A company spent millions on two consulting firms to fix a warehousing issue caused by overproduction. The root problem wasn't forecasting or processes; it was two departments not communicating. Teaching them to talk face-to-face solved 90% of the problem instantly.

Related Insights

Executive teams can argue endlessly when they use the same words but have different underlying definitions. A simple intervention—pausing to have each person define a key term—can reveal they aren't even talking about the same problem, immediately resolving the conflict.

Customers interact with a company as a single entity, but internally, separate departments like sales and support optimize for their own conflicting metrics. This creates a confusing and inefficient experience, a direct result of Conway's Law in action.

Large companies often identify an opportunity, create a solution based on an unproven assumption, and ship it without validating market demand. This leads to costly failures when the product doesn't solve a real user need, wasting millions of dollars and significant time.

According to the 'dark side' of Metcalfe's Law, each new team member exponentially increases the number of communication channels. This hidden cost of complexity often outweighs the added capacity, leading to more miscommunication and lost information. Improving operational efficiency is often a better first step than hiring.

Sales conversations often rush to demo a "better" product, assuming the buyer wants to improve. The crucial first step is to help the prospect recognize and quantify the hidden costs of their current "good enough" process, creating urgency to change before a solution is ever introduced.

A critical challenge for corporate innovation is a lack of transparency between silos. Executives report teams discovering they've worked on the same project for months, wasting hundreds of thousands of dollars. Simple tools like shared, visible roadmaps are a crucial unlock to prevent redundant efforts.

When smart partners think the other is an idiot, it's often due to a 'base assumption collision.' Each person operates on a different fundamental, unspoken belief about reality ('the world is X'). Identifying and discussing these hidden assumptions is key to resolving otherwise intractable conflicts.

To get executive buy-in for long-term "human infrastructure" projects, frame the investment in terms of hard financial ROI. Show how upskilling internal talent directly reduces reliance on expensive external consultants, with every dollar invested saving multiple dollars in return.

A salesperson may focus on tactical issues like a poor CRM, but the root cause of their challenges is often a more fundamental business problem, such as production capacity. Solving the perceived problem (getting a better CRM) could be useless and even exacerbate the real issue by overwhelming the production line.

Expedia received 20 million support calls for itineraries because each department (marketing, tech, product) focused only on its own metrics. No single silo owned the cross-functional problem of preventing calls, so the problem festered despite its massive scale. True ownership must transcend departmental lines.