When the social change sector meets Sociocracy
Purpose and Governance align
This crisis in India is showing us the importance of ‘competent governance’. A line my friend of mine in the U.S. said a couple of days ago while we were giving each other Covid updates from our respective countries.
Ideology alone is not enough; having a clear purpose alone won’t get you to your destination. It needs to be matched with good governance, so the system is resilient.
Purpose and governance are linked; one is worthless without the other.
I want to talk about this particular linkage in the context of the social change sector. I want to show why I believe a participatory governance model like Sociocracy is well matched to the purpose of a social change enterprise.
Purpose in the social change sector
Social change enterprises whatever their legal framework, whether for-profit or not-for-profit, are essentially addressing issues around social inequalities. Equitable access to health care needs, well being, sustainable use and management of natural resources, transparent and effective delivery of public services, justice and equal share of voice are often issues on the agenda of the social change sector. If you read the purpose of a socially driven enterprise it often addresses equality, justice and sustainability.
Governance
Governance is about how power is distributed and shared, how policies are formulated, priorities set and stakeholders made accountable. And ‘good governance’ means that governance is transparent, participatory and responsive.
Of all the definitions of governance on the Internet, I found this note from the International Bureau of Education on the Concept of Governance to be simple and understandable.
“Governance refers to the structures and processes that are designed to ensure accountability, transparency, responsiveness, rule of law, stability, equity and inclusiveness, empowerment and broad-based participation. Governance also represents the norms, values and rules of the game through which public affairs are managed in a manner that is transparent, participatory, inclusive and responsive.”
“Governance systems set the parameters under which management and administrative systems will operate….”
When we hear the word ‘governance’ we often connect it to ‘Governments’ or ‘Corporate Board level Governance’. In fact, governance structures and processes can exist at different levels from global governance, non-profit governance to even project governance. Governance is needed and applicable to certain fields like education, environment or the Internet. Finally different governance models can exist like democratic governance, participatory governance and cooperative governance etc. So, ‘governance’ is more than just our national governments.
So what has purpose got to do with governance?
Purpose describes an enterprise’s contribution to the external world. While, governance as it relates to internal organizational governance is about how the enterprise is set up internally to achieve its purpose.
Internal organizational governance is about how the enterprise is set up internally to achieve its purpose
Shouldn’t enterprises working in the social change sector govern themselves on the same principles and values that they seek to influence and change in the outside world?
Shouldn’t the very same social problems that enterprises are finding solutions for, i.e. equality, justice, transparency, and responsiveness also be expected of and practiced within an organization?
Although good governance models must exists in all communities and organizational set-ups. I believe a participatory governance model like Sociocracy is probably most aligned to the purpose of the social change sector.
Sociocracy (Dynamic, participatory governance)
Sociocracy is a participatory governance system based on the belief that those who associate together decide together. Sociocracy is designed on the principles of transparency, equality and effectiveness.
The core elements of this governance system are a ‘circular hierarchy’, ‘consent based decision making’ and ‘double linking teams in the hierarchy’.
What I like about Sociocracy is that it sets the stage for good governance. If ‘good governance’ is transparent, participatory and responsive, then Sociocracy ticks those boxes. Sociocracy gives you a ready-made checklist for what makes an effective, well-governed organization. Any organization design consultant or organization theorist will point to the value of having these elements designed into an organization.
When you work with someone to implement Sociocracy here’s what you will be focusing on:
1. Defining your mission, aims and domain
2. A clear hierarchy that is double linked with a leader and another team representative
3. An agreed decision-making rule and procedure. The predominant rule of ‘consent’ or ‘no objection’. Decisions integrate objections and concerns.
4. Teams defined by their aims and domains and clear roles for both team tasks and team processes (i.e. a leader who is supported by others in managing the team)
5. Roles filled through elections and consent decision making.
6. Transparency as a principle. Sharing information that could affect a person’s ability to perform their task.
7. Systems, processes and policies are designed to with a feedback loop (plan-do-measure-learn).
8. Participation as a principle. Seek advice and input from those who can help improve a proposal. When a decision or policy needs to be approved, seek consent from people in whose domain the decision falls.
9. A structure and process for how information and knowledge is managed and shared.
10. Defining hand-offs and handovers in work processes, improving understanding of inter dependencies among groups.
In social change enterprises the belief is that
1. Hierarchy is equated with autocratic rule.
2. Participation is seen as impractical. Listening to and integrating objections and concerns will slow us down.
3. Effectiveness is often an external measure of the work done, rarely is it an internal measure.
4. Transparency poses a security risk and could damage our reputation.
5. People are motivated by the purpose of the enterprise alone
Maybe Sociocracy can teach that
1. Hierarchy is holding power with rather than power over.
2. Integrating concerns and objections improves the quality of work. When done properly integrated decisions can be fast and effective.
3. Effectiveness can be used as an internal measure too.
4. Transparency enables trust, but it needs to be balanced as does every other principle or element.
5. Good governance is equally motivating for people working in any system. After all self-directed individuals will find their home in a Sociocratic governance model.
As I write this piece India is witnessing one of its worst humanitarian disasters since the partition. We clearly lacked good governance. The government is blamed for losing sight of what was important, not listening to different voices, not integrating concerns and objections etc. etc. If we had a government that was transparent, participative and responsive we could have averted this disaster.
These words — collaboration, learning, cooperation, and transparency are not new in the governance lexicon. Most value statements of organization will have one or more of these words. If these values are not embedded within the systems and processes of an entity, then they will just remain words that will reside in a document somewhere in the virtual world.
It’s time we set our own organizations in order and implement the practices that make for good governance. I believe Sociocracy can provide a clear framework to raise the bar for good governance everywhere. And when we demand good governance from our national governments we do so from direct experience.
If you need more convincing, here are some case studies and an article:
Case study 1 — Sociocracy in a data analytics firm
Case study 2 — Sociocracy in a food cooperative
‘Sociocracy will govern tomorrow’s projects’ — Beauvillard, P. (2012). Sociocracy will govern tomorrow’s projects. Paper presented at PMI® Global Congress 2012 — EMEA, Marsailles, France. Newtown Square, PA: Project Management Institute.
If you’d like a presentation on Sociocracy or would like to jump in and implement some or all parts of Sociocracy please write me at parveen.sherif@gmail.com
