Summary of “Change to Strange: Create a Great Organization by Building a Strange Workforce” by Daniel M. Cable (2007)

Summary of

Human Resources and Talent ManagementCompensation and Benefits

Daniel M. Cable’s “Change to Strange” makes a compelling case for organizations to cultivate a distinctive and unconventional workforce to achieve extraordinary success. Leveraging his expertise in organizational behavior and management, Cable offers actionable strategies and practical examples to help businesses embrace the strangeness that drives innovation, creativity, and competitive advantage. The book is crucial for those vested in compensation and benefits, as it emphasizes aligning those aspects with the goal of fostering a unique workplace culture.

1. Understanding and Embracing Strangeness

Major Points:
– Cable argues that exceptional organizations thrive on the unique abilities and perspectives of their employees.
– “Strangeness” refers to the distinctive attributes, talents, and approaches that set a workforce apart.
– By fostering an environment where diverse, unconventional ideas are celebrated, companies can innovate and differentiate themselves from competitors.

Examples and Actions:
1. Example: Southwest Airlines hiring policy, which prioritizes personality and attitude over experience.
Action: During hiring processes, focus on candidates’ unique qualities and potential cultural contributions rather than just qualifications or experience.

  1. Example: Google’s policy of allowing engineers 20% of their time to work on personal projects.
  2. Action: Implement a similar policy that grants employees dedicated time to explore innovative ideas.

2. Building a Strange Workforce

Major Points:
– Identifying, attracting, and retaining a workforce with the right blend of skills and eccentricities is crucial.
– Standard hiring practices often filter out unconventional but potentially high-performing candidates.
– Organizations should redefine their criteria to value diverse experiences and thought processes.

Examples and Actions:
1. Example: Zappos’s hiring process includes offering new employees $2,000 to quit after the first week if they don’t feel aligned with the company culture.
Action: Introduce an evaluation period where new hires can mutually assess fit, with incentives that encourage honesty and cultural alignment.

  1. Example: Pixar’s practice of holding “brain trust” sessions where feedback is brutally honest, irrespective of hierarchy.
  2. Action: Create feedback loops that allow for candid and fearless input, ensuring even the most ‘strange’ ideas are considered and refined.

3. Cultivating a Strange Organizational Culture

Major Points:
– Organizational culture should encourage risk-taking, curiosity, and continuous learning.
– Leaders play a pivotal role in modeling and reinforcing these cultural norms.
– Employee recognition and reward systems should celebrate unconventional successes and learnings from failures.

Examples and Actions:
1. Example: IDEO’s “Fail often to succeed sooner” motto.
Action: Establish a recognition program that celebrates both successful innovative projects and meaningful failures, reinforcing a culture of experimentation.

  1. Example: 3M’s 15% rule encouraging engineers to spend a portion of their time on self-directed projects.
  2. Action: Design similar internal initiatives that provide employees with structured yet flexible opportunities to pursue passion projects that might benefit the organization.

4. Aligning Compensation and Benefits with Strangeness

Major Points:
– Traditional compensation and benefits packages may not fully engage or reward unconventional employees.
– Tailoring rewards to complement the unique contributions and motivations of the workforce is essential.
– Performance metrics should encompass creativity, collaboration, and long-term impact, not just immediate results.

Examples and Actions:
1. Example: Netflix’s policy of not tracking vacation days, focusing instead on what employees accomplish.
Action: Transition to a results-oriented work environment where employees are evaluated based on outcomes rather than hours logged.

  1. Example: Salesforce’s V2MOM (Vision, Values, Methods, Obstacles, and Measures) framework to align personal and organizational goals.
  2. Action: Implement a goal-setting framework that helps employees align their personal objectives with the company’s mission, facilitating both individual and corporate growth.

5. Leadership’s Role in Nurturing a Strange Workforce

Major Points:
– Leaders must exemplify the qualities and behaviors they wish to see in their teams.
– Effective leaders recognize and cultivate the unique strengths of each employee, creating an environment of mutual respect and collaboration.
– Leaders should focus on removing barriers that hinder creative expression and innovation.

Examples and Actions:
1. Example: Encouragement of dissent at Bridgewater Associates, where employees are encouraged to challenge decisions and ideas, including those of the CEO.
Action: Foster an open-door policy where team members at all levels feel comfortable voicing their opinions and challenging the status quo.

  1. Example: Herbert Kelleher, co-founder of Southwest Airlines, famously leading by example with a focus on humility and team spirit, often helping with baggage handling or serving drinks.
  2. Action: Engage in frontline activities and be visible in everyday business operations to build rapport and demonstrate commitment to the workforce.

6. Challenges and Solutions in Implementing Strangeness

Major Points:
– Organizations may face resistance when attempting to introduce unconventional practices.
– Clear communication about the value and purpose of these changes is essential for buy-in.
– Continuous reflection and adaptation are necessary to address issues as they arise.

Examples and Actions:
1. Example: Apple’s relentless focus on design and customer experience, sometimes resulting in delayed product launches to ensure the highest standards.
Action: Promote a culture that prioritizes quality over speed, encouraging thorough research and development even if it lengthens timelines.

  1. Example: Facebook’s “Move Fast and Break Things” motto encouraging rapid iteration and acceptance of failure.
  2. Action: Create an environment that not only tolerates but expects iterative progress and frequent pivots, reducing stigma around short-term failures.

7. Sustaining a Strange Workforce

Major Points:
– Maintaining an environment that supports a strange workforce requires ongoing effort and vigilance.
– Policies and practices must evolve in tandem with the organization and its workforce.
– Frequent engagement with employees to gather feedback and make necessary adjustments is critical.

Examples and Actions:
1. Example: LinkedIn’s “InDays,” where employees spend one day per month on creative projects, learning, and volunteering.
Action: Introduce designated innovation days that allow employees to step away from routine tasks and engage in creative, exploratory activities.

  1. Example: Patagonia’s commitment to environmental sustainability permeates all aspects of its business, reinforcing its unique organizational culture.
  2. Action: Develop and adhere to a set of core values that resonate with and inspire the workforce, ensuring these values are reflected in everyday practices and decisions.

Conclusion

Daniel M. Cable’s “Change to Strange” is a call to arms for organizations seeking to differentiate themselves in a competitive market. By building and sustaining a strange workforce, businesses can unlock unique strengths, drive innovation, and ultimately achieve greater success. The book’s actionable advice and concrete examples provide a roadmap for leaders to embrace and harness the power of strangeness in their organizations. Implementing these strategies requires commitment, but the payoff—an energized, creative, and highly effective workforce—is well worth the effort.

Human Resources and Talent ManagementCompensation and Benefits