The management of the social business
The division of labor reduced organizational effort and the cost of work in factory production. The division of labor also increased the quality of work through specialization. This led managers to focus on the efficiency of activities that were separated from other activities. Organizational design was seen as the planning and execution of a collection of independent, but connected jobs forming the workflow system.
Connections were based on top-down command-and-control and horizontal, sequential processes. In both cases the action of one part was meant to set off the action of another. Interaction was understood as one-way signals, a system of senders and receivers, a system of causes and effects.
In the cause-and-effect model of communication a thought arising within one individual is translated into words, which are then transmitted to another individual. At the receiving end, the words translate into the same thought, if the formulation of the words and the transmission of those words are good enough.
Physical tasks could be broken up in a reductionist way. Bigger tasks could be divided by assigning people to different, smaller and fairly independent parts of the whole. For intellectual tasks, it is not possible to find independent parts because intellectual tasks are by default linked and interdependent, creating a totally different work environment. In this new work, communication is not talking about work, but work is communication between people. This is why a social business follows a very different model of causality.
In this model of complex causality, communication takes the form of a gesture made by an individual that evokes a response from someone else. The meaning can only be known in the gesture and response together. If I smile at you and you respond with a smile, the meaning is friendly, but if you respond with a cold stare, the meaning may be contempt. Gestures and responses cannot be separated but constitute one act. Neither side can independently choose the meaning of the words or control the conversation. Thus you can never control communication.
The cause-and-effect model of management presumes, accordingly, that leadership potential resides within an individual person, who is the cause. From a social business standpoint the individualistic view is fundamentally misleading. One cannot be inspiring or energizing alone. These qualities are co-created in an active process of mutual recognition. An inspiring person is only inspiring by virtue of others who treat her this way. A good decision is only good if there are agreeable people around. Mutually recognizing and mutually supporting relationships are the sources of progress. Actions always emerge in a network of relationships – in co-action instead of cause and effect.
Any higher-value activity involves complementary and parallel contributions from more than one person or one team. Instead of division of labor and the vertical/horizontal communication design, the managerial focus should now be in synchronous co-action and enriching interaction. Communication does not represent things in the world. It brings people and things into being.
Social businesses are about interdependent people working in complex interaction