I really dig this guy's philosophy, and methodology.
For Rogério Ottolia,
who left much too early
but will stay in Semco’s heart forever.
Any Day
Asky why?
Give up control
Change the way work works
The repetition, boredom and aggravation that too many people accept as an inherent part of working can be replaced with joy, inspiration and freedom.
Instead of dictating Semco’s identity, I let our employees shape it with their individual efforts, interests and initiatives.
The obsession with control is delusion, and increasingly, a fatal business error.
I don’t want to be burdened with the 90-day mindset of most stock market analysts. It would undermine our solidity and force us to dance to a tune we really don’t want to hear - a Wall Street waltz that starts each day with an opening bell and ends with the thump of the closing gavel.
Thanks, but no thanks.
I want Semco employees to ramble through their days, to use instinct, opportunity, and ingenuity to choose projects and ventures.
The type and size of the organization is irrelevant -- that’s why Semco practices have been adopted at schools, hospitals, police departments, and large and small companies around the world.
We have 10 companies, give or take. They come and go; we’ve had a minimum of 5 for 20 years. We also have 6 internet companies, so we could claim 16 units, but we don’t know how many of those will survive, or in what form.
First, we look for complexity, which usually means ‘highly engineered.’ Everything has a high entry barrier of complexity. If a business isn’t difficult for us and for others to break into, then we’re not interested. Second, we demand that in each of our markets, we be the premium player. We want to offer a high-end product or service. That means we’re always more expensive because we provide the premium that stretches what the customer will pay. And third, we want a unique niche in the market, one that makes us a major player in any given industry.
Employees must be free to question, to analyze, to investigate, and a company must be flexible enough to listen to the answers.
Ask why.
Ask it all the time, ask it any day, every day, and always ask it 3 times in a row.
This doesn’t come naturally. People are conditioned to recoil from questioning too much. First, it can be perceived as rude. Second, it can be dangerous, implying that we’re ignorant or uninformed. Third, it means everything we think we know may turn out to be incorrect or incomplete.
Put aside all the rote or pat answers that have resulted from ‘calcified’ thinking - that state of mind where ideas have become so hardened that they’re no longer of any use. Employees must be free to question, to analyze, to investigate, and a company must be flexible enough to listen to the answers. Those habits are the key to longevity, growth, and profit.
We hate written plans. People will follow a plan like a Pied Piper -- mindlessly, with no thought as to the final destination.
We no longer grasp the difference between leisure time and being idle. Work is so intense these days, so all-consuming that it is the arch-enemy of free time. An idle, wandering mind is a garden of rejuvenation, growth and contemplation. Chores are still work - you’re just not getting paid for it, and you’re certainly not relaxing.
Technology has encroached so deeply into our lives that we must make deliberate efforts to beat it back. Divide the 7 days among company time, personal time, and idleness (free time).
Anyone who eliminates the stress of an overbooked schedule, arrange a workweek to sleep according to biorhythms and enjoy a sunny Monday will be much more productive. Employees will find equilibrium in their professional, personal, and spiritual lives. It’s a sound strategy for business success.
Work provides challenge, meaning and purpose. Human beings thrive on being productive, on working toward goals, providing for their families, and building a future -- just don’t ask them to do it all the time and without the freedom to say “Now I need time for me.”
You don’t have to like the people you work with. Respect for their performance is enough.
At Semco, people only survive by performing. All it takes is confidence that employees are responsible adults, not ignorant newcomers who know next to nothing about their jobs.
We always hope that on their own, people will discover their true calling.
Our focus is on hiring people who want to work for us because there’s a ‘click’ between their life purpose and the company’s business purpose.
‘We have no openings, but apply anyway. Come in and talk about what you might do for us, and how we might create a position for you.’
Why do the same job year after year?
Why not retire at age 40 and go back to work at 60?
Tuesday is ideal for thinking about why we do what we do. Ultimately, the answer is: to make the life trip worthwhile and to feel alive with purpose.
For work to be personally meaningful, it has to be customized to people’s talents.
Talk to employees, find out what they want to accomplish, and give them freedom to pursue their ideas.
Worker dissatisfaction and frustration are usually caused by indignation at not being heard. Money isn’t the real issue.
A company’s employees are not the enemy. They are valuable assets and worth investing in.
Survival of the fittest is really using fear as a management technique. It spawns a regime of microterror and veiled threats where managers tell employees to stay busy and keep your numbers up. You’ll get bigger numbers by nurturing employees.
