1. Churn is everywhere. Readers of Article1 will notice that we’ve been using the word “churn” quite a bit. We’ve been thinking lately about how “churn” will “change” modern organizations. Refer to the infographic from our last post, one showing the striking reduction of avg tenure of largest companies in the world, the S&P 500? That’s really what we are getting at when we say “churn” is everywhere.
2. In the past, business cycles were longer & more distinct. Organizations didn’t need to bother having to manage opposing or contradictory ideas & actions often simultaneously. Winds of change were gentle.
3. That’s all gone now. And that is the “churn” we are talking about. The rate of change is increasing. And to contend with this change, modern organizations are now confronted with multiple, often diametrically opposite ideas. Coupled with the urgent need to take swift decisions in this high-pressure environment.

And here’s the interesting bit & allow us to draw an analogy here: it’s only when the wheels turn in opposite directions or at two different speeds, does the vehicle, or in this case, an organization , change direction! No?

Roles at the “intersection of contradictions”: Honestly, we didn’t immediately understand this in our CHRO roles. Of course, as any driver will attest, it’s not easy to change direction on the move, quickly! But now we are increasingly convinced that the 2-in-a-box [CEO+CHRO] role is inherently a role that exists at the “intersection of contradictions”. It’s a combination that continuously juggles short-term goals (margins) VS long-term performance (retaining key talent) – seemingly two forces moving in opposite directions.

1. Yet, if you pause, reflect, & look closely, that’s not really the case. While the 2 paths may move in different directions, they are both trying to drive growth & progress in pursuit of overall company goals.

So, what’s the takeaway? The issue can be effectively dealt with in 2 ways:

1. Develop the ability and internalize holding two opposing ideas in mind, simultaneously, & still function. And we will be the first to admit that it’s easier said than done!
2. Then communicate it effectively to stakeholders and your teams. Deliberately.

When we start executing too quickly, we don’t communicate enough and omit to provide the necessary context. One team hears ScaleUp. Another hears ScaleDown. All on the same day. The “why”, “what” and “how” doesn’t get internalized. And, as you can imagine, this is a perfect recipe for Chaos and Trust Deficiency. Cue whispers “Our leader is losing it!”

Thoughts?