Category Archives: Work Culture

How perfectionism can keep your organization from succeeding

Screen Shot 2015-04-18 at 11.25.57 PMFrom the mailroom all the way to the C-suite, employees have developed an exceptional capacity for reading between the lines.  The boss or the shareholders may say they want innovation, but the unspoken message may be, “but only if it’s risk-free.” If we want innovation, we have to tolerate risk, and we have to make it safe for our employees to take those risks.  When corporate leaders make it clear in their words and actions that employees aren’t expected to be perfect–that “mistakes” are not only acceptable, but are indeed just part of the process of getting to winning ideas and products–then employees can relax in a way that supports their own creativity.  And when employees get creative, innovations can happen.

Cirque du Soleil, which reinvented the traditional slow-growth genre of the circus and in doing so became a multinational company with four thousand employees, twenty simultaneous shows running worldwide, and one hundred million spectators in less than twenty-five years, embraces risk taking and sees occasional failures as simply part of the creative process.  In an interview, Lyn Herward, president of their Creative Content Division, explained that at Cirque du Soleil “employees are offered the protection and support that they need to take risks on the company’s behalf.”  Successes and failures are seen as the result of a team effort, and this reduces the fear or shame that is associated with personal failure.  As a result, individuals feel encouraged to take risks and even protected from adverse consequences.

Making failure an acceptable part of the creative process is also a core value at Mango, a men’s and women’s fashion company.  Founded in 1984, Mango now has the biggest design center in Europe in a highly competitive industry, and is present in ninety-one countries, with 1,220 stores and 7,800 employees.  Mango explicitly promotes, “the practice of a culture of mistakes” in their written policies, or more explicitly, ”our organization encourages a climate of trust and communication, working in teams, and learning from our mistakes.”  They acknowledge that the final design for a dress does not always manifest in the designer’s first draft.  And they go as far as to recognize that not every single final design of the eighty million articles shipped out throughout the globe will necessarily become a success.  Mango executives know it is essential to acknowledge this important part of their business, because not accepting it and denying the possibility of human error can become very stifling to the creative process of fashion designers.

Excerpted from The Intuitive Compass, Jossey-Bass, 2011.

How Your Office Space Can Affect Creativity and Innovation

Space affects moods. Screen Shot 2015-04-13 at 10.57.56 PM A beautiful space can make people happy; a small cramped office can make them feel depressed.  But more important, space also affect behaviors and communication.  Open space offices allow an easier flow of communication among team members and can convey a strong feeling of belonging, but they also can make it harder to focus.  Separate offices allow for more privacy and concentration but can easily create silos that separate people and teams.  Depending on what you’re trying to achieve, you need to be ready to manage space not only from a budgetary standpoint but also from the perspective of what it is your creative teams actually need in order to be creative and in a position to deliver the level of innovation your company needs.  To achieve this, some companies will have to literally give away space–that is, to sacrifice space for its positive impact on the environment, the company culture and ultimately the creative output.

Office space is an expensive commodity, especially in the world’s most competitive markets, and historically offices have been designed and furnished to maximize administrative efficiency and minimize facility costs (private offices only for senior executives, “cube farms” for lower-ranking personnel).  But today companies are looking at efficiency differently, and consequently they are looking at space differently.  They are looking for ways to maximize the creative output of their employees, and from that viewpoint the most efficient use of space is one that supports creative interactions.  For example, Pixar’s California headquarters–where bathrooms, mailboxes, and meeting rooms are clustered at the center of the building–are designed to ensure that employees from different divisions of the company are certain to run into each other throughout the day.  This facilitates informal and random conversations among diverse team members and allows creative ideas and collaborations to be born.  I once had a client who wanted to close off an open space in their New York City offices; I struggled hard to convince them otherwise.  The company needed more private meeting rooms.  Moving out of their existing facility was not an option, nor was renting another floor, so the president of the company wanted to build elegant glass walls to enclose what in his opinion was wasted space. 

My observation was quite different.  The open space, which offered an inviting round table nestled by a large staircase, was the only place in the office where different members of the product development team would spontaneously sit to discuss their projects.  Account managers would stop there after coming back from client meetings to share the latest developments about those clients and their projects.  In other words, it was the perfect spot for an informal communication and feedback loops.  In the end, the precious open space was saved in spite of financial pressures.

