The EOS Model® provides a useful foundation for businesses, but it falls short in addressing key aspects of creating an growth. By incorporating additional elements from the Gravitas 7 Attributes of Agile Growth® model, businesses can create a more comprehensive system that promotes growth while maintaining smooth operations. Focusing on Leadership, Strategy, Execution, Customer, Profit, Systems, and Talent, the 7 Attributes of Agile Growth® offer a more encompassing approach to achieving success.
Boosting Common Sense Decision-Making in Your Organization
Improve Problem-Solving, Information Gathering, and Understanding Intent.
Introduction: The Need for Common Sense
Business leaders often question why employees or direct reports don’t use common sense in decision-making. To help people make better decisions, we must delve into three crucial areas: solving the right problem, gathering all the available information, and understanding the intent.
- Solving the Right Problem: The Art of Asking the Right Questions
To prevent solving the wrong problem, make sure to:
1.1 Define the problem yourself
- Don’t rely on someone else’s definition of the problem.
- Encourage team members to clarify their understanding of the issue.
1.2 Stay close to the problem
- Engage with those who have firsthand experience of the problem.
- Encourage open communication and feedback channels.
1.3 Think about the problem from multiple perspectives
- Foster a culture of collaboration and diverse thinking.
- Utilize brainstorming sessions and workshops to explore various angles.
- Having all the Available Information: Observing, Orienting, and Analyzing
To gather all available information, consider the following:
2.1 Move the decision-making to the information source
- Empower frontline employees to make decisions.
- Implement a decentralized decision-making structure.
2.2 Observe and orient using John Boyd’s OODA loop concept
2.2.1 Observe
- Continuously gather information to build a comprehensive picture.
- Encourage team members to ask questions to understand the issue better.
- Filter out the irrelevant “noise” to focus on critical data.
2.2.2 Orient
- Foster a culture of self-awareness and understanding of cognitive biases.
- Provide training and development opportunities to improve analytical skills.
- Encourage employees to develop mental models that help replace biases and assumptions.
- Knowing the “Intent”: Moving Beyond Rules to Foster a Purpose-Driven Culture
Rather than relying on specific rules, understanding the intent behind decisions promotes a broader understanding that helps employees make decisions aligned with the organization’s goals.
3.1 Establish clear organizational values and goals
- Communicate the company’s mission, vision, and values consistently.
- Develop a shared understanding of the organization’s strategic direction.
3.2 Promote a culture of trust and empowerment
- Encourage employees to take ownership of their decisions.
- Provide support and guidance while allowing for autonomy.
3.3 Develop guidelines and frameworks for decision-making
- Create decision-making frameworks that emphasize the organization’s intent and values.
- Offer tools and resources that help employees navigate complex decisions.
Conclusion: Achieving Organizational Clarity and Empowering Decision-Making
Ask yourself these questions to determine if your team is making common-sense decisions:
- Are they solving the right problem?
- Do they have all the available information?
- Do they know the intent, and is there organizational clarity?
If you find something missing in these areas, address it and empower your team to make better decisions. Embrace a culture of collaboration, open communication, and trust, and watch your organization’s decision-making processes improve.
Copyright (c) 2021, Marc A. Borrelli
Recent Posts
EOS is just that, an Operating System
What has COVID done to Company Culture?
COVID has affected everyone. However, companies need to examine if they have lived their core values during COVID, how they are reinforcing them in a WFH environment, and especially with the onboarding of new hires.
Profit ≠ Cash Flow
Knowing how much cash you generate is essential for planning for growth. Too many companies don’t know and when they grow they find they are continually running out of cash. Understand your cash flow generation and how to improve it through improvements in your Cash Conversion Cycle and using the Power of One.
What Are Your Critical and Counter Critical Numbers?
The key to achieving long term goals is to define short term goals that lead you there. Focusing those short term goals around a key metric is essential. However, ensure that the metric will not lead other areas astray by having an appropriate counter critical metric act as a counter balance.
Rethinking ‘Family’ Culture in Business: Fostering Performance and Success
Explore the importance of company culture and the potential pitfalls of adopting a “Family” culture in organizations. Learn how to foster a high-performance culture while maintaining key family values and discover success factors for family businesses. Rethink the “Family” culture concept and create a thriving environment for your organization.
Do You Truly Know Your Core Customer?
Knowing the profit of your core customers is key to building a growth model. Many companies have identified core customers that are generating a sub-optimal profit and so they cannot realize the profits they seek. Identifying the correct core customer allows you to generate profits and often operate in “Blue Ocean.”
The Spectacular Rise and Fall of the European Super League
The European Super League (ESL) collapsed within 48 hours of its announcement due to hubris, a lack of value creation, and fan backlash. The founders’ arrogance led them to disregard European football’s deep-rooted traditions and culture. At the same time, the focus on wealthy club owners instead of merit undermined the essence of the competition. The fierce backlash from fans, who felt betrayed by their clubs, demonstrated the importance of prioritizing supporters’ interests in football.
When Should I Sell My Business?
Many business owners want to sell at the top of the market. However, market timing is tough. Is this the best strategy? Probably not.
Does Your Financial Model Drive Growth?
Working with many companies looking to grow, I am always surprised how many have not built a financial model that drives growth. I have mentioned before a financial model that drives growth? Here I am basing on Jim Collin's Profit/X, which he laid out in Good to...
COVID = Caught Inside
As we emerge from COVID, the current employment environment makes me think of a surfing concept: “Being Caught Inside When a Big Set Comes Through.” Basically, the phrase refers to when you paddle like crazy to escape the crash of one wave, only to find that the next wave in the set is even bigger—and you’re exhausted. 2020 was the first wave, leaving us tired and low. But looking forward, there are major challenges looming on the horizon as business picks up in 2021. You are already asking a lot of your employees, who are working flat out and dealing with stress until you are able to hire more. But everyone is looking for employees right now, and hiring and retention for your organization is growing more difficult.