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In Management, Keep it Simple

April 16th, 2009 @ 11:06 am

31 Comments

Categories: Best Practices, Board Management, CEO Succession, Corporate Governance, Entrepreneurialism, Executive Focus, Hiring, Innovation, Management, Marketing, Opinion, Strategy, Technology, Tips and Tools, Wisdom, Workplace

Tags: Jerry Yang, Simplicity, Occam, Product Example, Desktops, Search, Strategy, Hardware, Management, Steve Tobak

Occam’s Razor essentially says that all things being equal, the simplest solution is the best. The principle has implications in virtually every field of science, not to mention philosophy, aesthetics, marketing, economics, and yes, management. 

If for some reason you don’t buy the word of a 14th-century Franciscan friar, it might interest you to know that Albert Einstein also believed the universe loves simplicity. I don’t know about you, but I’m in no position to argue with the guy.

A great product example is the personal computer. The need for backwards compatibility with legacy programs and interfaces has forever rendered the PC more complex than any of us would like. That’s why Apple’s iMac has been so successful; it’s relatively simple. Not to mention the iPod and iPhone - works of remarkable simplicity.

Some people have a knack for making things more complicated than they need to be. I’ve found that to be the case particularly when managers make incorrect assumptions and then get intertwined in an endless but futile effort to prove themselves right. 

Just look at Yahoo under Jerry Yang versus Carol Bartz. Yang embroiled the company in endless reorganizations and management restructurings, but he could never get it right. Carol Bartz did it once and moved on. Jonathan Schwartz has completed I think 9 restructurings at Sun. The results aren’t pretty.

For some folks, simplicity appears effortless. Lou Gerstner executed one of the most challenging turnarounds in business history by reversing the planned disaggregation of IBM and refocusing the company on IT services. His new vision for big blue was brilliant, but it was also simple and elegant, requiring far less restructuring than the previous plan.

Google’s founders had great difficulty getting the company off the ground because nobody - not even them - thought search could be a big enough business on its own. Ironically, Yahoo-founder David Filo encouraged them to start a search-engine company. Who thought something so simple could generate so much cash?

In 9 Notable Management Trends (or Fads), you’ll notice that simple concepts - such as core competency - have been successful over the long haul, while complex ones - like matrix management (which Yang employed at Yahoo, incidentally) - haven’t stood the test of time.  

The bottom line is this. In management, keep it simple. And if you find things are getting too complicated, then change your assumptions and try again. All the best things in life are simple. Really.

 
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  •  
    1

    robertgal1

    04/16/09 | Report as spam

    RE: In Management, Keep it Simple

    sorry, but quite low caliber post

    you cannot associate yahoos unsucesss with yang's complex
    management techniques

    and reductionalism is NOT an answer to everything(like soo
    many people would like to think)... especially ask einstein,
    whether he considered those math tools he used simply...

  •  
    2

    flexport

    04/16/09 | Report as spam

    RE: In Management, Keep it Simple


    Innovative Simplifications wins
    in this Global Economic down turn.
    I run an innovative company for the last 48 years using a simple vision "Growth through simplified innovations" and it made a Global Job Shop..
    The name I gave 48 years ago was Flexport (= Flexible Exports). I made flexibility inculcated in to the business. The concept emerged 24 business franchises.
    But when I started it, I did know what business to start but I used my core competencies of engineering and Stanford business education. I went forward by developing an innovative simplified process & product development focusing the customer needs. The custom made flexibility was inbuilt with delighted customer base for the last 48 years.
    I developed 160 indigenous production processes which made survival in any recession with any competition. Looks too much blowing the trumpet of his own but it is true. It is to prove the point "The Simplicity wins".
    I invented a Global Solution in Packaging to replace Plastics and expanded polystyrene.(according to the UN/WTO/WIPO)and won the first prize at the international inventors award in Geneva by utilizing waste material of the coconut industry. The raw material is available in over 100 countries around the equator.
    We innovated a simplified machine to extract the coco fibers operable by stray unskilled labor which won the third prize out of 52 winners at the recent international Inventors Exhibition in Geneva 2009 last month. We use the waste part and balance go as exportable fiber products. This new machine avoids cut of fingers and arms of the poor operator and power consumption is 74% of the existing machinery using a simplified innovation. We got 142 machines on order to build. Factrory of 24,000sq.ft , skilled labor & equipment available.But we do not want to get bank loans (debt finance)any more from Srilanka.
    So,my next innovation is how to raise funds in Srilanka for commercialization as there is no truly authentic Venture capital companies in Srilanka.
    Those who read this and while picking 48 years of our business experience, Can somebody to help us finding a angel investor or appropriate venture capitalist to fund as it has 560bUS$ market ? The IRR is 137%.
    With EU country directives the PacGro products can mint money as the discarded packaging has 18 other uses and grow trees and no recycling needed and no solid waste.
    Give us a helping hand to prove the world that the Simplified innovations could build many business enterprises even in this global economic recession.
    Nandadasa Narayana
    Inventor/Chairman
    Flexport little three daughters? Group.
    Tel: 94-11-555 555 6
    Cell: 94-11-0714350939
    www.flexports.com/ Email:flexportceo@gmail.com

