Monday, December 27, 2010

Gary Hamel is emotional

In trying to come to terms with the low score of management personnel on ethics Gary Hamel observes that the tectonic plates of individual interest and institutional interest are moving in different directions. In seeking to explain this he defines trust: "Trust is not simply a matter of truthfulness, or even constancy. It is also a matter of amity and goodwill. We trust those who have our best interests at heart, and mistrust those who seem deaf to our concerns."  He goes on to conclude that this form of trust is absent in organizations and talks of means to enrich the connection of individuals with institutions.

The line of reasoning does offer a reason for the declining ethical standards in the corporate environment but it does not fit in with my experience of the work place. Trust in the professional environment is not decided by amity/goodwill but perception of merit. The present and future have great significance in our perception of security and meaning contributes far more heavily to them than emotion. It is possible there is another interpretation of trust in the professional environment, one that provides a direction to take constructive action.

My last post emphasised the importance of Feedback to success. Feedback follows from free-flow of Knowledge in context. I surmise trust is a product of free-flow, i.e., it prevails where free-flow exists. Free-flow gives meaning to the concept of a collective - they support the free-flow by having a shared belief in it. Thus trust and teamwork are synonymous in the professional workplace. Trust and teamwork (TnT) has a very high correlation with performance. Davenport has reported a study that found a 10% rise in TnT led to a 30% rise in performance. The relationship could be local but it is an indicator.

Understanding TnT as a product of free-flow explains the decline of institutions and the growth of self-interest among the leaders. The conduct of free-flow is overwhelmed as organizations grow in size. Interactions increase geometrically with size. Their undisciplined conduct emphasises self-interest, power and politics. The opposing tectonic movement is initiated.

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