The ability to work in self-organizing teams is becoming a key skill not only for entrepreneurs but also for individuals working for companies that embrace innovation.
I recently had the chance to visit Zappos headquarters in Las Vegas. Another successful example of a We Culture where employee’s ideas matter and self-organization prevails over the chain of command. Work is organized by autonomous teams, everyone focuses on their job, not their position. Everyone is important, from front-line employees to clients and suppliers. Does it look like something impossible or unt
Chase the dream, the money will eventually follow
Tony Hsieh – CEO Zappos
So, is it true that these teams have no managers? Well, they have
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The idea of self-organizing teams has been promoted since the Deming methods since the 1950s applied by Japanese companies like
Characteristics of self-organizing teams
- Small teams: less than 12 people including a lead, the magic number is usually six. Jeff Bezos uses the “two-pizza team” philosophy, meaning the than should be small enough to be adequately fed by two pizzas, that is six to ten.
- Transparent: communication is fast and mostly face-to-face or online to ensure no delays or miscommunication.
- Autonomous: people are encouraged to choose how they will work. They are encouraged to experiment and create new ways of adding value to customers. The fact is that the people actually doing knowledge work usually have the best idea of how to do that knowledge work, given they have the proper experience. So, why not let them do it their way? This way you get faster and more creative decisions that improve customer satisfaction because they have taken closer to the
gemba , where the customer is or where the actiontakes place. - Quick decision making: A self-organizing team sets the limit of how much work they are expected to complete within a certain time frame. This means the team sets the expectations about what they have to complete.
Usually, they even have their own budget - Cross-functional: They consist of a mix of people who have different knowledge so that they have access to all the skills necessary to effectively deliver value to customers.
- Disciplined: even though they make lots of decisions about how they work, they follow through the agreements that were made at the beginning of the team formation, so that’s why is important to set clear goals, values and rules, and follow-up or assist closely when someone is not able to meet them. The team members must be able to work in a self-organized environment. Almost everyone can do it, but people are not usually used to it, so at first, it may be hard. Zappos recommends “Hire slowly for culture and fire quickly for culture.” They have two interviews, one for technical fit and another for culture fit, both need to be a YES. And after the first week, they offer $1000 to the employees that want to leave the company, that way they make sure they only keep the ones that are engaged.
Read more: The power of self-discipline
- Value Respect: achieving a diverse workforce and obtaining the potential benefits of diversity is not just about recruiting and hiring a diverse team. To fully experience the benefits of diversity, leaders need to create a workplace wherein members of that diverse team feel appreciated and encouraged to share their perspectives
- Clear company culture: The team members share a company culture or common behaviors and habits that they value and respect, that helps them make decisions and achieve results aligned with the company purpose. I call this “The We Culture“. In every company is different, but there are main habits that are practiced by everyone (any employee, no matter the hierarchy) at any time: connect to each other, ask questions (don’t simply accept the status quo), respect and empower.
This is just an introduction to the subject, keep reading the next blog posts to get to know the path to implement self-organizing teams and the main things to consider before even getting started.
Do you have experience with self-organized teams? Leave your comment below!
Lu Paulise
luciana@biztorming.com
@lupaulise
Biztorming Training & Consulting
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7 Comments
Phil Sharland · 3 April, 2019 at 10:47 pm
I visited Gore Tex in Newark around 1993 as a consultant. It had a totally flat structure but worked very well – everyone was an associate with specific responsibilities and in small teams.
At that time it was a relatively new concept and used by very few.
Gore Tex is still going today so it (presumably) works well in the long term
Luciana Paulise · 4 April, 2019 at 4:08 pm
Great example Phil, thanks for sharing!
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