Conscious-Business.org.uk

A home for the Conscious Business community in the UK


1 Comment

Climate Change – a Conscious Start

Climate Change Questions
Climate change matters?
Does it effect me? Let’s see.
Ask the right questions.

Conscious business is a very powerful way of working. Any management course will show the benefits of working as a team over working as an individual. How much more powerful is this collaboration in the smart interconnected world we live in today?

Taking a conscious business perspective, it is relatively simple to consider the role of stakeholders on your business or the impact that your business can have on others. But how can we encourage more businesses to take this systemic approach?

There are many businesses operating in a more traditional manner, who find working in a linear way obvious and easy. Acknowledging the merits of working more consciously requires a shift in mind-set.

One way to bridge the gap is to focus on a single issue and explore the impacts on your business and stakeholders. Consider climate change as an issue with potential impacts on almost all aspects of business.

There are two critical observations:

  • Climate change may have risks or opportunities on your business, your suppliers or customers, now or in the future – or maybe not.
  • By asking these questions you have started the process of examining the interconnectedness of the stakeholders; becoming more conscious.

Even if the answers show that climate change has a minimal impact the exercise is very likely to find efficiencies, savings, reduce risks and maybe to find some new opportunities. And will certainly be a step towards a more conscious business approach.

Some may see this focus on the single issue of climate change as a retrograde step, away from the systemic approach of conscious business – the single issue tail wagging the dog. Some tail. Some dog!


Leave a comment

Pragmatic Strategy – links to conscious capitalism and conscious business

The practice and ideas of conscious capitalism are not restricted to a few high-profile names; one of the joys of the subject is to look for ideas elsewhere and make connections. With this in mind Pragmatic Strategy – Eastern Wisdom, Global Success makes for an interesting and highly relevant read. The book is written by the knowledge management guru, Ikujiro Nonaka, and UK-based management scholar Zhichang Zhu (Nonaka & Zhu, 2012).

At its intellectual root is a weaving together of Eastern thought and ideas from the US philosophical tradition of Pragmatism, which is both convincing and relevant. The highlight of the book for me was towards the end in Part IV, Think When We Learn.  Here the authors explore, with convincing examples, why our current paradigms of strategy are failing and go on to offer a radically different perspective.  This is based upon:

  • The hazard of focusing only on profits and shareholder value, exploring this from a variety of novel perspectives
  • The problems and hidden assumptions that accompany traditional views of strategy, for example one person’s advantage coming with another’s loss
  • How we extend this to how we treat people as assets with little or no stake in the organisation who can be owned, utilised, discarded or replaced.

In itself this is a clear illustration of the problems we face, but it is in the response to this that they offer something substantial. This can be summarised as being less of a ‘God’s eye view of strategy’ and more that we are all participants in the process in which we all have a stake. In other words we are not mindless parts of a machine subject to the levers, pistons and pulleys of other’s intentions.

Here they argue that we all have at least some influence and control as part of an interconnected world, not in terms of grand abstract plans but rather in a contextually rich reality of everyday life. For both the pragmatists and Eastern way of thought there is a focus on:

  • Practical knowledge, rich in context
  • An iterative process of knowing based upon experience and reflection
  • Attention being given to both the head and the heart of organisational life.

This means however that there can be no certainty, that of the ‘magic bullet’, or the perfect ‘model’. Such an approach would be a contradiction, meaning that we would not have to do the very task demanded of us – to think, pay attention and to act with awareness into the moment.

Nonaka, I., & Zhu, Z. (2012). Pragmatic Strategy – Eastern Wisdom, Global Success. Cambridge, UK: Cambridge University Press.

 


Leave a comment

Outside in – bringing intelligence into the corporation

I found this great post by Lee Bryant of Post*shift the other day. Lee describes the clear divide between how social media inside and outside many large organisations is run. How, often, these activities are run by different departments, who may be pulling in different directions. As Lee points out, social on the outside is often run by marketing, while social internally is run by ops, HR and IT.

Marketing, of course, is about giving customers what they want and need.  So a core marketing activity is understanding those wants and needs and communicating them internally – so that the business can respond, and continue to fulfil those needs over time, even as the market changes. That is, in theory at least, how businesses respond to their markets.