  •  
    3

    LeilaBT

    04/16/09 | Report as spam

    RE: In Management, Keep it Simple

    Great post.

    I feel we can and should associate management actions with success or failure. We must. Many people aren't getting it.

    Sure, it's not ideal to be pointing fingers. Most of us learned in school that isn't "nice." Well, what has happened--a lot--in the last 1+ yr isn't "nice." So, time to step up and say, "That's not working, that's not either, this is, OK, do more of that . . ."

    That is what skilled managers do for employees: "This works, do it again. This doesn't, try something different," etc.

    Keep it simple. Sometimes people add a word to the end of that phrase and it spells KISS. Hmm . . .

    I won't do that, and I will say to managers, "Don't you, either! Never." Yet if adding it helps YOU remember to stick to the basics, then do it.

    Leila Bulling Towne
    Executive Coach
    http://www.thebullingtownegroup.com

  •  
    4

    dhirenc

    04/16/09 | Report as spam

    RE: In Management, Keep it Simple

    Great post. Yes simplicity helps and hits the right target. The
    more formulas/matrix you use, you will require another one to
    unbundle it so the whole business goes into a circle. As a
    simple saying goes business is business and it should target
    business rather than making it more complex to understand
    and implement.

    In management it is also said that more the complexity less
    are the chances of success in the given time.

    Even Simplicity of Mahatma Gandhi paid off as a success for a
    great nation called India

  •  
    5

    depps

    04/16/09 | Report as spam

    RE: In Management, Keep it Simple

    simplicity is relative, what Albert perceived to be simple is not what an average man can consider as simple.

  •  
    6

    oscar.gonzalez

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    Have you heard about applying Heider's probability of action equation to management ?. Oh yes, thats simplicity !!.

    The equation, (though its extremelly simple) has a final lecture: "its easier to reach your destiny if you walk downhill". It models something that we all understand; its easier for simple things to happend, but how do simplify things ?

    If you want further info. about Heiders equation just contact me: alan.gomat@gmail.com

  •  
    7

    dbmallia

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    This post starts with a mis-quotation of the principle of Occam's razor. The principle says that "entia non sunt multiplicanda praeter necessitatem" which can be translated into "entities should not be multiplied beyond necessity". But between not multiplying entities beyond necessity and keeping things simple there might be a very big difference.

    Claiming that Einstein's theory of relativity is simple is also a little bit too far-fetched, though claiming that it is consistent with the principle of Occam's razor is correct.

    As to the assertion that some people have a "knack for making things more complicated than they need to be", my retort is that while being true that some people make things unnecessarily uncomplicated, some others want to over-simplify thus missing on entities that should have been considered and the elimination of which detracts from both the understanding of the problem and therefore also from the definition of a correct framework or solution. Withal, the preponderance of people have an innate fear of complexity and end up doing silly business mistakes through ignoring it in their musings.

    And lastly, just quoting examples to support one's argument is not enough to convince me. Indeed, I take issue with the examples the author of this posting has summoned to support his argument. I can, for example, scarcely think of Google, with all its underlying innovative algorithms, as being simple. But if you want to look at the world from the line of sight imposed by the blinkers of simplicity, I guess you will wind up seeing what you want to see.

