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Systemic leadership: Create holistic thinking in the DNA of the organization

Systemic leadership: Create holistic thinking in the DNA of the organization

26/1/2024
Articles
Leadership

Systemic leadership represents not just a trend, but a significant evolution in the way we manage and shape organizations. It's about looking beyond the obvious and realizing that any organization is more than just the sum of its departments or processes.

Painting of a connected system

Systemic leadership represents not just a trend, but a significant evolution in the way we manage and shape organizations. It's about looking beyond the obvious and realizing that any organization is more than just the sum of its departments or processes. It's like examining the deep inner tissues of an organism, where all elements are connected in a way that shapes its essence.

In a world filled with complexity and constant change, embracing this approach is crucial. It's about seeing the connections that aren't always apparent at first glance and recognising that change in one place can have far-reaching consequences across the organisation.

Below, we will delve into the concept of 'systemic management', uncover its core principles and explore how it can act as a driver of organizational innovation and sustainable growth. We will explore the practical aspects of implementation, identify the potential benefits and challenges, and provide you with tools to navigate this transformative approach to management.

What is systemic management?

Systemic management represents a holistic thinking in which organizations are viewed as living ecosystems rather than mechanical structures. The paradigm focuses on seeing the interconnectedness between people, decisions and what happens in the company with a built-in understanding that decisions and actions can have complex and unpredictable consequences. Among the basic principles are recognizing feedback loops, understanding the dynamics between parts and the whole, and being aware that organizations are embedded in larger systems such as society and the market.

Read more: How to Create Learning Through Feedback and Dialogue

When you use systemic management, it can make your organization more agile. It can also push people to think outside the box and find new ways to solve problems. Systemic management has the potential to create organizational flexibility, foster innovation, and strengthen the ability to address complex challenges. It also involves an understanding that managements is a collective process in which all levels of the organization play an important role.

Principles of Systemic Management

If you want to explore and embrace systemic leadership, you face an enriching journey into a management paradigm that looks beyond the traditional. We will now delve into the basic principles that form the foundation of systemic management. By understanding these principles, you will gain the tools to create a more cohesive and dynamic organization that can thrive in an ever-changing world.

  • Holistic thinking: Systemic leadership is about seeing the organization as more than just the sum of its parts. It's about recognising that every action, decision or change can have a domino effect that extends far beyond the immediate action. Imagine that a department implements a new workflow. Rather than simply looking at this change in isolation, holistic thinking is about understanding how this change will affect other departments, processes, or even employee workflows throughout the organization. It is to look at the organization as a cohesive network of relationships and interactions where one action can have far more far-reaching consequences.

  • Relational leadership: In systemic management, relational leadership is at its core. It involves understanding that an organization is not simply a collection of separate departments, but rather a complex network of connections between people, teams, and departments. Having a focus on relational leadership means building trusting relationships, fostering open communication, and supporting an environment where collaboration and interdisciplinary collaboration thrive. If you want to support an open and trusting environment, it is also important to focus on it psychological reassurance.

Read more here: 8 tips: How to create psychological security at work

  • Feedback loops: Introducing feedback loops in the organization is essential to ensure regular and open communication. This could be, for example, through regular meetings, feedback sessions or digital platforms that enable a constant flow of feedback. It fosters a culture where feedback is a natural part of the work process and where employees are encouraged to share thoughts, ideas and constructive criticism. By integrating feedback loops into systemic management, the organization gains the ability to adapt quickly, learn from mistakes, and continuously improve.

Do you want to learn how to create a culture where feedback and dialogue are so natural that it becomes a competitive parameter? Read more about how Feedwork can help promote your culture around feedback and dialogue.

  • Dealing with Complexity: A systemic approach embraces complexity rather than trying to simplify everything. This means, among other things, that you must recognize that problems and situations are often complex and require flexible solutions. For example, an organization can navigate through complexity by creating agile working methods instead of rigid and deadlocked processes.

By integrating these principles into your management practice, you can shape a more agile, innovative and resilient organization that not only responds to, but also shapes the complex world in which we operate.

Benefits and Challenges in Systemic Management

Integrating systemic management into an organizational structure can be a catalyst for change and innovation. This approach opens the doors to a wide range of benefits, but it is also important to recognize that it does not come without challenges. Let's explore some of the potential benefits and typical challenges of adopting a systemic approach to management.

