The title of the book itself evokes a feeling of interest to any person, who stumbles on it. In these times where people have seven-day weeks, the phrase “seven day weekends” comes across as a surprise.
True to its unconventional title, the book took me through the making of Semco and the way it is run. Every page is filled with so many anecdotes to spell out the practices at Semco, that at the end of it, I felt like traveling all the way down to Brazil and work at Semco, to have a look at the organization in a much closer way
Semco is in to a lot of businesses and in the words of Ricardo Semler, there is no boundary that he wants to draw around Semco. He believes that boundaries are drawn and redrawn by the employees of the organization
At the outset, this book is definitely unlike many other management books which say that people who work in successful companies work out of their passion. This is the first departure from the normal path. Ricardo says that employees as any human beings definitely put self-interest before company’s interest. Hence for any company to sustain in the long run, it must create an environment where people can discover their interests be it in the organization or outside. Once they discover them, the workplace can act as a great compliment. If people find their passions at their workplace, then it is one of the good things to happen. Passion is rare and is a stretch to find in an office job .It is always seen that workers find their passion, their calling, the place where they can use their reservoir of talent in some place other than the work place. It could be raising a kid, teaching kindergarten kids, opening a part time consulting firm etc. The work place should be conducive enough to provide such an environment.
If one examines the human life, 25 – 50 is when a person has the maximum amount of money and least amount of time for leisure and between 50- 70 is when he has the maximum time and comparatively lesser money. Trading some of the active years to retired years can lessen this disproportionate time access in the society.
Workplace should create an opportunity where the above can take place by introducing Wednesday off programs, remote – working at home options, be it anything, which makes employees mix their personal and professional work. Retire a little program brings in this mix at Semco
The best thing that I have taken from this book is the concept of 3 Why’s. Semco seems to be running on this fundamental concept that a person should always ask 3 Why’s in order to bring instinct opportunity intrigue in to the workplace, which is important for “SUSTAINABILITY” of any organization. I have also learnt that in a true organization where the employees self-manage to a larger extent, there is no need of a Human resource department, the reason being that when a situation arises when there is a conflict between the manager and employee, employee turns to HR when he is supposed to handle it with his manager. HR truly adds no value to the organization. If one traces back the evolution of HR, in the age of FORD, HR Manager used to retired sheriffs or people from the police department. In this age, where sustainability is probably more important than anything else, such departments and their functions are useless in a modern organization.
Any manager, who needs employees should find for himself, like any entrepreneur who wants to put a team in place, finds it for himself
Semco has survived through all the painful times, as their philosophy of entering new businesses has been 3 guiding posts: High entry barrier if they establish a presence in a market, Premium player of the market, catering to unique niche
What makes a person work in the company?
Umpteen number of books, business gurus and corporate leaders keep telling their mantras to how they should make a person work in a company, by imbibing the so called vision, mission, credo etc…But the simple principle behind any person who wants to getup on Monday Morning and go to work is that he finds slow and measured exhaustion of the inner reserve is what makes life worthwhile.
This is like scuba diving; every person is given a cylinder of oxygen and can tour the underwater, and come back to the surface. Mostly we find people who use up their reservoir very early and come back to the surface. They have lost to add balance in their lives.
One of the biggest flaws in our education system is that it is encourages uniformity and hence it does not allow students to pursue or actually discover their interests. Instead, they seem to be following their parent’s interests. As soon as they reach a respectable age, they are suddenly faced with a crucial choice of joining a field that they will continue to work for the rest of their lives. Once they join the company, they are again told the job description and the expectations from him. It is like a person has left a boarding school and has joined another boarding school. The organizations, which succeed, are the ones which allows employees to discover their talents, provide incentives to move around, tune with the inner radar, ramble around the company and find out what they would want to do and for how long they want to do.
There is a mention of a cartoon book called the Survival Manual, which is given to any person who walks in to Semco.. While looking out for people, Semco follows one precept, IQ+EQ+SQ – Ego.
Management by Omission – Let the process take care of itself
Once the employees are given complete freedom and complete information, one must always see to it that the process, which emerges in such a situation, takes care of all the exigencies which crop up. Top management should never ever take the step of stepping in and pushing their decisions, as that will bring the entire house down and an element of fear, insecurity creeps in the minds of employees
Lastly, one of the important elements in the success of any org is that employees should have intuition. No amount of decision tree analysis would help one taking a right decision. In the 70’s, German Scientists did a huge experiment to predict the outcome of football matches in a tournament; they fed in all the statistics of the players, coach, environment, past history etc. Finally none of their predictions came right. A small punter in London got 10 /11 times right. Intuition is like your mom tapping on the coconut to get an idea of the water content in it
Looking at information in an incremental fashion, making judgements on the outcome, re-adjusting the expectations and coming up with a feeling that a specific event is going to happen, develops intuition.
As it is said, it is always ok, if a person is precisely wrong (all stock marketers, analysts). But such kind of behavior is useless to a company that wants to be sustainable. It has to create an organization where employees self-manage, develop intuition and grow business.
Certainly, after reading this book, I am so eager to learn about Semco from his Semler’ first book “ Maverick “ I should be getting my hands on it sometime soon.