    Simplicity, then, as depps rightly put it is relative. And yes, this post is quite a "low caliber" one (robertgal1). It shows gross inexperience in management.

  •  
    8

    Hashim Kammoona

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    Yes keep management simple, as simple people who get their goals done without being specialized in something but life.
    Hashim Kammoona
    Senior Master Planning Manager

  •  
    9

    Ian P

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    Unfortunately there is a fine dividing line between simple and simplistic anmd many people do not appreciate the difference.
    In any Western legal system running a business can never be simple, especially as it achieves certain key critical sizes. The best we can hope for in reality is straightforward (the original second S in KISS).
    Knowing your goals and having a good idea of how to achieve them is often as good as it gets.

  •  
    10

    andrew-2380

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    Keep it simple is one concept that for one may work in certain situations. In one's own opinion simplicity in business means to know the complexities and developing the rules and process so others clearly understand.

    Simple means having people understand and comprehend your/company's thoughts.

    Also simple is a perception so one also needs to know their audience.

  •  
    11

    steve-k@...

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    Many businesses tend to be too complex to understand. It is hard to be simple...one often needs to understand the complexity of something in order to express it's meaning in simple terms

  •  
    12

    Quench

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    While the solution may be simple, there are typically many complex issues that must be resolved in the process. The proof is usually much more complex than the final answer.

    In too many cases, management is too busy working out the proof before thinking through the final solution and hence the unresolved complexities in the early stages of development. Here in lies the chaos. Too much trial and error puts the team on edge because the vision for simplicity is muddied by the development process.

    Goodwill Hunting - the movie - reminds me how one's simplicity is another's genius. So it is with management.

    One's career is another's stepping stone. Simple solutions and strategies are the rewards of the best and most complex thinkers. Just don't give the answer away until you're ready - really ready.

  •  
    13

    crcadle

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    The one thing that has held for me is that you cannot "generalize" in management. Simple works in some situations but not all. Simple ignores that the people factor and their related emotions are intertwined with each solution. However, I totally agree that a manager should not make something complex to ignore simple solutions. Look for the simple straight forward solution first is always a good idea.

    Chuck Cadle
    CEO
    Enterprise Resources & Capital

  •  
    14

    cinnojra

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    As i have been thought their is beauty in simplicity, i agree to the author: in management , keep it simple. a lot of things now a days are getting complex by merely expressing one's idea and expertise way down or beyond too much an ordinary mind to comprehend. a lot of incoherence and not so fitting processes happened because of complexities during implementation.
    if and only if, management keep all the system in simple style there will be less misconception, less misinterpretation and more creativity resulting to motivated and productive environment.

  •  
    15

    kodekey

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    I think the core principles of an operation can be kept simple. I believe the value system of an organization can be kept simple. This vision and mission of an organization should be clear and easy to understand. There are certain facets of an operation that can always be simplified; however, problems can sometimes be very complex with many variables that can effect the outcome. I think good managers (leaders) must be able to lead in a simple, clear and easy to understand manner while having the ability to attack and overcome complex obstacles. In business, you must grasp both the need for simplicity and the ability to resolve the complex. You cannot survive doing one or the other.

    John Keyes

  •  
    16

    BizTechNet

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    There are a lot of well-thought-out comments here. Each has good points, each attempts to convey, in a small space, the vagaries of reality. I think we're once again playing the semantics game.

    The bottom line is this: The perspective was about management being more effective if we minimize complexity.

    Too many of today's businesses--and individuals--demand that the only valid resolutions to virtually any situation must be based on high levels of complexity, or worse, highly complex technologies. Don't know about you, but I see this nearly every day: I explain to a C-suite professional how they could save enormous money by doing little more than simplifying existing business processes and they respond with complete disbelief--even distrust.

    It's almost as if our (lemming-like?) rush for technologic supremacy has left us deaf to the sheer simplicity of effective human interaction. The absolute core of management is the ability to work and play well with others toward common goals and objectives. When we constantly try to over-complicate the process, we build more walls than results.

