BONUS Why Your Organization Is Still a Factory — And What an Octopus Can Teach You About...

BONUS: Why Your Organization Is Still a Factory — And What an Octopus Can Teach You About Transformation Phil Le-Brun and Dr. Jana Werner both work inside Amazon, advising Fortune 500 leaders on transformation. But before Amazon, they spent decades in the trenches — Phil as International CIO of McDonald's, Jana leading change in banking and logistics. Together they wrote The Octopus Organization (HBR Press) to explain why most companies are still running on a hundred-year-old factory model, and what the alternative looks like. "We Want to Help You Make Your Own New Interesting Mistakes" "We keep saying, as Phil likes to say, can we help you make your own new interesting mistakes and avoid the mistakes that we see again and again." Jana and Phil are both practitioners who have led large-scale changes — and made mistakes they're now happy to share. Jana describes working with incredible, smart, thoughtful people inside large organizations who weren't trusted, weren't allowed to do the work they could do, and couldn't be their best selves. She managed to turn teams considered underperforming into rock stars simply by listening and giving them space. Phil saw the same pattern at McDonald's — incredible people who knew the answers but weren't allowed to act on them. A disastrous standardization push from 2002 to 2004 taught him that top-down efficiency mandates don't work. The CEO left, and Phil got the opportunity to tap into people lower in the organization, define a common mission, and start building from there. The Factory Model Nobody Questions "There was no upside for her people taking ownership because you could have career-limiting effects if you made a mistake, if you were seen to be making a mistake or overstepping." Jana shared two sides of the same problem. A CEO of a large investment company told her he has to sign off on every small decision — and his people assume he wants to. Neither side wants this, but nobody questions the processes in place. On the other side, a COO told Jana "my people don't want ownership." After half an hour of coaching, the COO realized there was no upside for her people to take ownership — mistakes meant career-limiting consequences. Jana is honest about her own experience too: a team member told her she was micromanaging, and she denied it. They created a secret signal — scratching an ear in meetings whenever she micromanaged. He was scratching a lot. Phil adds that what he calls "yoga babble" — abstractions like "we're going to become an agile platform-based culture" — lets leaders avoid saying what they actually mean. Nobody challenges it because the boss said it, and it sounds sort of right. The result: completely meaningless direction. The Octopus — Distributed Intelligence in Practice "It has two thirds of its intelligence, its neurons, in its arms. The arms connect independently — they don't always need a central brain, but they also have one, so they can stay aligned but also work independently." The octopus has distributed neural clusters in each arm. It can adapt, shape-shift, change the texture of its skin, and even alter its RNA to switch between cold and hot water within hours. For Jana and Phil, this is the organizational metaphor: teams that can think locally and act without waiting for permission from the center, while staying aligned on mission. Phil translates this for team leaders of 8-10 people inside traditional enterprises: Put together teams with cognitive diversity and encourage constructive conflict — what Linda Hill at Harvard Business School calls "creative abrasion" Invest in the storming, norming, performing cycle instead of cutting through it Leave the "how" to the team — the leader's job is the "why" and the "what" Don't jump to the answer — Einstein said if you have an hour to solve a problem, spend 55 minutes understanding the problem Start executing quickly through rapid experimentation; you can't plan your way to success in novel situations Don't Build the Pedestal — The Monkey Comes First "Get to the most tricky problems first, and try and solve them. If you can't, figure out fast — and if you can't, just stop, because your whole project is useless." Astro Teller, CEO of Alphabet X's Moonshot Labs, says: "If you want to teach a monkey on a pedestal to recite Shakespeare, don't start by building the pedestal." Jana explains that organizations, once they get a project through the gauntlet of approvals and business cases, start working on the easy, visible things to show progress — the pedestal. But if you can't get the monkey to speak, the pedestal is useless. The counterintuitive move: when passionate people dispassionately tell you the hard problem isn't solvable, give them hugs, put them on a pedestal themselves, give them bonuses — because they just freed up resources...