From Machines to Human Systems: A Paradigm Shift for Organisations

For over a century, we’ve accepted the notion that organisations should operate like machines — stable, controlled, optimised for predictability.

This machine-like perspective has guided the design and management of businesses, emphasising efficiency, consistency and control.

While this approach has been effective in achieving certain objectives, it has also brought significant costs.

In today’s world, where change and tech advancement are increasingly rapid, the economy struggles and people's values and expectations are evolving, the cracks in this machine-like model are becoming evident.

Organisations are often slow to adapt, limited by silos and stifled by bureaucracy. They struggle to tap into new pockets of value, and the full potential of their talent remains unrealised.

Employees become disengaged, and while these organisations may be performing, they may struggle to reach new heights as the world continues to change.

To address these 'cracks', companies put significant energy and resources into treating the symptoms. Yet efforts fall short because they fail to address the root cause: The outdated blueprint of 'organisation = machine'.

Is there a different way to think about organisations — a way that could unlock a new level of performance and engagement in today's world?

Shifting the Perspective: Organisations as Living Systems

The truth is, the 'machine' is not the only blueprint for how we can design and manage organisations.

My (and others') belief is that we should see organisations more like living, human systems — inherently dynamic, self-regulating and responsive to their environments.

Unlike machines, living systems are continuously evolving. They sense and respond. They are not closed off from the world; they are interconnected with and influenced by the ecosystem in which they operate. For organisations, this ecosystem includes not only internal teams but also partners, suppliers, society at large and the planet.

Viewed like this, can we unlock new potential and resolve some of the long-standing problems we have come to expect as 'part of work'?

This shift in thinking is gaining traction among forward-thinking organisations and leaders. One prominent example is Buurtzorg, a Dutch healthcare organisation that has gained international attention for its innovative approach to healthcare delivery.

Buurtzorg operates with a highly decentralised, self-managed structure where small teams of nurses are empowered to make decisions locally. This approach has resulted in higher patient satisfaction, lower costs and a more engaged and motivated workforce.

Viewing organisations through this lens, the shortcomings of the machine model become clear. The rigidity and inefficiency of hierarchical structures and disempowerment of employees stands in stark contrast to the flexibility, collaboration and empowerment that a more human system-like view.

The solution lies not in tinkering with the machine but in fundamentally rethinking the nature of the organisation itself, thereby becoming more agile, innovative, productive and able to chase new value.

The Nature of Human Systems: Fluid, Connected, and Purpose-Driven

Human systems are inherently responsive. They are not bound by rigid structures or fixed, super long-term strategies; instead, they adapt and evolve based on the needs of the environment around them and people within them.

This flexibility allows them to innovate, collaborate and respond to change in ways that machine-like structures simply cannot.

At the heart of this paradigm shift is the recognition that organisations are made up of people.

And people are not cogs in a machine; they are complex, emotional and social. They thrive in environments where they feel a sense of belonging, where their contributions are valued, and where they are empowered to make decisions and take action.

Purpose

In a living system, purpose is the north star that guides the organisation. It’s not just a statement on a wall or a page in a strategic plan; it’s the driving force behind every decision and action. When purpose is deeply embedded in the culture of an organisation, it provides a shared sense of direction and meaning for everyone involved. It’s what aligns individual goals with the collective mission and what motivates people to go above and beyond in their work.

Patagonia, an outdoor clothing company known for its commitment to environmental sustainability, has a well-known purpose-driven approach. This is not just a marketing slogan; it drives every aspect of its operations, from product design to supply chain management. By embedding its environmental mission into the core of its business, Patagonia has built a loyal customer base and a strong, engaged workforce.

Belonging

Belonging is a fundamental human need, and it’s especially important in the context of a human system. When people feel like they belong — when they feel seen, heard, and valued — they are more likely to engage fully with their work and with their colleagues. This sense of belonging fosters collaboration, trust and a willingness to take risks, all of which are essential for innovation and growth.

In a machine-like organisation, people often feel isolated or siloed, but in a living system, they are part of a connected and supportive community.

The power of belonging is evident in the success of Zappos, an online shoe retailer renowned for its strong organisational culture. Zappos has consistently prioritised creating a workplace where employees feel a deep sense of belonging and connection. This emphasis has led to high levels of employee satisfaction, low turnover rates and exceptional customer service, contributing to the company's success and reputation in the e-commerce market.

Empowerment

Empowerment is the fuel that drives a human system. When people are empowered, they have the autonomy to make decisions, take initiative and contribute their unique talents to the organisation’s success. Empowerment also means that people are trusted to do their jobs without excessive oversight or micromanagement. In a machine-like organisation, control is centralised and decisions are often made by a select few at the top. In a human system, decision-making is distributed, trust levels are high, and everyone has a stake and agency in shaping the direction of the organisation.

An excellent example of empowerment in action is found at Gore, the company behind Gore-Tex. Gore operates with a flat, lattice-like structure where associates (not employees) are encouraged to take initiative, pursue projects they are passionate about and collaborate across teams without traditional hierarchical barriers. This has driven continuous innovation and helped Gore maintain its position as a leader in their industry.

The Ecosystem Perspective: Beyond the Boundaries of the Organisation

Organisations do not exist in a vacuum. They are part of a larger ecosystem that includes not only internal stakeholders but also external partners, suppliers, customers, society and the planet. This ecosystem is constantly changing, and organisations must be able to adapt and respond to these changes if they are to thrive.

When we view through this new paradigm, we see that they are deeply connected to this broader ecosystem. The success of the organisation is not just about what happens within its walls; it’s about how it interacts with and contributes to the world around it. This perspective encourages organisations to think beyond short-term profits and to consider the long-term impact of their actions on all stakeholders.

A New Blueprint for Success

The machine model of organisations has served us well in some respects, but it is no longer sufficient for the challenges and opportunities of today’s world. To unlock a new level of performance, we must embrace a new blueprint.

This shift in perspective is not just theoretical; it’s practical and actionable. It requires us to rethink our approach to leadership, culture and change. It means prioritising purpose, belonging, and empowerment, using the organisation's design and culture to bring these qualities to the fore. And it means recognising that organisations are living systems, capable of growth, adaptation and transformation.

This is the philosophy that drives my work at The Future Works, and it’s why I believe so strongly in the potential of organisations to evolve and succeed in today’s complex, dynamic world.

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If you’re ready to see your organisation through this new lens, we can help you execute it.

We help to assess your culture through the lens of purpose, belonging and empowerment. We then support you to 'redesign' the blueprint before helping you implement it through a variety of coaching, facilitation, training and other support.

Email us for an introductory chat: hello@thefuture-works.org

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