    Maybe true wisdom in management is being able to recognize the most effective level of complexity and build upon it to guide others toward unexpected innovation and/or desired results.

    Then again... Maybe there just isn't enough room here to fully focus on the inexplicable nature of this topic.... Yikes!

  •  
    17

    ED-BD

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    It all depends on the size fo the company, at start up , yes you can keep it simple stupid formula works. Not for larger companies. You have many responsibilities and a team needs to be on the same page. There needs to be some kind of check list that is followed daily in order to have a simple management style. One where you can measure weekly what has been accomplished and what is pending. Now, how simple was that to expain.
    jdxiii

  •  
    18

    Steve Tobak

    04/17/09 | Report as spam

    RE: In Management, Keep it Simple

    I thought Steve-K's comment was insightful: "one often needs to understand the complexity of something in order to express it's meaning in simple terms."

    When I said, "some people have a knack for making things more complicated than they need to be", I was probably referring to someone very much like dbmallia. Nevertheless, I should say that I did not "quote" Occam's razor, so I couldn't have misquoted it, and I never said Einstein's theory of relativity was simple.

    As always, thanks for ALL your thoughtful comments!

    Steve Tobak

  •  
    19

    robertgal1

    04/18/09 | Report as spam

    RE: In Management, Keep it Simple

    dbmallia, could you please drop me an empty email to
    robertgal@gmail.com ? thank you

  •  
    20

    yesufa

    04/18/09 | Report as spam

    RE: In Management, Keep it Simple

    Management includes planning, organizing, executing and following up.To make it simple you have to simplify your planning, organizing etc processes. The question is how can you simplify these.

    Yesuf Ademnur
    Addis Ababa

  •  
    21

    charlesmosiria

    04/18/09 | Report as spam

    RE: In Management, Keep it Simple

    simplicity is relative, it depends on the situation at hand or the type of industry one is operating in. There are no defined rules of management, what works for google might not necessarily work for yahoo, microsoft or for that matter my company.

    I am interested in getting an angel capitalist\partner to expand my software development company based in Kenya into offering business processing outsourcing in software development and digital document archiving in the tune of $375k. Kenya will overtake India and phillipines as the next BPO destination of choice due to time difference with most European countries, good spoken and written English, highly skilled and affordable labour

    kindly visit us at www.skycomafrica.com

    Regards

    Charles Ombongi
    Business Development Manager
    Skycom Technlogies
    Tel:+254612034044
    Mobile:+254721708941
    Mobile:+254721708941
    Email:charles@skycomafrica.com

  •  
    22

    Nareshsh

    04/18/09 | Report as spam

    RE: In Management, Keep it Simple

    Management is science, how to keep it simple is any body's guess. Planning, organizing,exexution are all the functions needing logic to handle all sorts of situations including the complex ones.
    I think it's our attitude, our mind that needs simplicity. Philosphically, treating human beings as human beings irrespective of their cast, creed and status seems to me the simplicity and this is what should find place in the process of management.

  •  
    23

    Ourida

    04/20/09 | Report as spam

    RE: In Management, Keep it Simple

    Alexander the Great when presented with the challenge to
    undo the Gordian knot, that many had failed to undo, he took
    his sword and cut the rope. so there you have it. Simplicity
    my friend.

  •  
    24

    dmburu

    04/20/09 | Report as spam

    RE: In Management, Keep it Simple

    Good business management is a dream come true to every person in business. It does not require a miracle to happen but 'passion'. Remember, every succes "starts with you"

    Am an upcoming young Kenya business manager. lets share for a better tomorrow.

  •  
    25

    Ian P

    04/21/09 | Report as spam

    RE: In Management, Keep it Simple

    Ourida
    Alexander the Great (AliG??) didn't apply a simple solution, he applied an inappropriate one that destroyed the puzzle.
    He failed to appreciate the problem, he applied a brute force method and destroyed the 'business model'
    My guess is he also said "LETS CUT THE CRAP" just before he applied his blade.
    Would he have been a MBA qualified banker today?

