Why is it that businesses are operating like non-profits? I feel like I am living in a bizarro world. [youtube IcjSDZNbOs0]
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The more I read books, blogs, newspapers, and listen to podcasts on business leadership the more I see a change occurring. Many people praise Jim Collin's book Good to Great because it focused on what made some companies "great" instead of just "good". The research and data in the book are pretty convincing. But not everyone has read the addition to the book Collin's wrote titled Good to Great and the Social Sectors: A Monograph to Accompany Good to Great. Collin's notes that in the Social Sectors the only leverage is relational unlike the leverage a business has in firing and demotions. Threatening to fire a volunteer is not as effective as taking away someone's title and reducing their paycheck at a business.
However, in the business world the great incentive of pay is now being paralleled to the benefits of connectedness and being a part of something that matters. So businesses seeking greater profits are functioning like non-profits: freedom in schedule, informal dress, creating cultures of happiness, off site play, dismantling hierarchal permission, focusing on leadership development, and maybe the most significant creating a mission that helps other people.
On the other hand are the non-profits trying to act more like a business. Non-profits had "organization envy" for quite some time so they started acting like a business: dressing professional, creating hierarchy permission, focusing on mass production, and creating a model for global growth. But unlike the business using non profits methods successfully the non-profits trying to act like a business are not seeing the same results. The heavy focus on structure and organization have made them like massive ships that can't turn as quickly as our modern world requires.
In short I see businesses needing people with relational abilities found in non-profits and non-profits are seeking people with abilities found in businesses. What's going on here!?
Are you seeing this shift in both the business seeking profits and the non-profit?