When corporate behemoths park their scouts outside ivy-covered brick walls, the tough-minded students within are already well steeled for the relentless career drive that awaits them. Gone are the shy thoughtful students who can quietly outmaneuver a bombastic opponent, in favor of peers who tend to be openly aggressive, individualistic, and terror-tested, yet underexposed to teamwork, ego control, soft tactics, and compromise.
the late Rogério Ottolia - CEO of digital scale factory
At our schools, Institute for Advanced Learning, Lumiar (to shed light on), learning is based on freedom, self-determination and self-discipline, passion and love. The kids tell us what they want to learn and eat; they decide on sanctions, and do better in standardized tests than the norm.
Profit beyond the minimum is not essential for survival. If so, it can enable the owner or CEO to commission a yacht, but then employees wonder why they should work so the owner can buy a boat.
Insistence on high ethical standards is simply good for business. We think the journey through life tells us how happy we were and how true to ourselves we have been. We have a common denominator with those accompanying us on the trip, and we need to feel good about the road we have traveled.
Ask the right questions…
Do you feel like coming to work on Monday morning
Do you trust the leaders
Do you believe everything we say in our internal and external communications?
We insist on trust. We want employees to have faith in the company.
Profits must be judged as moral or immoral by how they are earned and how they are disposed.
People work for and on themselves. Sustainability and personal gratification meet profitability.
The Fortunate 500.
Why grow at all?
Why not shrink?
Why is money so important?
Judge us by what we do, not what we say we do.
Give up control and allow employees to manage themselves. Trust workers implicitly, share power and information, encourage dissent, and celebrate true democracy.
Truly sustainable profit, growth, and quality happens only when employees feel it’s worthwhile to get up for work.
No one has ever said: our common denominators are honesty, trust, and integrity. It’s a philosophy that working together for years has instilled in people. Decisions arising from debate are implemented much more quickly because explanations, alternatives, objections, and uncertainties have already been aired.
Diversity teaches us important lessons - how to listen, compromise, and communicate, how to be patient, tolerant, and resilient. Things may not go as smoothly or as fast, but maybe slowing down will let us catch our breath and see new opportunities instead of the usual blur.
MBA candidates lead to uniformity. We look for a quick analytical mind, the capacity to integrate easily, an attitude of teamwork, transparency and openness, an independent attitude, a career of deliberate and solid growth, and a sense of humor.
We try to reduce the stress the process puts on the candidate.
The maximum anyone is able to regularly interact with is a half dozen people. Groups of 6-10 people who know about each other don’t need outside control. Better to have 6 teams of 6 people rather than an unwieldy 36-member unit. Respecting nature makes for easy control systems.
It’s not a matter of size. It a question of relinquishing control, trusting workers to pursue their own best interests, sitting back and letting nature take its course.
Success doesn’t come from one person alone; it stems from collective decisions that colleagues support.
Arrogant leadership leads to irresponsible leadership.
It’s human nature to look for a savior or a father figure. Our herd mentality prompts us to line up behind them. Two things then happen to leaders when they become a hero: Employees begin to delegate upward; and the leader starts to believe his own press, which invariably portrays him as a genius.
Why not make attending meetings optional?
Why have a permanent CEO?
Every Day
Do some unexpected learning
Sit back, relax, and plan only as far as the next bend in the river
Alice in Wonderland & the Cheshire Cat
Which way should I go?
It depends entirely on where you want to go.
Anywhere as long as it takes me somewhere
In that case, any of the roads will do.
In my life, anywhere I end up is somewhere I want to be.
Twice in my life I’ve gone to an airport and only then chosen a destination. If I don’t know where I’m going, any road is interesting.
The mystery of why some people are more in touch with their intuitive faculties has something to do with the license allowed to the uninhibited use of those attributes. People have to be encouraged to act on instinct or its potency as a tool will be lost.
Power and position do not guarantee infallibility or even necessarily the best thinking.
The danger of hanging out with kooks to bring wild and crazy dreams to life is that you may lose contact with reality. But then it takes some of each extreme to create the extraordinary.
Countless important discoveries resulted from mistakes or serendipity. Including the French tarte tatin, by the two Tatin sisters who operated a little train station bistro in the village of Lamotte Beuvron.
When management heaps change on employees and it’s not in their self-interest, they withdraw their most valuable assets - passion, talent and commitment. Crippled, business resorts to ‘defense by emulation.’ This industry-wide emulation is poison.
Take the auto industry. Line up the sedans, and it’s impossible to distinguish among them unless you happen to own one. Why? Because their designers all learned from the same books, went to the same schools, meet at the same conventions, attend trade shows together and focus unduly on their competition.
Change works well only if it is a nonissue. An organization that constantly and artificially coaches its people to change is like a Darwinist shouting to a giraffe: Stretch that neck!
Global companies don’t practice democracy. Lenin and Stalin’s form of communism is gone, but its trappings have been expropriated by mega-corporations. State monitoring, central planning, mission statements…
At Semco, we are sustainably out of control -- in both practice and theory.