the (organic) parallels of buildings as life forms in themselves. A buiding rises up, or it lies in a particular way. It has a front and a back, a face, a silhouette, a profile. It has a heart, a nerve-centre. It has a top, a crown, related to the sky and a base, a foot, related to the ground. Windows look out. Doors open wide. Perhaps no building is more symbolic that Antoni Gaudi’s ‘Casa Batlló’ with its bone-like structure and death mask balconies symbolic of the human experience in Catalonia’s quest for independence.

The power of the metaphor here is great. As the imposing designs of Romanesque, Gothic, Renaissance and Baroque all inspire superlative adjectives, so too are the feelings they stir in the soul. Compare this symbolism with that of most modern corporate architecture and it is little surprise they pale in significance, often inhuman, dead, faceless structures.

Intentionally or otherwise we have in recent times ignored the language of architecture in our workplaces, the timeless way of building as Christopher Alexander calls it, at the expense of functionalism. Our offices are uninspiring. That they are a mish-mash of metaphors at best cannot be denied. That they are malapropisms is probably just as correct.

So, back to the Bored Room, and our quest to bring to a powerful and inspiring voice to workspace architecture. Generally speaking, todays offices are boring places, at least from the point of view of art, design and architecture. Yet, they are precisely the places where many of us spend most of our productive time. How did we get here? Many contemporary ideas about the office date from the times of the industrial revolution, when accountants were gathered into office buildings erected next to the factories. The economic strategies that had modernised the industry were directly transferred into the paperwork. It was a simple, clear and very unambiguous procedure that followed the same assembly line principles governing the action in the factory halls. The office was a master class of simultaneity; the system functioned only when all its parts were in place – from nine a.m. to five p.m.

Alvin Toffler said in 1985 that:

“the corporate environment has changed so swiftly and fundamentally in the past two decades that structures designed for success in an industrial environment are almost by definition inappropriate today.”

Over thirty years on, and whilst those changes have done nothing but accelerate our workspaces have barely evolved at all. The time for us to take back control of our surroundings own us is long overdue.

A rich, varied environment, with ample communication, continuous learning, rapid feedback, knowledge management, and readily available tools are key to eliminating the barriers to human creativity and increasing productivity. Flexible space, open areas, new types of furniture and complex technological systems will increase the amount of informal communication that is necessary to develop communities of practice and build networks. There is inherent value in people from all levels of the organization working in close proximity to each other. In designing this new type of environment, we must go beyond incremental or even major changes to existing workplace designs. We need something unique, innovative, and totally new.

Organisations and their Environments


organisationenvironmentThe notion of organisations as complex adaptive systems enables us to see more clearly the individual, the teams and the organisation itself within the frame of a larger ‘whole’ and, therefore, to appreciate that in any one given situation there are a multiplicity of variables that may or may not have an impact upon the work to be done. Such variables frequently form the case studies of the McKinsey Quarterly or the Harvard Business Review. Leadership is a particular favourite, Learning and Performance Management is another, Reward and Recognition is a third. Follow the links for more in depth posts on these topics.

As of yet, we are still to define a context – an environment – in which this all can take place. This is not a new debate in itself, but taking it out of the hands of the Real Estate and Operations teams in order to understand it as a potential source of major competitive advantage is a relatively new concept: The idea that it may also provide your organisation with a greater degree of ‘Possibility Space’, resulting not simply in success in the market place but also within the organisational community. Transformation, indeed.

Outside our individual perspective and team perspectives the next cognitive filter is that of the workspace.

The Old (Built) World

Let us cast an eye back through history briefly. The organisations of the past reflected very much the formal societal structure of the time. All too often they were ‘hierarchical monoliths’ where the agenda was set by top management and implemented through the ranks by a series of management levels responsible for ‘controlling’ the organization. Both physically and metaphorically, the top management placed themselves away from the sharp end of their business, straying from the office’s ‘executive suite’ often only when the necessity arose.

Decision-making was seen as the domain of management with little input from others. The workforce was deemed to be motivated largely by money and little else. With the advent of organizational psychologists and sociologists and behavioural scientists in particular, it became more evident that such a rigorous hierarchical approach was an ineffective way of running a business.

