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- Mistakes of Mainstream Management - Chapter 1
Mistakes of Mainstream Management - Chapter 1
[๐ ๐ ๐ ๐ฆ๐ฒ๐ฟ๐ถ๐ฒ๐] The most misunderstood concept: Planning
In my 23 years of corporate experience, I committed so many mistakes and category errors just by embracing the prevalent management practices without thinking. But, this is not surprising!
It took us over 5000 years to apply the concept of โwheelsโ to luggage. This underscores our human tendency to be โdomain dependentโ. We often struggle to transfer insights and solutions across different disciplines, even if the application seems obvious in retrospect.
The field of management is inherently multidisciplinary, and integrating ideas & insights from other fields has the potential to profoundly transform it.
With todayโs post, I will start cataloguing my scar tissues and kick-off a new series called Mistakes of Mainstream Management (MMM) and start with the concept of โplanningโ and look at it from the lens of another field, complexity.
"๐ช๐ฒ ๐๐๐ฒ๐ฑ ๐๐ผ ๐๐ฎ๐ ๐๐ต๐ฎ๐ ๐บ๐ฎ๐ป๐ฎ๐ด๐ฒ๐บ๐ฒ๐ป๐ ๐ฑ๐ฒ๐ฎ๐น๐ ๐๐ถ๐๐ต ๐๐ต๐ฒ ๐๐ข๐จ๐ฅ ๐ '๐: ๐ ๐ฒ๐ป (sic), ๐ ๐ฎ๐๐ฒ๐ฟ๐ถ๐ฎ๐น๐, ๐ ๐ฎ๐ฐ๐ต๐ถ๐ป๐ฒ๐ฟ๐, ๐ ๐ผ๐ป๐ฒ๐. ๐ง๐ผ๐ฑ๐ฎ๐ ๐๐ต๐ฒ ๐๐๐๐ณ๐ณ ๐ผ๐ณ ๐บ๐ฎ๐ป๐ฎ๐ด๐ฒ๐บ๐ฒ๐ป๐ ๐ถ๐ป๐ฐ๐น๐๐ฑ๐ฒ๐ ๐๐ต๐ฒ ๐๐ผ๐๐ฟ ๐ '๐, ๐ฏ๐๐ ๐ถ๐ ๐ฏ๐ฒ๐๐ ๐ฑ๐ฒ๐ป๐ผ๐๐ฒ๐ฑ ๐ฎ๐ ๐๐ข๐ ๐ฃ๐๐๐ซ๐๐ง๐ฌ."
Table of Contents
Corporate Planning
Many of the mistakes of mainstream management are fundamental and the remedies I suggest are as nuanced as the topic itself. To set the record straight, Iโm not saying donโt do any planning. For example, I planned to write this post today.
But, the pitfalls lie in how we approach planningโฆ For example: Central Planning - the segregation of โplannersโ and โdoersโ, the bureaucracy & ceremonies that lead to wasted energy and time, coercing employees to conform to โthe planโ, etc.
We continue to do very detailed long-range planning and get surprised when the conditions around us rapidly change. We lived through a global pandemic and yet fail to learn lessons from it.
Corporations are in love with the idea of the strategic plan. They need to pay to figure out where they are going. Yet there is no evidence that strategic planning works - we even seem to have evidence against it.
Today's post is dedicated to the Systems Thinker Russell Ackoff, whose insights I have generously applied in this post. Ackoff's teachings have given me so many โAha!โ moments over the years... Ackoff elegantly articulated the situation that most of Corporate America finds itself in...
โโฆ corporate planningโฆ is like a ritual rain dance; it has no effect on the weather that follows, but those who engage in it think it doesโฆ Much of the advice & instruction related to corporate planning is directed at improving the dancing, not the weather.โ
Taking Ackoffโs advice, this post will NOT help you get better in doing any of the following theatrics of Corporate America:
Quarterly Business Plan
Annual Financial Plan
3-Year Roadmap Plan
5-Year Strategic Plan
But, it is intended to help you get better at actually getting stuff done. More importantly, if you are thinking about jumping into entrepreneurship from a corporate job, it will help you avoid taking the mistakes of mainstream practices with you.
With that context, let's talk about โplanningโ. As Russel Ackoff put it,
A paradox that American management has been unwilling to face: The more accurately you can predict, the less effectively you can prepare. The better you can prepare, the less need there is for prediction. Therefore trying to do both is absolute nonsense.
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