The Flow of Ideas in an Organization: Part I - The Flow

The Flow of Ideas in an Organization: Understanding the Flow

The Power of an Idea! We experience it everyday. Sadly though, many organizations struggle to utilize this power adequately. Especially established ones! Indeed, many of them find it very difficult to be even open to new ideas. 

Let's dig a little deeper into this general situation.

Let us start with a typical 'traditional' organization. Where hierarchy rules. Rules abound. Conformism is rewarded. Dissent is discouraged or even punished. And so on. You get the picture. 

Let us consider how easy or difficult it is for such an organization to learn, innovate, adapt and grow.  Consider just the above one factor - a very crucial factor nevertheless - that influences organizational growth and innovation: the flow of new ideas within the organization.

Suppose 10% of the ideas suggested by an employee A1 to his/her immediate superior A2 are taken forward by A2 to his/her immediate superior A3. (The same applies to all levels in the hierarchy).

Let there be five levels (A1, A2, A3, A4, A5) between the Head/CEO (A5) of the organization and the employees at the lowest level (A1).

Given this, with some simple arithmetic, we find that, the proportion of ideas proposed by a junior-most employee that even reaches the Head of the organization is as low as one out of 10,000!!! 

Let us now ask ourselves the following questions:

1. What would happen to the flow of ideas if the employees of such an organization realize this tyranny of arithmetic and hierarchy?
2. What can be done to improve or fundamentally alter the situation?
3. How much better can the organization potentially perform if it is able to tap into the minefield of the ideas generated by its employees?

Please note that the model employed above was a simplified one. We shall gradually refine it as we go along. Kindly watch this space for more. And do share your invaluable ideas! Thank you.