The division between management and employee pervaded beyond the physical. It set the whole nature of corporate culture. The self-imposed isolation that management sought proved a huge barrier to collaboration, organizational learning and flexible, adaptive practices. What happened at the top was pervasive throughout the whole of the organisation itself. Often we see that humans are imitating beings: We tend to take on role models and behavioural models that suit our world and conform, so reinforcing non-collaborative, ‘silo-mentality’ behaviour. This is a self-reinforcing loop; a downward spiral of non-information sharing, mis-trust and non-alignment of purposefulness.

It would be good to think this was all in the past, but in reality we do still live in an era when the division between management and employee is the norm. Although corporate cultures increasingly tend to encourage openness and honesty, there is much room for improvement. In fact, the majority of organizations around the globe still conform to this type of monolithical structure. And this type of sectarian workspace design is still prevalent.

The New (Built) World

Perhaps one of the greatest inciting events workplace design was the advent of the ‘information age’: New forms of enterprise emerged, and with them new kinds of workers and new styles of workplace. We were presented with a notion of alternative office spaces containing what seemed like elements of bar culture, primary school, artistic workshops, sound studios and so on, where the cool kids got to play as they worked. For many this was considered a frivolous exercise in an attempt to ‘out-cool’ the competition but others took a more open mind, asking what they could learn from this revolution and how it could benefit their own business, an inquiry that led – for a small minority – to the conclusion that alternative environments may in fact be necessary in order to build and maintain a creative competitive advantage in today’s world.

Other pressures, too, have contributed to the shift towards reconsideration of how our corporate buildings support the work done therein. Technology, in particular, has fuelled this area of debate. Workers are increasingly mobile; the advent of laptops and telecommunications means that teleworking is now a reality; in fact the number of teleworkers worldwide is expected to hit 200 million by 2020 and many knowledge workers rate the ability to telework – at least partially – as a high factor in their employment choices. There are obvious implications of this trend, from a practical reassessment of the building capacity required and how it is used, through to revision of leadership models.

The workspace is possibly the most liberating enabler an organisation has at its fingertips.

Of all the tools an organisation has at hand day in, day out, the work environment is the most prevalent. An organisation may spend millions every year designing, building, implementing or custom-ordering Information Technology systems but fail to see that outside itself – that is the agents of the system – its potentially biggest liability and source of both productivity and efficiency (as architects have been crying out for years) lies with the design of the physical environment in which these agents (co)operate.

Attitudes are changing, slowly, but the connection between the workspace and organisational learning, play, creativity and sustainable innovation is still not always made. One reason for this is because we need to draw on more refined principles and ideas of architecture, a discipline not generally understood by business professionals and one which we will explore in subsequent posts.

People – Four theories to consider


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Almost all the work I do these days is conducted at leadership level, and at the very beginning of our discussions, whilst we are still refining the problem to be addressed, we are also working out together which people in their organisation – which of the purposeful components – are necessarily implicated in the design and ownership of the solution. Even at this stage it can be an uncomfortable discussion, because we are invoking collaboration, which shifts decision making out of the hands of the leaders.

For many years leaders have wrestled with the discomfort of giving up management-style control in order to reap the benefits of achieving mastery in personal and organisational leadership. Leaders have looked to various theories which offer possible ways to ‘safely’ approach this ideal. For example:

Situational Leadership

Considering the X, Y and Z theories in the last post, and applying them in the practical sense, we could conclude that at a deeper level of understanding, there is no ‘one best way’ to influence people; it is largely a consequence of a number of different elements. Situational Leadership defines these as being the amount of guidance and direction (task behaviour) a leader gives, the amount of socio-emotional support (relationship behaviour) a leader provides and the readiness level that followers exhibit in performing a specific task, function, or objective.

The concept defines four leadership styles: Telling, Selling, Coaching and Delegating. The ultimate aim is to be able to reach the level of organizational maturity where delegation is pervasive. Hersey and Blanchard, the proponents of Situational Leadership, argue that when we take on a new task we all begin on the ‘dependent’ end of a continuum from fully dependent to fully independent. Then, each of us will move up the maturity scale at different speeds, depending on our experience, our abilities, our sense of self-worth, and the responses we get from our leader. At each stage, the leadership style to be employed can be determined by two points of view: the worker’s ability to do the task and the worker’s willingness to do the task.