Excerpted from The Intuitive Compass, Jossey-Bass, 2011.

 

Get Past Inertia (Part One)

Arie de Geus, an ex-Shell executive turned consultant, has researched why certain companies over one hundred years old have been so successful. The twenty-seven companies he studied were able to successfully get past inertia, sustain themselves, and grow over time. They managed to withstand economic changes while staying true to their mission, without resorting solely to the tactic of acquiring companies to stay afloat in their market. He found three characteristics common to these successful companies:

Once we start moving in a certain direction or doing something a certain way it is hard to stop or change. That is inertia. And while this is true for individuals, it is even stronger in a group dynamic. If you want to innovate, you need to change. And in order to effect change you need to overcome the natural tendency toward inertia.

Arie de Geus, an ex-Shell executive turned consultant, has researched why certain companies over one hundred years old have been so successful. The twenty-seven companies he studied were able to successfully get past inertia, sustain themselves, and grow over time. They managed to withstand economic changes while staying true to their mission, without resorting solely to the tactic of acquiring companies to stay afloat in their market. He found three characteristics common to these successful companies:

  1. They practice fiscal conservancy.
  2. They are open to new ideas from both inside and outside the organization.
  3. They have established a strong community of values that resonates with their employees, making them feel they can take risks and not be fired if they don’t succeed—the feeling of belonging to a community helps overcome the fear of failure and the anticipation of potential negative consequences at a personal level.

Although point one relates to classic best practices in business, points two and three tell us why play—something not in the typical business best-practices toolbox—is key in a work culture in ensure the longevity of an organization. Openness to new ideas and a fundamental level of trust are inherent in a playful atmosphere, and play is an essential ingredient in generating innovative ideas.

Excerpted from The Intuitive Compass, Jossey-Bass, 2011.

“Intuitive Intelligence” on iTunes U: Top Download

The “Intuitive Intelligence” conference I put together for HEC MBA – first business school in Europe per FT ranking over the past 5 years – has become one of the top global downloads for iTunes U.

You can download it for free >>
iTunes U gathers more than 250,000 free podcasts of lectures, films, interviews from 600 prestigious universities and institutions from all over the world. The weekly statistics provided by Apple, routinely show 60,000 to 70,000 visitors. Read More

Intuitive Decision-Making: How Google Bought YouTube

How does an analytic company like Google make its
most important
decisions?

 If we are to believe the Google myth, we learn,
first and foremost,
that they test everything:

We test everything at Google. While Read More

The Strategic Role of Human Resources in the New Economy

A while back, I published a short article on the strategic role of Human Resources in the new economy.  The article: Le rôle stratégique des DRH dans les 10 ans à venir is in French, but since I get so many requests to talk about this issue, I’ve translated it here for you.  The main point I’m making is that in today’s disruptive economic climate, HR can and must become a critical differentiator.

The strategic role of Human Resources in the coming years

To generate creative added value is one of the surest ways for companies to win in the global competition today. Innovation is the new imperative. Read More

Les Echos: Les neurosciences au service de l’entreprise

A short article in Les Echos:

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Translated:

Another way to manage and lead
Neurosciences in the service of business

Francis Cholle author of L’Intelligence Intuitive recommends to executives to combine their analytical mind with their intuitive aptitudes to gain further consumer insight and improve business performance.

From our correspondent in the Sillicon Valley, Laetitia Mailhes

For beauty and fashion executives time has come to reconsider every aspect of business. “The economy is changing consumers’ behaviors, independently from the evolution of incomes, explains NY Fashion Institute of Technology Professor Stephan Kanlian. To open their wallet consumers today want more than brand prestige. They demand more and more added value and a greater match between products they buy and their own values.” But the business community is not well prepared to adapt to such a radical change.

“Obsession for financial return has led leaders to often forget they share a common humanity with consumers,” says Francis Cholle, author of L’Intelligence Intuitive, innovation consultant for large corporations and advisor to their C-Level executives. A graduate of the best European business school, HEC (Ecoles des Hautes Commerciales) Francis Cholle insists that sustainable value creation requires the necessary synergy between analysis and ROI on the one hand and play and instinct, on the other (see graph below of The Intuitive Compass™).