  •  
    26

    Ourida

    04/22/09 | Report as spam

    Ian

    His objective (I am speculating here) was
    effectiveness. In a real dangerous situation I
    would like to be surrounded by such thinkers, that
    look outside the box for solutions, rather than
    trying to follow a business model that might not
    be appropriate for the situation.It is bold, I
    agree, but not many managers dare to be bold, that
    is the problem. Todays managers in trying to be
    constantly politically correct, have a tunnel
    vision that results in losing opportunities and
    thus managing poorly.

  •  
    27

    mifheili@...

    04/24/09 | Report as spam

    RE: In Management, Keep it Simple

    I agree with your call to "Keep it Simple", but advocating such a management style (more than a management pholosophy) encourages the "Get Bys" behavior, and young managers would more likely let things happen instead of planning for things to happen.
    We all need to remember that in today's marketplace, lack of patience amongst fresh graduates, and corporates' desires to change is pushing young people up the management ladder way before they have had time to develop the managerial's "core Competencies". The one which I think has been severely downplayed in practice is "professional and managerial maturity", which can only be developed after a good number of years of On-The-Job training.
    YES, keep it simple, but I would like to have seen in your article significant emphasis on planning because "Failure to plan is a plan for failure".
    I say that about planning because many of the young managers I know they greatly associate planning with complexity. and if they decide to shy away from complexity, they will indeed fall in the trap if "let things happen" and don't plan..... and that breeds danger in corporate decision making.
    Thanks for letting share my thoughts with your readers.
    Regards
    Mohammad I. Fheili
    mifheili@terra.net.lb
    mobile +9613337175
    Organizational Planning & Development Specialist

  •  
    28

    sasidharan

    04/27/09 | Report as spam

    RE: In Management, Keep it Simple

    The objective should be to keep management simple. Consider what must be delivered to achieve success and assigning the appropriate resources and responsibilities in accomplishing the deliverables.

  •  
    29

    MeetTheBigBoss

    05/01/09 | Report as spam

    RE: In Management, Keep it Simple

    Dear Friends!

    I would like to share a Post from a Friend on Keeping Management Simple - it is related and hence I take the liberty of - Cross Linking it - On this Post.
    Here goes the Link:

    http://managementbycommonsense.blogspot.com/2009/04/commonsense-at-work.html

    Feel Free to Feed Comments at MEETTHEBIGBOSS@gmail.com

  •  
    30

    S K "Bal" Palekar

    07/31/09 | Report as spam

    Not only simplicity but repeatition, focus, reinforcement too

    Thought provoking !! For a manager a big problem today is how to attract attention of the organization and keep them that way. The big problems in the world today is ATTENTION DEFICIT : clutter created by cell phones, land phones, e mails, PC, Blackberries, news, TV etc : most people in the organizations are today avoiding information rather than trying to understand. SIMPLICITY, REPEATITION, FOCUS and REINFORCEMENT are the keys to managing today.

  •  
    31

    dbmallia

    09/07/09 | Report as spam

    RE: In Management, Keep it Simple

    @ Steve Tobak (Post 18)

    When I said that Steve Tobak's post starts with a mis-quotation of the principle of Occam's razor, I was referring to his unfounded assertion that "Occam?s Razor essentially says that all things being equal, the simplest solution is the best". Empirically, however, when people with a tendency to oversimplify and with a phobia of necessary complications are faced with truths more complicated than they can comprehend, their first reaction is invariably denial - by way of illustration, consider Steve Tobak's reply starting off by denying that he quoted the principle of Occam's razor! Such people try to obfuscate matters rather than deal with them even when faced by overwhelming evidence against their arguments.

    Secondly, while congratulating you for not having said that "Einstein's theory of relativity was simple", I would really like to know on what basis you postulate that "Albert Einstein also believed the universe loves simplicity".

    Simplicity (and its more dangerous form - oversimplicity) only survives in the field of management. This is so because in management bad decisions (which are often, but not invariably, the result of a simplistic frame of mind) can always be attributed to something other than the bad decision(s) itself (themselves). The simplicity that Steve Tobak refers to does not survive in fields where the consequences of an action are more immediately and directly apparent. Who would, for instance, be in for a simplified engineering model of a bridge that s/he has to cross over every day? Please count me out.

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