What if there was a way to transform your organization into a dynamic, agile, and purpose-driven entity? Well, that’s what a teal organization is all about! Pioneered by Frederic Laloux's research, this governance model is described as the most advanced stage of organizational evolution.
A teal organization not only challenges conventional wisdom, but also opens up new avenues for innovation, resilience, and employee empowerment. If you’re looking to implement more agile ways of working, then listen up: this is for you! In this article, we delve into what makes an organization teal, the benefits of such a transformation, how to achieve it, and which tools can help you along the way.
A teal organization is an entity that transcends traditional hierarchical structures, and seeks to embrace three core principles: self-management, wholeness, and an evolutionary purpose.
Self-management means that team members don’t need to ask for their managers’ approval to make a decision. Instead, decisions are made through seeking advice from colleagues and taking advantage of collective intelligence.
Wholeness means that employees are encouraged to be themselves and freely express their emotions at work. This helps create a work environment where personal and professional growth go hand in hand.
Evolutionary purpose means that a teal organization is continually evolving and adapting to its environment. Instead of adhering to a fixed plan, it embraces change as a natural process to achieve its purpose.
Watch this webinar to understand how this works, and how a teal organization is structured.
The journey to understanding teal organizations began in 2014 with Frederic Laloux's book, "Reinventing Organizations". In this book, he outlines five stages of organizational development:
If you’re curious about what makes an organization red, amber, orange, green or teal, then have a look at the video below.
Contrary to traditional models, teal organizations prioritize flexibility, employee empowerment, and a holistic approach to organizational success. Since they’re the latest stage of organizational development, they’re thus considered as the response to the increasing complexity of today’s business landscape.
In a teal organization, work is not only about achieving goals; it’s also about personal growth and contributing to a greater good. Therefore, transitioning to teal is more than an organizational change. It requires a cultural shift that challenges deeply ingrained beliefs about authority, control, and success.
Embracing a teal organization structure offers numerous advantages. Here are some of the key benefits to bear in mind:
In short, transitioning to a teal organization not only revolutionizes the way work is done, but also contributes to a more fulfilling and meaningful work experience for everyone involved.
Also read: The Pros & Cons of Going Teal
Before embarking on the journey to become a teal organization, it's crucial to assess whether your organization is ready for it. Here are key factors to consider before going all in:
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Implementing teal is a profound journey that involves rethinking traditional structures and practices. Here’s a roadmap to guide your organization through this transformative process.
First, begin by educating leaders and employees about teal principles. Share resources, organize workshops, and invite speakers to inspire your organization with success stories of teal transformations.
Facilitate discussions to co-create a shared vision of what becoming a teal organization means for everyone involved. And make sure this vision aligns with your organization's evolutionary purpose.
Also read: How To Approach Onboarding in Teal Organizations
Implement structures that empower individuals and teams to make decisions relevant to their work. For example, this can involve setting up cross-functional teams with the autonomy to lead projects.
Encourage teams to set their own goals, manage their resources, and take accountability for outcomes. Provide training and support to help them develop the necessary skills for becoming a self-managed team.
PS: watch this webinar to know what it takes to implement self-management 💪
Create an environment that supports personal and professional growth. This includes offering opportunities for learning, reflection, and sharing personal insights and experiences.
Implement practices that encourage open and honest communication, such as regular check-ins, feedback loops, and specific channels for sharing ideas and concerns.
Engage the whole organization in discussions to clarify and articulate your evolutionary purpose. This purpose should then guide decision-making, strategy, and daily operations.
Encourage an organizational mindset that is open to change. Make it a practice to regularly review and adapt your purpose, strategies, and operations based on internal feedback and external changes.
Treat the transition to teal as an iterative process. Regularly gather feedback from all levels of the organization to understand what is working and what isn't. Then use it to make informed adjustments to your organization’s practices, structures, and processes.
Approach obstacles and setbacks as chances to learn and grow. Encourage discussion of challenges to collectively find solutions and deepen the organization's resilience and adaptability.
Implementing a self-management platform like Holaspirit is a great way to get started with teal. It can help you improve your organization’s transparency, empower your teams, accelerate decision-making, and make sure everyone is aligned with your purpose.
Holaspirit offers several features that are designed exactly for this:
Since we understand the challenges that come with going teal, we also partner with experienced coaches who specialize in guiding organizations through this process. So wherever you are in your teal journey, feel free to ask for our help!
PS: Check out this webinar to see how our platform Holaspirit works and what services we offer. Or simply schedule a demo call with our team by clicking on the button below 👇
By embracing the principles of self-management, wholeness, and evolutionary purpose, teal organizations can unlock unprecedented levels of agility, innovation, and employee engagement.
However, the transition to teal is not without its challenges. It requires a deep commitment from all levels of the organization, a willingness to embrace uncertainty, and a dedication to continuous learning and adaptation.
Now if you're interested in teal organizations, you probably still have questions. For example, what's difference between teal and other organizational models? How can you choose the right model for your organization? And what are the best practices for successfully implementing it? Well, look no further, we have all the answers that you need in our new white paper 👇
In our white paper "The Ultimate Guide to Organizational Models", you'll get: a comprehensive overview of innovative organizational models (like Agile, Teal, Holacracy, Constitutional Management, and more), testimonials from pioneer organizations that have successfully adopted it, best practices for choosing, implementing and measuring the effectiveness of our model, as well as digital tools to facilitate the transition.