But in practice few businesses seem marketing-driven. In a marketing-driven company everything the company does is driven by changes in the market. This means the real power sits with marketing.

Looking around, it seems to me the alternatives are more common. In most cases the power driving the business sits with:

  • engineers and R&D – this explains an apparent proliferation of product features at the expense of benefits that people actually want and need;
  • sales – this explains a short-term focus on increasing sales revenue – regardless of the longer-term brand damage and the like;
  • finance and ultimately the stock exchange – how else can we explain the way  the banking sector seems to be ignoring customer sentiment?

Who or what drives your company?

But Lee’s post is about how (social) marketeers can be part of the solution – helping the business transform so that it is more aligned with what the market truly wants and needs. Even when marketing doesn’t really have all the power it might like.

He rightly points to the need for changes in organisational structure, and the benefits of socialising key processes and workflows.

Content can also be very useful – thought leadership inside an organisation can form the basis of a real dialogue with customers. Leverage the content that people inside businesses work with every day – and use it to start meaningful conversations with customers and potential customers. The result is an increase in trust – and you start to build real relationships across the critical company/customer boundary.

Such relationships form the basis of gaining real intelligence about what the market is saying – what it wants and needs.

Market intelligence isn’t enough

But our experience suggests that even credible (business) intelligence simply isn’t enough to change organisational behaviour. If knowledge and intelligence was sufficient for behaviour change we’d all stick to the speed limit, get enough exercise and happily eat our 5-a-day .

And there are far too many stories of companies that knew perfectly well what was happening in their markets but did nothing about it for us to believe that intelligence is enough.

This is because telling people what to do (based on your superior knowledge/intelligence) doesn’t work – they resist.

Neither does educating them (giving them the benefit of superior knowledge/intelligence) – they still resist.

And actually, despite what some idealists would claim, neither does getting people to ‘buy-in’ through dialogue or the like – real dialogue is a very rare thing indeed.

These approaches don’t work because they tend to ignore the elephant in the room: power. Organisations are all about power – we all know it and yet we hardly ever speak about it.

Good solutions need to take power into account. In fact, leadership, in my view, is about helping people and groups find ways to understand and ‘align’ their power. We all have power – but we are often pulling and pushing in different directions. Leadership is about helping people align – even if only temporarily.

And just how does the marketing leader, or the leader of any kind, build that alignment? There are many ways but one good way is to start by treating other people well. By being respectful and empathic. This is the foundation for any good relationship, and I believe a good relationship is the starting point for finding ways to align power.

But to build good relationships it is also essential to learn to ‘speak up’ – to say what we believe to be true, when faced by other people, not just in the privacy of our own minds or homes. No one respects someone who just tries to please all the time, by keeping quiet, or by agreeing.

Unfortunately, speaking up  is really difficult – the pressure to collude, to fit-in, especially inside a business, is enormous. It is all too easy for the marketing leader to see what is going on but to keep their mouth shut when facing a skeptical ‘superior’.

The good news is that people can learn to speak up more. We use the term ‘congruence’ with our clients because there’s a bit more to it than just speaking-up. In fact, there’s a way of speaking up that enhances relationships rather than harming them, and that is what we are seeking: deeper, more meaningful relationships.

Self-awareness helps. As we grow in awareness we may start to see how much we collude.

A supportive culture helps. One that promotes ideological challenge, open dialogue, and risk-taking in service of a bigger purpose.

But ultimately this is a choice – about putting the goal of helping your business survive and thrive in the digital age ahead of personal fears and limitations. About learning to speak up – in service of others.

There are a couple of events coming up where some of these issues may be discussed: Tomorrow’s Company Today on the 2nd June 2014 (a Conscious Business UK event hosted at Post*shift’s great London offices). And Post*shift have their own event Organising for Social on June 12th.

 


1 Comment

Conscious Business: Senior Management Briefing

Paul_culture5

This guest post is by Paul Levy of CATS3000

The Starting Point

The starting point is this: As a senior manager, you have no eternal right to exist. It is not a taken for granted assumption in a conscious business that you are always needed. Your starting point is one of being always humble, and ready to step aside and to allow in whatever is truly needed by the organisation.

