Organizational Results Pyramid

Whatever outcomes an organization experiences are almost always the result of the system's design—and variations in outcomes are almost always the result of common causes of variation. Recognizing this, we state Leadership Institute Principle Number One and its two vital corollaries:

Every organization is designed, intentionally or unwittingly, to achieve precisely the results it gets.

It is impossible to change outcomes long-term without remodeling structural elements within the immediate business ecosystem.

When remodeling elements, you must exercise utmost care not to damage what is properly designed and working well.

Each block in the organizational results pyramid is the direct product of the block below. Block number four frequently is unknown and thus disregarded in efforts to improve organizational performance. Listed in this block are some prominent structural elements.

Failure to determine key structural elements when remodeling organizational systems can thwart the best laid plans. Either the desired outcomes fail to take place, or oscillation between progress and retrogression occurs over time.

However, the right skills, knowledge, strategic plan, goals, et cetera—without an environment of trust, mutual respect, and joy in work—will be of little use in the quest for peak performance. Structural elements are a vital key to creating the trust environment.

Poorly designed elements are the result of a failed strategic thinking process and lack of understanding of structural elements. Correcting these deficiencies is the best hope of sustained organizational success.