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The role of intuitive intelligence

“Neuroscience showed in 2005 that parts of our brain traditionally associated with our instinct are involved in our most sophisticated decisions” says our expert in reference to MIT Picower Institute for Learning and Memory research on our reptilian brain aka instinctual brain, published in the  scientific journal Nature. “It is very noticeable in consumer behaviors. For this exact reason if a company wants to understand its market and meet its expectations, it is necessary that they  understand how intuition works and integrate an intuitive process in their business approach,” adds Francis Cholle. His message is well received. “My daily conversations with Francis Cholle greatly deepen my thinking at a particularly critical time for our company” says Ralph Lauren Fragrances and Beauty President Guillaume de Lesquen, based in New York to orchestrate the brand development on the world stage.

Long before the economic recession Francis Cholle started to advocate the role of intuitive aptitudes and their impact on value creation. Biotherm for Men global marketing director, Charles Haddad is quite satisfied that he could attend one of Francis Cholle’s seminar and acquire tools that explain in a simple language many key aspects of brand development and marketing that he could confusedly feel but could not clearly understand even less so replicate. Today Charles Haddad  encourages in his team ” free and spontaneous communication. We then select what we feel is relevant”. “It is not about leaving behind our marketing objectives but rather about dissolving automatic censorship mechanism often inherent to corporate structures.”

Armand de Villoutreys, CEO of Firmenich in Paris and president of Firmenich Fine Fragrance World Division, asserts that he has “learned to approach differently his leadership role in a creative corporation.” And it showed very tangible results! “We started four years ago to integrate into our management practices the principles of Intuitive Intelligence,” says the French executive. “We have been happy to see an accelerated growth of our financial results across continents well above market average.”

© Les Echos n° 20486 dated 08-13-2009 p. 06 (Authorized translation by Peter Camo)

Case Study: Creativity versus Results at L’Oréal

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According to a recent report in the Wall Street Journal, L’Oréal SA, the world’s largest cosmetics maker, reported flat sales
for the first quarter of 2009 as consumers shied away from its luxury
skin creams and shampoos in favor of its cheaper brands. The maker of products ranging from Giorgio Armani perfume to Lancôme
skin cream and Maybelline eye shadows said sales increased 0.3% to
€4.37 billion ($5.83 billion) in the first three months of 2009.
Jean-Paul Agon, L’Oréal’s chief executive, said that he would not offer
specific guidance for the year but that results would “improve” during
2009.

After accounting for the effect of currency fluctuations, sales fell
9.3% in Western Europe and 5% in North America. This shortfall was
partly offset by an increase in revenue in Asia.

Sales at L’Oréal’s luxury cosmetics division fell, while sales of its consumer drugstore lines increased slightly.

This is an unfortunate turn for L’Oréal which has always been known for its commitment to scientific research and exceptional financial results.

In fact, you might say there is an unresolved tension in its culture between creativity and business results. This tension is visible even on its website. If you read about the “profiles they are looking for” under the marketing category, here’s a description you’ll find:

Creativity, imagination, openness to new ideas – coupled with the highest professionalism.
• Project-oriented, natural team player, at ease working with others in an environment of entrepreneurial challenge.
• Global-minded, flexible, able to juggle multiple priorities.
• Strong analytical thinker, excellent communicator.

You have a keen eye on the latest fashions, a finger on the pulse of emerging consumer and cultural trends. Highly developed interpersonal skills, a passion for results. The personality to make a difference.

Diagnosis: L’Oréal – When East dominates West…                

For the past few years I have been working with L’Oréal to change this dynamic.

The challenge: help marketers and managers develop a sensitivity to the creative nature of the beauty
product development process and specifically gain an understanding
for the process of research and development.

When the cosmetic group decided to develop a world wide talent appraisal process Sir Lindsay Owen Jones articulated the need to develop a competence key to the success of the group in the eye of the CEO, and that is: sensitivity to métier. What Sir Lindsay Owen Jones was aiming for was to develop a global, shared understanding for beauty products development, for L’Oréal customers, and for a number of other confidential important characteristics identified by the CEO as key factors for success in the beauty industry.

The Human Company was commissioned to research how to define this specific aptitude and how to develop it and train for it. We developed an international training track that is seen today as one of the most successful and inspiring training program available at L’Oréal.

