Organizational Physics 101: The Formula for Success & Happiness

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An organization is a system. To survive and thrive, it must keep internal entropy low and get new energy from the surrounding environment. The lower the entropy and the higher the integration, the greater the probability of success.

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Lex Sisney | Organizational Physicslex@organizationalphysics.com@lexsisney

Organizational Physics 101:Success & Happiness

Systems Thinking for Breakthrough Business Performance

4 Big Questions

1. Success: How do we drive success and have greater satisfaction?

2. Management: How do we build and manage powerhouse teams?

3. Strategy: What should we do next and why?

4. Execution: How do we do it quickly?

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Framework

Real-world experience

Management theory

Physics

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Gravity.It’s not just a good idea.

It’s the law.

Approach

Collaborative

Top-down

Systems thinking

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Outcomes

• Founder’s Trap• Incomplete priorities• Amnesia• Internal friction• Sales, no profits• The B/C Team

• Founder’s Freedom• Committed strategy• Compelling story• Fast execution• Sales with profits $$• The A Team

From… To…

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Get started…

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How to drive success and satisfaction

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2 – 3% Are High Achievers

2 – 3%2 – 3% 95%

.2 - .3% Are Happy High Achievers

2 – 3%2 – 3% 95%

10% HAPPY

A Systems Perspective

Systems and the Laws of Thermodynamics

1. Conservation The potential amount of energy is fixed.

2. Entropy Everything falls apart over time.

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Success = [ –––––––––– ] IntegrationEntropy

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Success = [ –––––––––– ] IntegrationEntropy

Opportunities Capabilities

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Opportunities & Capabilities

Capability

Opportunity

GrowingShrinking

Unique

Generic

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Success = [ –––––––––– ] IntegrationEntropy

Indicates the amount of energy required to maintain the system and get work done

Opportunities Capabilities

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Success = [ –––––––––– ] IntegrationEntropy

Then, if any remains, here

Available energy first flows here www.OrganizationalPhysics.com

[ IntegrationEntropy ]

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[ IntegrationEntropy ]

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[ IntegrationEntropy ]

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[ IntegrationEntropy ]

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[ IntegrationEntropy ]

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Success = [ –––––––––– ] ?50

100 Arbitrary Points of Energy…

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Success = [ –––––––––– ] 5050

100 Arbitrary Points of Energy…

Warning!

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Success = [ –––––––––– ] ?25

100 Arbitrary Points of Energy…

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Success = [ –––––––––– ] 7525

100 Arbitrary Points of Energy…

Awesome!

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Happiness = [ –––––––––– ]

IntegrationEntropy

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Successful and Happy

2 – 3%2 – 3% 95%

10% HAPPY

Learn more:

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