Equity Theory

J. Stacy Adams identified that workers are in a constant process of observation of the fairness of the outcomes of their own work compared with the outcomes of the work of their perceived peers. In this sense the worker defines his or her value based on a notion of equity with the organizational environment, implying a strict relationship between the two. Where there is little or no discrepancy, the worker perceives equity and is therefore satisfied. Where there is discrepancy, there is a perceived negative equity and the worker then actively seeks to restore the imbalance. This may take the form of negative action such as a drop in performance or a psychological or physical withdrawal from the status quo.

Positive equity, on the other hand, has the opposite effect. The role of the manager in this situation is to identify, understand and take appropriate action to stem negativity and build positivity; this means re-establishing and building ‘willingness’ through dialogue and, if appropriate, matching perceived value.

Expectancy Theory

Victor Vroom’s 1960s theory states that an employee’s ‘Motivational Force’ is dependent upon three concepts: Expectancy, Instrumentality and Valence. Expectancy is the belief that the worker’s effort will result in the achievement of the desired performance goals (the desired end state of Cybernetics?). Instrumentality is the belief that should these goals be achieved a reward will be given. Valence is the value the worker places upon the value of that reward.

This provides a closer match to our understanding of situational leadership: if a worker is to be motivated, he or she not only has to believe the performance measure (or ‘task’) is achievable but that, once achieved, the reward will be of an appropriate value.

OB Mod – “Behavioural Modification” in organisations

In OB Mod, the motivation of workers is said to be a direct result of the external consequences of that workers behaviour. As such, behaviour can be seen to be reinforced according to a continuum of consequence, the poles of which are positive and negative.

Positive Reinforcement implies strengthening a behaviour through the application of a pleasant consequence. Negative Reinforcement implies strengthening a behaviour through the removal of an unpleasant consequence. Within this continuum also lies a neutral consequence which is said to lead to an extinction of behaviour through no reinforcement at all and a punishing consequence which, again, is said to lead to an extinction of behaviour.

The above theories are all interesting models which in the past have provided leaders and managers with a set of tools to understand and maybe develop their own mental models. However, they all share something in common: a very pragmatic way of managing and one that is not necessarily appropriate in the world of today.

 

People: Control, Freedom and the performance paradox


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Traditional economic theory held that approximately one-third of an organisation’s cost base was in its ‘labour force’, a term which refers us back to an industrial age where labour was just that; labour. In the information age, the capital of many businesses is weighted much more heavily towards human capital, or ‘talent’ – where the main work of employees converting ‘inputs’ to ‘outputs’ in order to generate value is intellectual. These employees (often referred to as knowledge workers) may be scientists, researchers, analysts, traders, engineers, accountants, software developers, designers and architects: anyone who ‘thinks’ for a living.

Maybe that’s you?

This shift away from physical to mental labour is interesting when we think back to the idea from cybernetics that people are a dynamic, purposeful component of the complex system. Perhaps when the majority of workers were concerned with the transformation of physical inputs into a final product, their scope for influence on the system was relatively limited, and the management hierarchy was relatively flat. Now though, we know this is rarely the case. Knowledge workers certainly fit the picture of purposeful components within a purposeful system, operating within a context of responsibility, which may be either management-driven or leadership-driven depending upon the developmental maturity of the organisation.

When we start to investigate the purpose of these ‘components’ in order to understand how they engage with the broader system, it’s useful to explore the different theories of employee motivation.

Douglas McGregor in the 1960s expounded the notion that workers conform to one of two types of categorisation: They are either Theory X or Theory Y. Theory X infers a dislike of work and a need for coercion, direction and control to meet the needs of the organisation: A need to be managed. Theory Y implies the opposite: Work can meet their higher psychological needs but to do so, self-direction and self-control must pervade. This is an interesting proposition. Considering we are all model-making, meaning-seeking beings this model immediately forces us to recognise that we may or may not be operating from one of these points of view. It is a potentially useful model as it allows us to consider where we stand vis-à-vis our colleagues and collaborators.

In the 1980s William Ouchi developed another category: Theory Z. This is an extension of the Y point of view, stating that people in this category actively seek responsibility and in light of this, organisations should empower these employees to participate in decision-making activities. (Interestingly, there had been proponents of this since the 1950s born out of disagreement with Taylor’s doctrine of ‘Scientific Management’). The notion of a ‘Self Managing Work Team’ was given a theory-based grounding and has since come to embody all that leaders desire and yet, simultaneously, fear.

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