21st Century Orgs take a very different view of resources than the status quo. What they are and how they should be sourced and valued is reconsidered. Here we identify how across key resource areas: information, funding, resource procedure and raw materials. People, although mentioned here, is not seen as a resource in 21st Century Orgs, they are people first.
Status Quo |
21st Century Orgs |
Information |
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Information is centrally managed. | Information is locally managed. |
Access to information increases with seniority. | Access to information increases with how relevant it is to your role. |
Large amounts of information are deemed too confidential for front-line workers. | Very little, if any, information is deemed too confidential for front-line workers. |
Limited use of technology to provide live information feeds to employees on organisation performance. | Extensive use of technology to provide live information feeds to employees on organisation performance. |
Information is (perhaps unintentionally) used as a control mechanism. | Information is never used as a control mechanism. The role of information is to act like oxygen to the whole system. |
Information defaults to private. | Information defaults to public and transparent. |
Members communicate impersonally and, most likely, primarily over email. | Employees communicate over more social platforms and more face to face exchanges are encouraged. |
Funding |
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The only route to gain funding for creative ideas and innovation is upwards and to a small number of people. | There are multiple routes to funding for innovation, not just upwards (e.g. organisational crowdfunding). |
Budgets are most likely annual and are almost certainly based on historic figures with a tweak going forward. This encourages “spend it because we have it left” syndrome. | Budgets may well not exist at all. If they do, it is recognised that business doesn’t work in neat annual cycles and they will take a more forward-looking approach (what do we need for x, regardless of last year?) There is no “spend it because we have it left” syndrome. |
Budgets are extensive and highly detailed. | Budgets are far less complex, with a simple projected cash flow and cost expectations. |
Funding requirements tend to be a case of obtaining as much as each department can for the year ahead. | Funding requirements tend to be a case of what various teams realistically need for the year ahead with a consideration of what else the organisation is going through. |
Budgets are submitted to senior leadership, who become the only people to have visibility across all of them. Funding is then allocated from a central pot and is finalised either by agreement between senior department heads or are just allocated by the board. | Budgets are shared widely and are open for everyone to see. Budgets are requested by departments and all peers have the right to challenge them to increase or decrease. |
Personal expenditure is subject to close control and, most likely, an employee handbook detailing what is appropriate. | Personal spending is up to the individual, but will be subject to peer-to-peer accountability; employee handbook detailing what is appropriate is unlikely. |
Materials |
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An increasing concern for the sustainability of materials used but in the context of a definition of success dominated by finance. | A complete and holistic approach to sustainable materials. Not only is it good for the business, it's also a moral absolute. |
Very little thinking about the externalities associated with running the organisation. | Empathy and understanding that the organisation has a large amount of externalised resource costs and that it needs to consider and take responsibility for them. |
People |
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People are talked about and managed as a resource. |
People are not talked about and managed as a resource, they are treated as people. |
Allocation |
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Resources are deployed on fixed, regular (perhaps annual) schedules. | Resources are much more dynamically distributed. |
The default is to source inputs centrally for the purposes of efficiency. | The default is to source inputs locally, by the teams that need them, for the purposes of adaptability. If resources need to be pooled to achieve a volume discount, then that is self-organised by the individuals and teams requiring those resources. |
Only people with certain permissions can source inputs. | Everyone can source inputs if they’re needed. |
Someone recommends a resource requirement and other people decide if it’s necessary and then oversee the purchase requirement. | The person who recommends the resource requirement is responsible for overseeing the purchase process. |
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