The business does not exist to serve you, nor even to satisfy its shareholders. It exists to behave consciously in order to meet the needs of its customers, the users of its products and services. Shareholder satisfaction, in a conscious business, is a by-product, an outcome of conscious business practice, not an aim.

A conscious business is an organisation that is awake and aware, alert and responsive, internally and externally, in real time.

Sometimes, dear senior manager, your personality, your habits, your self-image, your subjectivity are all blocks, limiters of the consciousness of your business. Sometimes you behave in deliberate ways that diminish the consciousness of your business, thinking that you are being “smart”.

Political game-playing, power-mongering, fear-engendering, all ultimately shatter the innovation potential of your business by stifling and suppressing the energising qualities of people that exist when they feel more free and awake. Senior management, when it is a leading example of institutional, over-fixed behaviour, defensiveness and aggression, damages the very organisation it claims to serve. Even benevolent, but egoistic acts that achieve success are short term victories that still undermine conscious business.

A conscious business has a very different role in mind for senior managers. In the emerging fields of conscious capitalism and conscious business there are many stories and examples appearing in the public domain.

Overview and Inspiration

Senior management has the often fairly permanent role of acting as the overview, the “helicopter view”, the inspirer of vision, and the identifier of what needs to be done at the strategic, “overview” level.

In a conscious business, senior management is a leadership role – a role that is sacred, a privilege for all those who step into those roles.

In a conscious business, senior management identifies the essential in what needs to be done. Senior managers focus on naming things truly, based on real time flow of information, knowledge and experience. This “Pool of Knowing” crystallizes into an up-to-the-minute knowledge base that informs where and how, as a business, we step next.

Time to Drop the Personalities

It isn’t about personalities; it is about awareness, from personal to business self-awareness. The role of senior management is to remain objective. What does that mean? It means both inner and outer observation. In a conscious business, senior managers practice introspection, (they look at their own biases as if they were objects to be studied) and they subject their opinions and intuitions to third party “devil’s advocacy”. Senior managers seek out different points of view. Senior managers prioritise

  • Sensing and serving the needs of the organisation’s customers and key stakeholders
  • Enhancing business consciousness
  • Keeping the organisation awake, aware and alert, internally and externally, in real time.
  • Changing organisational structure to meet environmental changes, including the transient need for senior management itself. Hierarchies are temporary, emergent and flexible in a conscious business.

Welcoming the New and the Useful

Senior managers develop and practice emotional intelligence, active listening, and welcome and seek out useful and new ideas and suggestions from any helpful source. Status is not a cultural default in a conscious business; respect is earned not given by favouritism or clunky vertical structures. Measurement is authentic, and focused on identifying how the business can improve its consciousness.

Senior managers see their “higher viewpoint” – awareness of risk, taking of critical decisions, and ability to hold authority over others – as something sacred, something they steward rather than own. They do not see themselves as more important; they tend to view their role as part of the whole system. Both the chief executive and the cleaner are fundamental parts of the whole system. This isn’t a form of socialism of clunky equality; it is a form of systems thinking, where senior managers see themselves as parts of the integrity of the whole. Everything needs to fit together in whatever way it needs to in a conscious business.

Ten Features of Senior Management in a Conscious Business

  1. Senior managers are much more “present” in the processes of the business. Consciousness is high – meetings are more emergent, alongside more regular “rhythmic” processes such a monthly strategy reviews etc. Senior managers are both “overview” and “out there”.
  2. There’s an ability to quickly undo decisions, reshape key processes and structures, identify technological paths to innovation of products, services and processes, learn from mistakes and be humble with that learning.
  3. Roles morph and change, even pass away. Senior management is drawn from whoever and wherever, whenever and however it is needed.
  4. Reward is based on self-motivation, a wish to serve professionally, and there is no place for primitive “motivation by bonus” which warps commitment and consciousness.
  5. Information systems are seem, not as “below” senior managers, feeding upwards, but “above”, feeding down. Information is real-time, useful, accessible and accurate, truly informing overview reaction, proactivity and direction-finding.
  6. Senior managers are ethical, emotionally intelligent, able to listen, dialogue, inspire, and challenge. Truth is seen as vital to “clear-seeing”.
  7. Senior managers are self-aware, practice introspection, aware of their own biases, and open to devil’s advocacy and different points of view. Cronyism is banished. Freedom of thought, without fear, is a core value.
  8. There is a culture of seeking out the real needs of those who are served by the business. Shareholders are also aware of the business purpose and in tune with the business’ culture of practising conscious business.
  9. The business is led by managers who are an example – transparency, openness and honesty are core values, lived in practice.
  10. Promotion is based not on years worked, nor on any favouritism and delivery of narrow measures. Promotion marries business need with capability, motivation and “fit” with the integrity of the business.

