Monday, June 20, 2016

A633.3.3.RB_PALUGODCAROLYN



I have decided to research a Canadian-based company called Precision Nutrition which is a “research-driven, web-based coaching community” (Precision Nutrition website, n.d.).  It is no secret that the health industry is a lucrative business and competition is very aggressive.  Everyone wants to lose weight and get fit.  There are books, websites, local programs, online programs, college programs and seminars that all compete to offer health-related services.  Precision Nutrition was created because there was a strategic need to revamp the nutrition and fitness industry.  To answer the dilemma of yo-yo dieting, fad diets and other fitness crazes that did not deliver results, the company Precision Nutrition was created (Precision Nutrition website, n.d.).

What makes this company stand out is that they practice a concept called Holacracy which is “a new way of running an organization that removes power from a management hierarchy and distributes it across clear roles. The work can then be executed autonomously, without micromanagement” (Holacracy website, n.d.).  Some of the key features of this company is the use of diverse “world-class coaches, counselors, physicians, nutritionists, health scientists, technologists, and creative thinkers” from all over the world that provide personalized coaching services on health and fitness.  (Precision Nutrition website, n.d.).   Holacracy differs from traditional management because first of all, titles are non-existent and are instead replaced by roles (Precision Nutrition, 2014).  This is one of the characteristics of a holacratic business model.  “Roles are defined around the work, not people, and are updated regularly” and employees will hold multiple roles (Holacracy website, n.d.).  Whereas in traditional companies, the work is “organised along functional specialisms” and “therefore the specialisms do not really talk to each other as this is left for higher leadership” (Obolensky, 2014, p. 23).  Strategically, this business model flattens the organizational structure and gives power back to the employees.  For example, complex decisions are not made by some upper-level manager who is four tiers removed from the actual problem.  Instead, Phil Caravaggio, explains that complex decisions are made by “the person in the best possible position to make that decision” (Precision Nutrition, 2014).

My organization does have a more traditional organizational structure.  We follow a hierarchal format with each region being run by a leadership team.  I answer to my boss, who answers to her boss, and so on and so forth.  Because I am on the lowest end of the pyramid, I am not aware of what goes on at the higher levels of our organization.  They make it very clear to us that we do not need to be implicated in those decisions.  Our organization works on a “need to know” basis.  Although we do have opportunities to present our opinions, thoughts and ideas during conferences and townhall meetings, I am not sure how much weight our feedback carries on an individual basis.  However, the cumulative feedback from each individual and campus, if noteworthy enough, is considered and I have experienced the changes that this feedback has affected.  

I feel my organization could benefit if it embraced a more complex adaptive system (Obolensky, 2014).  The mere environment that we work in is complex and dynamic.  Embry-Riddle Worldwide has over 150 campuses.  Each campus has its own unique problems due to geographical, political and procedural differences.  For example, some campuses are more restricted on how they market their courses then others depending on which military installation they are on and which military branch they are serving.  It is almost impossible to have all the same policies and practices on each campus due to these differences.  Although the ERAU Worldwide campus does have a set of general policies and procedures that governs all of us, many other strategic decisions we make (especially when it comes to marketing or classroom courses) must be catered to the restrictions of each campus.  In this aspect, I sometimes feel that giving each campus a little more autonomy and ability to make decisions would help us grow and would help reduce a lot of the frustrations we have dealing with our leadership teams.  The decision-making process can also sometimes be slow as we have to follow the proper chain of command.

I feel that the appropriate actions our organization should take to move forward towards a more complex adaptive system would be a complete restructuring of the roles of each employee.  Unfortunately, our organization has its roots in a very military-influenced environment, with a large percentage of the organization being ex-military, making even a change from a functional silo stage to a matrix stage more complicated (Obolensky, 2014).   However, one feature of the complex adaptive system that I have noticed our organization implement is the use of teams.  We are no strangers to forming teams for specific goals which then dissipate once the goal has been met.  For example, my Director is currently part of a dynamic team that is in charge of creating a New Employee Hire Standards manual. The team is formed by a diverse group, each contributing their knowledge and experience to create this manual.  There have been many other teams that have been formed for different functions and to attack different problems within the organization.  I think a move towards using more team-based strategies would definitely move the organization towards the right direction.  

I think another improvement the organization could make is a move towards more transparency.  Sometimes, especially those of us on the bottom, feel that we are the last to find out about changes that could directly affect us.  It feels sometimes like there is a shroud of mystery surrounding the organization and it can lend itself to a lack of trust with leadership.  But this is to be expected from a very top-down traditional business structure.  Obolensky (2014) explains the importance of clarity when it comes to strategy.  According to Obolensky (2014), “clarity means that everyone in the organisation understands the overall big picture strategy and how they fit within it” (p. 29).  

In conclusion, I feel that it will take some drastic changes to move our organization towards a complex adaptive system given the dynamic differences in geography as well as the social and political differences within the 150 locations.  An entire restructuring of the entire culture of our organization would have to be considered before making that drastic kind of transition.  For now, we are slowly making small progressive steps such as becoming more financially transparent, formation of strategic teams to address particular issues and the unification of all the campus through streamlined processes and procedures.


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