The perspective behind the work.
Ellen Strugatch | Founder, The Company We Keep
For more than three decades, my work has taken me into the inner lives of individuals and the inner workings of organizations. I’ve experienced organizational decisions from two very different vantage points: through the eyes of the people affected by them, and from the executive seat where those decisions have to be made. That experience has taught me that understanding people and understanding the conditions in which they work are equally essential.
At Kaiser Permanente, I led a multidisciplinary behavioral health department, with responsibility for nearly 100 clinical and administrative professionals, substantial operating budgets and relationships with major hospital systems. But managing an established operation was only part of the job. I saw opportunities to build programs that didn’t yet exist—and championed them through the organizational decisions, competing priorities and relationships required to make them a reality. I learned firsthand that a sound idea is rarely enough. Making it happen requires understanding how to build support, navigate competing interests and move an organization toward action.
Over the years, I’ve seen how easily organizations can mistake agreement for alignment, authority for influence, and the absence of conflict for trust. I’ve also seen how decisions that appear sound on paper can falter because the relationships needed to carry them forward have been overlooked. These are not simply interpersonal concerns. They help determine what an organization is capable of achieving.
When growth changes how decisions get made
A small, nimble company acquired a much larger competitor. Its CEO was accustomed to making decisions quickly, while leaders in the other organization favored a more collaborative approach.
The combined organization would be ten times larger. The CEO recognized that the decision-making approach that had served the smaller company might not serve the new one.
Based on a business case reported by McKinsey & Company.
The formal business question
How should decision authority change as the organization grows?
The questions surrounding it
What had each organization learned about how important decisions get made?
What will each organization recognize as a well-made decision?
When authority moves, what else has to move with it?
Source: McKinsey & Company