 

And, Yes – It is still about Leadership

Senior managers are leaders. Leadership is a role and process in a conscious business that enables inspiration, motivation, strong decision-making (when needed) and strategy-making to happen. The role never fixes for too long or in one particular way. Leaders emerge, from different parts of the organisation. Permanent leadership roles are only created if needed (for example, if stability of a role is needed).

Leadership is largely associated with process rather than personality in a conscious business. Leadership can, and should happen anywhere in a conscious business, even in its realm of digital working. Leadership may arise out of digital processes as much as physical ones. Leadership involves direction-finding, true-naming, inspiring others, fitting parts together into a bigger picture, and unblocking conflict and difficulty.

Senior managers in a conscious business are “senior” for different reasons. Sometimes that seniority is bestowed because the senior person is wiser, and has experience and wisdom that helps guide the wider organisation. Sometimes it is born of the unique position of ownership of the business. Here leadership is only assumed if the owner has a unique contribution to make to the organisation and may also carry the inspiration and passion that will later be shared across the organisation. Sometimes the senior manager will be a temporary specialist, with temporarily needed skills and oversight. Sometimes the leader will emerge because a leader is needed, a hero helping the organisation on a “quest”. The leader’s role then coincides with the post of a senior manager.

In all cases, reflection is practised and permanence is never assumed. Rewards are never for the position in the hierarchy, but for the quality of the work done for the business.

Daring to be Different

Senior managers are often very different in a conscious business. Their career isn’t to climb up the organisation, but to serve it with a unique and important skill set and experience base.

Senior managers in conscious businesses are not  the same people as the senior managers at an earlier stage of that business’ development, when it was more traditionally structured and managed. They represent and reflect the organisation radically transformed.

Conscious businesses perform excellently, because senior management is a role that practices excellence. And excellence is born of consciousness. Senior managers have the vital role of occasionally acting as the eyes and ears of the enterprise, but not always. Often they interpret and articulate the essence of the organisation’s will. But they are one of the means to the business’ consciousness, not the sole cause of it.

In a conscious business, as a senior manager, you might just have to wave goodbye to yourself and become less attached to the word “senior”. Yet it also might be the hello to the authentic, genuinely useful and fulfilling next step you’ve been wishing for.

 

 


3 Comments

Book review: Conscious Capitalism: Liberating the Heroic Spirit of Business by John Mackey and Raj Sisodia

Here’s a review I wrote for Amazon. I think I could probably write several reviews of this book – there’s such a lot in it. But here is a snapshot:

This is a great book.

I must declare a bias: I am a real fan of the ideas presented here, and I have met one of the authors.

But trying to put that to one side, I still think it is a great book.

It is very thorough, very complete, and like my colleague Will McInnes’ book Culture Shock: A Handbook For 21st Century Business it is full of practical advice and suggestions on building a different type of business.

It is clearly written, full of good stories and quotes. It also seems to include a good measure of honesty – as when John Mackey describes the problems he had with the SEC.

It is ideological, yes, but I think that is what we need right now. There’s a lot of talk in business about disruption, and how business should respond, but this book sets out the beginnings of an intellectual and emotional framework for business in the 21st century.

Umair Haque’s Betterness: Economics for Humans (Kindle Single) also comes to mind.

After an introduction, which aims to reset the narrative of business, the book is broken into several sections on making practical changes to the way a business works:

– Higher Purpose
– Stakeholder Integration
– Conscious Leadership
– Conscious Culture and Management

The book pulls together a lot of thinking from a range of very diverse sources. That is the whole point I suppose: to bring topics such as economics, sustainability, business management, psychology and systems thinking together. Indeed, the authors aren’t afraid to mix words like love and care in with the kind of terminology (innovation, collaboration, decentralisation) you will read in many modern books on business management.

