The 7 Qualities
To kick off a transformation, the first step is always an honest look at the current state. Transformation means identifying the next evolutionary step an organization is actually ready for — the next level it can grow into from within. Getting there may well require stepping outside the comfort zone, but it shouldn’t be so painful that it tears the organization apart. Just as important: there needs to be clarity upfront about why this step is being taken — which current tensions it is meant to resolve.
That’s exactly why we developed the 7 qualities of effective organizations: a simple framework for taking stock, which then serves as the foundation for defining the next development steps. In these 7 qualities, we’ve distilled what we see as the most essential characteristics of effective organizations. They’re phrased as positive expressions — meaning that, in principle, every organization should aim to position itself as far to the right side of the scale as possible.
Below, we’ve briefly outlined the tool.
The first quality of effective organizations is clear alignment. Alignment includes many elements such as a shared purpose, strategies and goals, and the communication connected to them. If a team were to place itself (unanimously) at the far right, this would mean that everyone is completely clear on what they are collectively working toward right now. Everyone shares the same picture and directs their work in exactly the same direction.
The second quality of effective organizations is well-utilized potential. This means that the potential of the people on the team, as well as other available resources, are fully known and leveraged in a way that directly contributes to the goals. In a team that would place itself at the far right here, everyone would agree with the statement that they feel all of their skills and potential are known and being used in an ideal way.
The third quality is shared responsibilities. A prerequisite for this virtue is that responsibilities are clearly defined and, for example, reflected in roles. In a team that would place itself at the far right here, all responsibilities and expectations are clearly named and assigned to the people who can fulfill them best.
An organization that wants to be effective must ensure that the people who make it up are also able to work well. Individual effectiveness exists when all members have the skills and knowledge needed to work effectively. In other words, everyone should be able to organize themselves without external support, make meaningful decisions, and contribute to the bigger picture.
Even if each individual works well on their own, that doesn’t automatically make a functioning team. Teams are effective when everyone is able to communicate effectively with one another and synchronize their work outcomes. And when, for example, meeting routines are designed in a way that meetings don’t drain time and energy.
The sixth quality refers to the ability of teams and entire organizations to evolve from within and adjust their structure and rules in response to changes in their environment. A team that would place itself on the right side of the scale here is able to adapt quickly and smoothly—continuously and without external support.
Closely linked to the previous point is the seventh and final quality: In effective organizations, people are able to constantly give each other feedback, learn from it, and also resolve conflicts constructively in a way that strengthens the team. Teams that would place themselves on the right side of the scale here would say that they are capable of resolving all their conflicts in a way that benefits the team.
The seven qualities are meant to sketch an idealized picture of an organization and point toward a direction worth developing in. For taking stock, a team can position itself along each dimension.
- Are we crystal clear in our alignment, and does everyone share the same picture of where we’re headed?
- Are all potentials known and being used in a meaningful way?
- Are all responsibilities clearly defined and distributed across the team?
- Is every individual on the team as effective as they could be?
- Is teamwork effective, and do our shared meetings generate energy and clarity?
- Does the team make adjustments on its own and continuously evolve its structure and rules?
- Is feedback given regularly within the team, and are all conflicts resolved constructively?
For the positioning, we need the team members’ subjective assessments.
Each team member places sticky dots on the individual sliders to position the team as a whole on each dimension. Sometimes we also do a physical setup in the room, where members distribute themselves between the two poles. Often, no clear picture emerges, because not everyone on the team has the same perception of how the different qualities are currently doing.
If there are big differences in the assessments — for example, one person finds the alignment crystal clear while others find it completely unclear — it’s worth having a discussion about where these differences come from.
In the next step, it’s about developing a target picture.
For every current state, there is a corresponding “should be” state. Of course, it would be nice to magically jump to the positive end of the spectrum in all seven dimensions. Realistically, however, that end should be seen as an ideal target state that can never truly be reached. The question must therefore be: What is the next meaningful evolutionary step (in each of the seven dimensions)? How can we move one feasible step closer to the ideal target state?
From there, it’s about progressing step by step toward the target picture.
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