Our approach consists in helping marketers understand how to engage and inspire creative people to contribute the best of their creativity.  We used the The Intuitive Compass™ to highlight the tension between results-driven managers and creative teams.

compass_loreal.gif

Our analysis: L’Oréal has a product innovation driven business model whereas most of its competitors have often a market-driven model. The company believes in scientific innovation to promote growth. Its founder was a scientist. It is how L’Oréal sustained 20 years of double-digit growth and became the world leader in cosmetics. There is, as I mentioned earlier, a tension in its culture between creativity and business results.

Results: We helped L’Oréal’s teams understand the perspective of the different teams.  The creative teams learned about the business aspects they had neglected, while the managers and marketers were helped to understand the creative process. The bridge is intuitive intelligence. Our training program is seen today as one of the most successful and inspiring training program available at L’Oréal. (Average rating: 19.5/20) because it is very relevant with the innovation imperative prevailing in the beauty Industry, articulated by the CEO Jean Paul Agon in his mandate. 

FIT: New Intelligence for the New Economy

I just got back from delivering the keynote at the Fashion Institute of Technology‘s 2009 Capstone Presentations and Graduation Reception.

Over the past few weeks, I’ve seen how teams of students have used the ideas we discussed, both on creativity and applied intuitive intelligence, to learn more about the possibilities for exploring new avenues for growth. They are full of enthusiasm and passion for their work – and that is what true education is about. May they keep the fire with them always!

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Thanks to everyone for such a wonderful evening: FIT’s Dr. Joyce Brown and Professor Stephan Kanlian, our gracious hosts;  my industry colleagues: Karen Grant, Marc Gobe, Candace Corlett, and Mark Pritchard; and of course, Ellen Byron from the Wall Street Journal.

And most importantly, thank you to the students.  Yours is the task of building a tomorrow that keeps us alive, hopeful, and yes, sometimes, truly joyful!

My keynote presentation is available here >>

About This Blog: Using Intuitive Intelligence to Create Sustainable Business Value

When I first became involved in researching intuitive intelligence and its relationship to business, I was surprised to discover the disconnect between what leaders wanted to doinnovate and create sustainable valueand what they actually accomplishedscarce innovation and unsustainable value.Often they were doing everything right (by the book) and still failing.As I studied the root cause of these failures, a common thread appeared over and over again, and still appears today. Executives manage their companies in analytic ways, focusing on shareholder value. By focusing on the business results, they fail to do what is required to achieve the very results they desire. They can’t engage their key stakeholders, whether employees or customers.

Two essential truths about human nature are deeply overlooked in most companies:

  • Our minds are essentially unconscious (80% of our grey matter is dedicated to subconscious thinking)
  • Play gives access to our unconscious

Now we know that:

  • Most
    innovative solutions are limited by our analytical minds, because our
    analytical mind knows only what it knows
  • Creativity originates in our unconscious. Breakthrough ideas often elude the rational mind
  • People can rise above their perceived limits when they are inspired

Our western approach to
education, work, collaboration, or solutions for the future is
dominantly led by rational thinking. We have handicapped ourselves.

Our intuitive aptitudes enable us to notice and take in information which may not make
sense to the rational mind. This is our gateway to new and paradoxical
information. They are the conduit to creative ideas.

Intuitive intelligence is the ability to combine
our analytical mind with our intuitive aptitudes to solve problems
in an
innovative way and succeed in the new economy.

Because we now live in a network
based society consumers have gained an active voice in our businesses.
Relationships with consumers are on a reciprocal basis. We need to
speak to their minds, their emotions and their guts. Authenticity is now
at the heart of commerce. Advertising is about creating relevant narratives for
consumers as much as it is about factual information about products and
services.

We must respect our ecosystems and understand that business is part of an interconnected global web.

These are the primary reasons why I authored the book Intuitive Intelligence, and its application model The Intuitive Compass™.

In this blog I will share my ideas and findings about how to use intuitive intelligence to innovate and create sustainable value in order to succeed in this new, ever-shifting economy.

We’ll look at how and why our intuition is often a better guide to problem-solving than reason alone.

We’ll explore ways to use The Intuitive Compass™ and make a difference – in business strategy, leadership, innovative work culture, consumer intelligence, and product development.

Won’t you join us on this journey?