OKR methodology
Cultural Dynamics and OKR Implementation: Finding the Right Color Match
1. "In our attempt to implement OKR (Objectives and Key Results) in our company, we encountered significant resistance. Employees were reluctant to set ambitious goals, often stating, "We have a plan and we follow it. What more do you want?"
2. "In our startup, OKR was the driving force—until we were acquired by a larger corporation, where it all fizzled out as plans were imposed on us. Interestingly, some team members left, despite being offered higher salaries."
3. "Our company owner was inspired by the phenomenal results of OKR he heard about at an entrepreneurship forum. He hurriedly implemented it, pushing us to set extremely ambitious goals. When things didn’t go as expected, he set the goals himself, raising the bar so high it became unachievable."
These stories are not unique. I often hear similar tales from companies attempting to adopt OKRs, even after conducting training sessions myself, only to watch the initiative falter. What’s common here? It seems the organizational culture, especially that of its leaders, was not compatible with the OKR framework. They were simply on different levels of Spiral Dynamics. By recognizing this, practical conclusions can be drawn: either refrain from initiatives that are ill-suited or use this understanding to guide gradual change.
Though familiar with Spiral Dynamics for about 15 years, it only recently became clear that this might explain some OKR implementation failures. Upon retrospective analysis of client stories, I found vivid confirmations.
You might recognize the term "Teal organization," made popular by Frederic Laloux in his book "Reinventing Organizations" and embraced by the Agile community. However, I'll refer back to the original model described by Don Edward Beck and Christopher C. Cowan in "Spiral Dynamics: Mastering Values, Leadership and Change," based on research by Clare Graves. I was fortunate to attend a workshop by Don Beck himself.
Below, I’ll outline the basic framework (if you’re familiar with Spiral Dynamics, feel free to skip this section) and then share insights on successfully applying OKR and other agile approaches.
Though familiar with Spiral Dynamics for about 15 years, it only recently became clear that this might explain some OKR implementation failures. Upon retrospective analysis of client stories, I found vivid confirmations.
You might recognize the term "Teal organization," made popular by Frederic Laloux in his book "Reinventing Organizations" and embraced by the Agile community. However, I'll refer back to the original model described by Don Edward Beck and Christopher C. Cowan in "Spiral Dynamics: Mastering Values, Leadership and Change," based on research by Clare Graves. I was fortunate to attend a workshop by Don Beck himself.
Below, I’ll outline the basic framework (if you’re familiar with Spiral Dynamics, feel free to skip this section) and then share insights on successfully applying OKR and other agile approaches.
Spiral Dynamics
Spiral Dynamics, crafted by Don Beck and Christopher Cowan, illustrates human development through evolving values and worldviews. It's a dynamic spiral pattern highlighting several value systems or "memes" that respond to life’s changing conditions, ranging from basic survival to complex integrative thinking. These are manifested across personal, cultural, and organizational contexts.
Here's a concise outline of each stage in organizational development and leadership:
First Tier:
- Beige (SurvivalSense): Focus on survival. Leadership ensures immediate need fulfillment and safety.
- Purple (KinSpirits): Traditions and rituals prevail. Leadership fosters loyalty and group harmony.
- Red (PowerGods): Assertive power and quick decisions characterize this stage. Leadership is authoritarian, aiming for dominance.
- Blue (TruthForce): Structure and order are paramount. Leadership is authoritative within a hierarchical system.
- Orange (StriveDrive): Driven by innovation and success. Leadership promotes autonomy, strategy, and efficiency.
- Green (HumanBond): Emphasis on equality and collaboration. Leadership is participative, fostering communication.
Second Tier (rarely seen organizations):
- Yellow (FlexFlow): Values adaptiveness and systems thinking. Leadership is integrative and competence-focused.
- Turquoise (GlobalView): Understands interconnectedness with global responsibility. Leadership emphasizes shared consciousness.
Here's a concise outline of each stage in organizational development and leadership:
First Tier:
- Beige (SurvivalSense): Focus on survival. Leadership ensures immediate need fulfillment and safety.
- Purple (KinSpirits): Traditions and rituals prevail. Leadership fosters loyalty and group harmony.
- Red (PowerGods): Assertive power and quick decisions characterize this stage. Leadership is authoritarian, aiming for dominance.
- Blue (TruthForce): Structure and order are paramount. Leadership is authoritative within a hierarchical system.
- Orange (StriveDrive): Driven by innovation and success. Leadership promotes autonomy, strategy, and efficiency.
- Green (HumanBond): Emphasis on equality and collaboration. Leadership is participative, fostering communication.
Second Tier (rarely seen organizations):
- Yellow (FlexFlow): Values adaptiveness and systems thinking. Leadership is integrative and competence-focused.
- Turquoise (GlobalView): Understands interconnectedness with global responsibility. Leadership emphasizes shared consciousness.
OKR
OKR naturally aligns with certain stages. Its aspirational and stretching goals resonate with the Orange level, while the autonomy and self-organization in setting OKRs reflect Green. Yellow would be ideal but remains uncommon. Hence, the corporate colors of OKR Academy are Orange and Green.
In examples observed:
1. Attempting to impose OKR on a Blue organization disrupts established routines and structures.
2. An Orange startup, once acquired by a Blue corporation, struggles to maintain its dynamism.
3. Small and medium business owners may waver between Orange and Red, often leaning Red during crises. Here, a superficial desire to be "modern" conflicts with power-driven behavior.
Organizations embody multiple levels like nesting dolls, yet dominant stages, especially at management, are often singular or neighboring. Experience shows that without a stable Orange and emerging Green level, OKR implementation is unlikely to succeed. External changes (crisis or ownership shift) that introduce Red or Blue leadership can undermine OKR success or transform it into something else, despite retaining the name.
Therefore, as an OKR coach, encountering resistance might mean evaluating your organization’s prevailing culture.
Can it change? Gradually and strategically, yes, beginning with the leadership team. Although slow, OKR application can indeed cultivate a more Orange-Green culture over time.
I wish you success, and I invite you to share your observations in the comments in Linkedin!
In examples observed:
1. Attempting to impose OKR on a Blue organization disrupts established routines and structures.
2. An Orange startup, once acquired by a Blue corporation, struggles to maintain its dynamism.
3. Small and medium business owners may waver between Orange and Red, often leaning Red during crises. Here, a superficial desire to be "modern" conflicts with power-driven behavior.
Organizations embody multiple levels like nesting dolls, yet dominant stages, especially at management, are often singular or neighboring. Experience shows that without a stable Orange and emerging Green level, OKR implementation is unlikely to succeed. External changes (crisis or ownership shift) that introduce Red or Blue leadership can undermine OKR success or transform it into something else, despite retaining the name.
Therefore, as an OKR coach, encountering resistance might mean evaluating your organization’s prevailing culture.
Can it change? Gradually and strategically, yes, beginning with the leadership team. Although slow, OKR application can indeed cultivate a more Orange-Green culture over time.
I wish you success, and I invite you to share your observations in the comments in Linkedin!
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