There are lots of practical examples and stories from Whole Foods Market. That company is obviously better known in the US than the UK, and there is a notable lack of any European examples (John Lewis, the Co-op, Cadburys etc). But as founder and CEO, John Mackey has been through most of the major decisions that need to be made in setting up and growing a large, listed company.

Once or twice I had a bit of a sharp intake of breath.

The term “free-enterprise capitalism” personally reminds me of “free market capitalism”, in the style of Reagan and Thatcher. Something to which I have an instinctive and somewhat negative reaction. But, after a moment, I reminded myself to suspend a little, remember that I am not an economic theorist or expert, and read on.

And their real point is that capitalism generally has given itself a very bad name with the people who should be supporting it – those of us who believe in freedom for individuals and also in sharing, giving etc.

The other slight intake of breath came when Margaret Thatcher is listed amongst a list of leaders with high integrity, including Gandhi and other personal heroes. Again personally, I found this hard to take.

But again the truth is this is probably more about my biases and prejudices than anything else. And a good book, I believe, should challenge one’s thinking, not just confirm one’s prejudices. I resolved to dig out a biography and do some deeper research.

The book ends with sections on starting a conscious business, and transforming to become one.

An appendix covers the business case for Conscious Capitalism – including reference to Raj Sisodia’s work on Firms of Endearment and a comparison with the “Good to Great” companies. This, in my view, is a very strong and compelling financial case.

Another appendix gives a very useful list of similar, related approaches (such as sustainable business, B-corporations etc), and explains why conscious capitalism is different.

In a final section, which contains a call to action, I was pleased to see a reference to Tom Paine, author of Common Sense and the Rights of Man. These, at the time, were seditionary works. They stirred people up.

This book is similar – some will hate it, but the mixture of emotion and intellect is powerful. Which is important, because, as the authors say, there’s no time to waste.

Overall, this is a manifesto for a new type of business. Or, if you simply want to find out what Conscious Capitalism and Conscious Business are all about, this is a great starting point.

It is a big book as well as a great book. It will take you a while to read. But in my view it is really worth the effort.


2 Comments

Learn-Learn

I have always liked, and disliked, the term “win-win”.

I guess I heard it first from Stephen Covey, or at least that was when I first ‘got’ it. The concept appears widely in both popular and serious business books. I have been known to bandy it around myself with clients – and even use it at home with the kids (much to their amusement).

The term has developed, of course. The most recent version I have seen is from John Mackey’s and Raj Sisodia’s great book on Conscious Capitalism – Liberating the Heroic Spirit of Business.

Raj and John use the term Win6 – they use a superscript 6 to signify the 6 different stakeholders of a business.

They mean a refusal by a business person to accept a trade-off (or a “win-lose”) in every one of 6 domains:

  • with customers
  • with employees
  • with suppliers
  • with investors
  • with communities
  • and with the environment

I particularly like the idea that any business person has a choice (Covey made the same point, I think) to either seek a win-lose, or seek a win-win. In fact, I think we may face that choice many times a day.

Hopefully, we choose the win-win. Even though, as Raj and John seem to suggest, seeking a win-win, or a win-win-win, or even a Win6, may be harder work in the short-term. Finding solutions that help more than one stakeholder may require much creativity and innovation.

I guess most of us involved in Conscious Business buy in to the idea that in the long-term that effort will be amply rewarded.

In fact, I think many business people, especially people running smaller and medium-sized businesses, do take a win-win approach.

Raj and John are simply suggesting we expand that approach – to multiple stakeholders.

But back to my dislike.

I suppose it is partly because win-win has been so well parodied over the years, in comical take-offs of business people. The husband in the brilliant “Little Miss Sunshine” comes to mind.

But maybe it is also partly to do with my approach to life? I am definitely more comfortable with learn-learn. That is an easier choice for me – to promote learning, amongst colleagues, and clients.

Although, now of course, I need to promote that to Learn6.