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Autonomy, Mastery, and Purpose. Motivation and the Podular Organization, optimizing for innovation rather than efficiency.

March 27, 2014 Leave a comment

Today I would like to talk about a couple of principles and a couple of books that have had an enormous impact on the way I work.  The first is “Drive – The Surprising Truth About What Motivates Us” by Daniel H Pink, which is a brilliant look at how the “carrots and sticks” motivational techniques of the past are no longer valid and why we need to think about intrinsic – as opposed to extrinsic (external) – motivators.  The 3 pillars of motivation are:

  • Autonomy – the desire to direct our own lives.
  • Mastery – the urge to make progress and get better at something that matters.
  • Purpose – the yearning to do what we do in the service of something larger than ourselves.

The other book I want to talk about deals primarily with the last point – “Purpose”.  Once properly motivated, how do we get everyone in the organization to feel ownership of the business?  The solution is to create a “business within a business”. And this is the subject of “The Connected Company” by Dave Gray where we examine the concept of the podular organization and optimizing for innovation rather than efficiency.

These principles fit in nicely with the basic tenants of Agile – the idea of self-organizing and cross-functional teams.  As with other Agile processes, it seems (although it is not true) that these principles are much more applicable to smaller, leaner, more start-up like companies.  I have seen firsthand how Agile organizations fall back into old Waterfall traps as the organization grows, middle management grows along with it, and communication, motivation, and innovation become secondary to efficiency and predicability.  In a world that increasingly requires people to think creatively, solve problems and remain flexible in uncertain environments, hierarchical, multidivisional organizations and extrinsic motivation just don’t work.  The answer is to build flat organizations around small, self-governing “business within a business” units, or “pods”.

My experience applying these principle has primarily been with Software Develop teams.  While Software development seems particularly suited to these principles, it is left as an exercise for the reader to think about how they might be applied to other business’s such as hardware development, or service organizations.  

Organizing a large company into a series of “business within a business” pods, allows each pod to function as a stand-alone business unit, ideally only answering to its customers.  These customers may be inside or outside the organization, but each pod delivers its own business value thus giving its members real, motivational ownership of the pods success.  This is how a company optimizes for innovation over efficiency.

Within the pod, team members are motivated by the intrinsic value of the units success.  Developers, designers, sales, support – every member of the team must feel ownership of the teams success.  Autonomy and Mastery come into play as each member of the team is encouraged to identify and provide working solutions to the day-to-day challenges of creating success.  The parameters for success become clear, aligned with the goals of the larger business, thus empowering every member of the team.

“The great innovators in business did not succeed on creativity alone,” Gray writes, “their success was a blend of creative thinking and business logic.”

A great article on Fast Company sums it up nicely:

“So if you want to set a context to bring out your teams’ inner Edisons, you need to align their incentives in three ways:

  • Incentives need to breed visible impacts on the business as whole
  • Incentives need to balance short- and long-term thinking
  • Incentives need to reward people for doing what makes the business as a whole more successful and healthier

In this way, a person’s individual work is linked to the collective endeavor. They get personal expression and collective validation. They’re incented to do their best work, for themselves and for the organization.”

 

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