Wednesday, June 27, 2012

The Bureaucracy's Management Fetish

There was an interesting piece in the Toronto Star (The Treasury Board’s inefficient mission for efficiency, June 25, 2012) concerning a recent Treasury Board Secretariat (TBS) initiative to spur innovation in the civil service of Canada.  The article points out how an exercise to achieve greater efficiency in the civil service became hopelessly inefficient. 

The TBS basically oversees all of the bureaucracy of Canada; the civil service of the civil service if you will.  The Canadian public service includes about 200 departments, agencies and crown corporations comprising about 283,000 bureaucrats (about 0.83% of the population).  It's the biggest organization in the country.

This particular initiative involved offering civil servants cash-money if they could come up with innovative ideas that would save the government money.  It looked god on paper.  Anyone, in theory, could float an idea.  If the idea didn't result in policy changes and if it saved more money than the actual award, a worker bee in the hive could walk off with $10,000.

I've worked in large bureaucracies most of my career.  And of course, since I basically inhabit the philososphere, I spend a lot of time thinking about how they operate. Here in Afghanistan I have occasion to study the most advanced form of this particular phylum: the multi-national military environment.

As an environmental scientist, I've likened the bureaucracy to essentially a kind of ecosystem, filled with creatures that have adapted over time to survive and thrive in this unnatural environment.

The bureaucrat in his natural habitat.

In a true ecosystem, innovation and competition are the engines of survival.  But, of course, the civil service, being the government, has no one to compete against, and no clear bottom line against which to measure its success.  In theory, success should be measured by the satisfaction of the people of Canada.  In practice, since it is ostensibly run by politicians, it's also about getting the ruling party reelected.

It’s a very centrally-controlled, hierarchical structure.  Information flows very well from the top down, but not so well from the bottom up.  Now, we've known since the days of Adam Smith's The Wealth Of Nations that a centrally controlled economy is much more inefficient than a distributed economy where individual agents act in their own interest—enlightened self-interest is the term Smith used.  It seems intuitive to me that the same would apply to an organization.

The mandarins of the civil service are concerned with consistency and control, retaining decision-making ability at the top.  To my mind, you can't have that and expect an innovative workforce.  Innovation is grown, not imposed.  It arises from individuals coming up with a new idea so that they can do their job more efficiently or effectively, and that idea catching on with others.  In nature, most innovations—normally manifesting as genetic mutations—don't work.  Now and then, however, you get one that increases the fitness of an individual making it more likely to survive and procreate, passing on the innovation to the next generation.

I'm not blaming the mandarins or the politicians.  I firmly believe that Canada, being a democracy, gets exactly the civil service it deserves.  As implied above, innovative ideas often fail.  The media, being the media, don't report on successful civil service innovations, or successful anything for that matter.  

(The media report bad news, not good news.  Perhaps the same reason Shakespeare's tragedies are considered more important than his comedies.  Why?  Some aspect of human nature. Perhaps it's a built-in efficiency of our minds.  Why waste precious conscious thought on what's going right; it's what's going wrong that you, from a survival standpoint, needs to know.)

Sorry—drifted off there.  Anyway the media will be all over the screw-ups like a pack of starving chihuahuas on a pork chop.  And since politicians who get bad press tend not to get re-elected, you end up with a pathologically risk-averse organization.

The folly of those on top, I think, is having the hubris to think that they can change this.

I've always been impressed with the caliber of people who rise to the top of bureaucracies.  I've found the General Officers here in Afghanistan to be competent and sharp.  The government bureaucracy I worked for in Canada, similarly, seemed to me to have very able and hard-working people in the higher echelons.

But the system they presume to run is not dead.  To continue my ecosystem analogy, it is very much alive.  Look at the common etymology of the words "organization" and "organism." The senior managers may be the conscious brain of this organism, but they overestimate the importance of the conscious brain.  Even in a human, with the most advanced brain function in the animal kingdom, the conscious mind is far more limited than we assume.

We can't tell our heart to stop beating, our lungs to stop breathing.  We can't turn off our fear of heights or love of strawberries.  Even to stop a habit like drumming your fingers when your bored takes a supreme and sustained effort.  You can decide not to act gay, perhaps, but you cannot decide not to be gay.  The base motivations that drive us bubble up from some primordial id that we do not understand.  Many of the decisions we think we make, we don’t actually make, or, put another way, we can do what we will, but we cannot will what we will.

In other words, the brain of the human organism or the civil service organization does not control in the manner we commonly think it does—rationally collecting, processing and analyzing information.  What's more, the human organism's sensors relay accurate information to your brain, for the most part.  Imagine if your eyes only transmitted information it thought your brain wanted to see.  This is frequently what happens in large organizations.

It is, in fact, very difficult to change who you are in any fundamental way, and similarly it is very difficult to change what the civil service is. 

In the government, for example, Human Resources reform has been a perennial fixture in attempts to transform the bureaucracy.  It's takes too long to hire people.  It's difficult to fire people.  Annual evaluations are a resource-intensive paper exercise.  The thicket of rules, regulations and policies is stultifying.  And yet, despite these bright and determined people at the top, and despite their stated desire to make HR more effective and responsive, HR remains essentially the same beast it was in the 60s when it was called Personnel. 



And all the management models of the past forty years—Quality Management, Learning Organization, Results Measurement, Change Management—hang like hunting trophies in the corridors of the TBS, and yet the civil service is essentially the same animal it has been for decades, heck centuries (the word Byzantine, meaning unnecessarily complicated, comes from the royal court of Byzantium).

The reason the civil service is the same as it always has been is because it is adapted to its environment, and, because it is adapted, it resists change.  The reaction to this resistance is for the "brain" of the organization to introduce more neurons (managers).  They’ve made a fetish out of management: time management, people management, project management, crisis management, process management, information management.  The resulting level of control at the worker bee level is simply not conducive to innovative thinking. To quote T.H. White, "Everything not forbidden is compulsory."

So what's the answer?  Who knows.  I'm great at pointing out problems; not so hot about doing anything about them.  Maybe I'll introduce a new fad called Organic Management and make millions.  Treat your company like a garden.  Like Chauncey Gardner said in the 1979 classic film Being There.



P.S. Rats!  Just did quick Google and there's already whole slew of "Organic Management" websites.  So much for that get-rich-quick scheme,

No comments:

Post a Comment