Company-wide Agility with Beyond Budgeting, Open Space & Sociocracy by Jutta Eckstein

Author:Jutta Eckstein
Language: eng
Format: epub
Publisher: Jutta Eckstein
Published: 2017-04-21T16:00:00+00:00

Value Center Perspective

Referring back to the constant customer focus discussion, the following figure shows cross-functional teams at the core of the company, not the board. In this value center perspective, the customer becomes a kind of leader of the value center, albeit an interactive rather than autocratic one. Note: we use the term “product owner” in the diagram. This term really indicates a function rather than a person. For example, the whole team could decide to handle the function together.

Success means customer satisfaction because a satisfied customer demonstrates that profit is possible and we are providing what the shareholders want - the reverse of the board perspective. Having a force other than the shareholders induces more compelling feedback (i.e., feedback that’s harder to ignore) toward the board and support service teams. This change in influence is often experienced as tension, a phenomenon we noted in Chapter 1.

This diagram also recognizes another entity in charge. That entity is society at large, laws, regulations, and agreements with suppliers and contractors that many support service teams represent or give voice to. Bringing in customer focus also induces more feedback to seemingly autocratic regulations.

Value Center Perspective

All companies aim to produce value. Conventionally they don’t organize around value centers. Instead units that have “a piece of the action” are scattered across silos. This dispersion makes it hard for the value centers to ignite as a unit and really be a effective.

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