At the core of your company, there is a group of people who seem to call the shots. More precisely, all the shots seem to be called for their benefit. It’s as if the organization, beneath its formal statements of mission and purpose, has actually been set up to fulfill this group’s needs and priorities. Everything else that the organization does comes later: satisfying customers, creating wealth, delivering products or services, developing employees’ talents, returning investment to shareholders, and even insuring the company’s own survival. They are means to the end of keeping the core group happy.
Are You In with the In Crowd?
Reprint: R0307G
At the core of your company, there is a group of people who seem to call the shots—or, rather, all the shots seem to be called for their benefit. This core group can’t be found on any organization chart. It exists in people’s hearts and minds. It comprises the people whose perceived interests and needs are taken into account as decisions are made throughout the organization. In most companies, talking explicitly about this group is taboo; its existence seems to contradict the vital corporate premise that we all have a common stake in the firm’s success.
In the best organizations, the core group can be a resource: Members represent the unique values and knowledge that distinguish their companies. When core groups display independence, creativity, and power, the rest of the company follows. Such behavior on the part of the company, in turn, creates value for shareholders, especially over the long term. But because of the core group’s enormous power, members need to make themselves aware of the signals they send, both intended and unintended. For better and for worse, the core group reinforces whatever it pays attention to. A core group member who casually mentions a product might well discover three weeks later that someone has spent $1 million introducing it.
If you do not know who constitutes the core group in your organization, or what the members stand for, you may find that leading will be extremely difficult—even if you are ostensibly the person in charge. If you want to move the organization in a new direction, you may need to explicitly challenge the core group. Otherwise the rest of the organization will not go along.