Built upon a rigorous theoretical base, Stratified Systems Theory, Requisite Organization relates all aspects of leadership, work and human resources in a unified total system.
I couldn't finish this book. It is full of old-fashioned management 1.0 thinking. Examples: The higher the manager the better his capabilities should be. Managers are the only ones qualified to do performance appraisals. Only managers should be allowed to hire people. Etc...
My biggest problem with the book is that it claims to be based on science, which is nonsense. The insights from complexity science and systems thinking reveal totally different needs. For example, the author claims we need accurate definitions of terminology in business, just like in physics. But from science we know this to be impossible. The more complex the system the fuzzier the terminology will be. There's no way around that. Terminology in social systems is necessarily the fuzziest.
I give the book 2 stars because there are a few quotes that I liked. For example, "We can agree to be creative and innovative. But the question is how to create the conditions to make it possible to be so." That's one of the few pieces of text I could agree with.
Oh, and the style of writing is terrible. The text consist of nearly a billion bullet points.
4/30 I don't hate it, but I don't particularly love it either. Requisite Organization Action Guide for Managers & Founders I. Build Structure Around Levels of Work (Strata)
Every role has a maximum time span for which it must make judgments (days, months, years). Assign roles based on decision complexity, not seniority or personality. Avoid hierarchy bloat: 7 strata max in any organization. Most orgs need 3–5.
S1 – Day-to-day tasks (hours–days) S2 – Coordinating tasks (weeks–3 months) S3 – Managing systems (1–2 years) S4 – Building functions (2–5 years) S5–S7 – Strategic or societal-level systems (rare outside large institutions)
If you demand S3 thinking from an S1 role, you will burn people out. If you place S4 thinkers in S2 work, they will disengage.
II. Clarify Accountability—No Ambiguity Managers are 100% accountable for: The output of their team The quality of their team’s decisions Creating conditions for success (tools, clarity, coaching) Removing obstacles and ensuring cross-functional flow
Employees are accountable for: Doing the work Exercising judgment within their role’s time-span Speaking up when blocked If everyone is accountable, no one is. RO insists on sharp lines.
III. Managerial Leadership = 3 Things
Set Context Define the purpose of the role: Show how it links upward and sideways/ Give clear quality standards Provide Resources: Budget, equipment, people/ Access to expertise/ Clear processes Coach Capability: Evaluate judgment, not personality/ Increase delegation as capability grows/ Remove or redesign roles that don’t fit the person
IV. Always Match People to the Work
Use this simple test:
✔ Does the person understand the work? ✔ Can they make decisions with the required time-span? ✔ Do their values align with the role’s demands?
If 2 of 3 fail, change the role or move the person. Wrong-fit roles cause 80% of organizational dysfunction.
V. Eliminate Compression and Gaps Compression = two layers doing the same job → confusion Gaps = no one is accountable for a layer of decision-making → drift or paralysis
VI. Create Requisite Teams A team is “requisite” when: Roles cover all needed strata for the mandate Each member knows their accountability and authority Cross-functional dependencies are explicit—not assumed The manager holds final accountability
Avoid: committees without authority “flat” teams with hidden hierarchies role ambiguity masked as empowerment
VII. Compensation = Level of Work
Pay should reflect: Time-span of the role Market norms The capability required
Never pay people for longevity or “busyness.” Pay for decision complexity.
VIII. Talent Development = Building Capability Over Time
Capability grows slowly and predictably. To grow people:
Give assignments one stratum above their current comfort zone Monitor decision-making, not effort Remove them quickly from roles that overwhelm their time-span Reward growth with expanded accountability, not just titles
IX. Culture = the System You Actually Run
Culture is not words on the wall. It is: Role clarity Managerial competence Consistency of accountability Fairness in matching people to work Predictability of decision-making
If these 5 are healthy, culture will be healthy.
X. The Ultimate Requisite Checklist for Any Organization
Right number of layers
Clear roles with clear time-spans Managers accountable for output Right people in right roles Compression removed Gaps filled People paid for level of work Real coaching in place Cross-functional clarity A system that scales upward cleanly
No executive in business or government should be taken seriously unless they are armed with this book. It is a beacon to realizing economic development and trust-inducing workplaces. It represents the true beginnings of the end of management alchemy.