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MGMT Minute: Why The Best Leaders Always Separate Design From People
How you can optimize both by solving one problem at a time.
Read time: 1 minute
We got an email from an MGMT Accelerator alum this week.
Here's what it said:
Hey Dave & Mar -
I manage a manager who oversees multiple teams.
One of those teams:
Is the largest
Is the lowest overall ROI
Isn't clearly tied to key objectives
I don't think she's dealing with the situation effectively, but I'm trying to get her to “co-author the plan” as part of her development.
Do I….
make the call and focus her on co-authoring the best way to reorganize?
continue to hear her out (she feels the team is salvageable)?
manage her through exactly what needs to happen?
something else entirely?
This story is all too common. And the root cause I see:
He's talking about the team's design.
She's talking about the people on it.
He's saying: These aren't the most valuable positions on the field.
She's saying: I can get these people to perform better.
They both may be correct.
But they're solving different problems.
Here's what I'd do in his shoes:
I'd break the story into chapters.
If a developing manager can't author the entire thing (and few can), don't drift into doing their job for them.
Make their problem smaller.
Here’s how:
Chapter 1: The Ideal Design
Do an exercise that ignores the humans and simply says, "What is the highest ROI way to use the boxes/dollars we have?"
Have them draw that up and debate it until you agree.
Chapter 2: Set Your Lineup
Put the humans you have into those new boxes.
Grade each person on three dimensions:
Unproven to Proven (in that role) - Is this job new for them, or have they done it well in the past?
Unhappy to Thrilled (in that role) - If they're going to be miserable in a role (even if they can do it) you have a problem.
Underperformer to Star (in that role) - You'd hire them for that job if they applied today (knowing all you know).
Chances are, you'll end up with 75-80% of people in roles
They have the skills to do
They are happy to fill
They can thrive in
Chapter 3: Separate "What's true" from "What to do about it."
There are two tricky parts left. And they're related:
How do we handle the exceptions (unproven, unhappy, or underperforming)?
How do we transition from the old design to the new one?
There is no single right answer. But by optimizing the design as much as possible, we've reduced the problem massively.
And because the problems are smaller, we can take highly tailored approaches:
Let the re-org help you exit someone.
Retrain and retest them in a new role.
Offer a gentle transition to a new dept.
Give them this change as a fresh start.
Build a test to give them one more shot.
And because we've broken the analysis paralysis and made real progress, we've learned more, which can help us find even more creative solutions.
Lead on,
Dave & Mar
PS - We have a free workshop coming up Tuesday, January 21 at 1 PM ET:
The biggest decision we make as leaders is who we hire. In 30 minutes, I’ll share the 3 key practices I honed while leading more than 1000 interviews at Bridgewater.
PPS - Our February MGMT Accelerator is filling up quickly. Don't miss your chance to upgrade your management systems and reap the rewards of solving your biggest challenge for all of 2025.