Advantages

The integration of systemic management into an organizational structure opens the door to a number of potential benefits that strengthen the organization's foundation and its ability to handle dynamic change. Below are our picks for the most significant benefits you can achieve if you integrate systemic management into your organization.

  • Increased innovation: Systemic management allows your organization to be more agile in responding to change. By understanding how different elements of the company influence each other, management can adjust and adapt to changing conditions in the market, technology and customer needs. It creates a more adaptable and flexible organization that can respond quickly to change and remain competitive.

  • Better problem solving: By fostering open dialogue and collaboration across departments and teams, systemic leadership encourages diverse perspectives and ideas. This approach creates an environment that stimulates innovation and creative thinking. By valuing and integrating different points of view, the organization can develop innovative solutions and discover new opportunities.

  • More robust decision-making processes: Systemic management provides a solid platform for robust decision-making processes. The approach allows management to make informed decisions based on a comprehensive understanding of the internal and external circumstances of the organization. Thus, by analyzing and understanding all aspects of a situation, the organization can make more strategic and long-term decisions.

  • Smoother organization: Overall, systemic management creates an organization that is more agile, innovative, and able to deal with complexity and change. This approach gives the organization a clear competitive advantage by enabling rapid adaptation to changing conditions and gives it the ability to thrive in a constantly changing business environment.

Challenges

Of course, when one wants to implement new processes and ways of doing things, it is close to inevitable not to encounter challenges and obstacles. And, of course, it is no different with the systemic management. Adopting a systemic approach requires a shift in mindset and practice, and this may meet resistance from those accustomed to more traditional methods of management and management. This can result in a number of challenges, including:

  • Opposition and skepticism: People tend to be skeptical of the unknown. The implementation of systemic management often requires people to think and act in new ways, which can meet resistance from those who prefer to stick with familiar methods.

  • The need for effective change management: Switching to a systemic approach is a process of change that requires effective change management. Dealing with resistance, communicating benefits and creating a culture that embraces change are key.

  • The complexity of implementation: Implementing systemic management is not a simple task. It requires a thorough understanding of the organization's structure, culture and processes, as well as the ability to navigate through the complexity of the changes.

  • The need for support: The introduction of systemic management often requires training and support for employees and managers to ensure they have the necessary skills and knowledge to embrace and apply this approach effectively.

Read more: Create a healthy learning culture through coaching and curiosity

Despite these challenges, the transition to systemic management can be extremely rewarding as it creates a more dynamic and adaptable work environment that can better handle complexity and change. It is a journey that requires commitment, persistence and an open dialogue to overcome the challenges that arise along the way.

Implementation of systemic management

The implementation of systemic management requires a structured approach and a clear commitment across the organization.

Here are some key steps to start deployment:

  1. Create awareness: Begin by creating awareness and understanding of the concept behind systemic leadership among managers and employees. Communicate the benefits it can bring and create a clear vision for how it can improve the organization.

  2. Management training: Educate leaders at all levels of the organization on the principles behind systemic leadership. This may include training in relational leadership, holistic thinking and effective communication strategies.

  3. Include employees: Include employees in the process. Create space for open dialogue and invite feedback so that employees' voices and perspectives are heard and integrated into implementation.

  4. Gradual implementation: Begin with pilot projects or smaller areas of the organization where systemic management can be implemented and tested. Evaluate the results and adapt the strategies as needed before rolling them out to the entire organization.

  5. Culture change: Work to create a culture that supports and promotes systemic leadership. It may require changes in communication, modes of collaboration and ways of making decisions.

  6. Continuous evaluation and adaptation: Systemic management is a continuous process. Constantly evaluate how it is received and adapt the implementation strategies accordingly. Openness to feedback and a willingness to adapt are key elements in ensuring successful implementation.


By following these steps, organizations can gradually integrate a systemic approach into their management structure and culture. It creates a foundation for managing complexity, fostering innovation and increasing the organization's ability to adapt to changing conditions.

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By
Morten Melby
Partner

Morten is a former Air Force officer, graduated in business economics and psychology from CBS and has worked in management consulting for the past 9 years.

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