People need freedom to act. Motivated, trained, and well-inculturated people don’t need to be “controlled.” Adults don’t need to be treated like children. People tend not to do their best work with someone looking over their shoulders.

Do people in your company—all people—have the authority (i.e., without approval from anyone) to make decisions that cost money? They ought to. Whoa! We bet that got your attention. Are we serious?

Yes. We’re very serious. Of course, we don’t mean that all people should have the authority to commit the company to million-dollar contracts, or that front-line clerks should be able to authorize the purchase of a new building. But people should have wide discretionary power to take responsibility to make sure something gets done fast, and done right.

As you may have noticed, people with power are typically reluctant to give it up, and often have the means to defend their prerogatives. This is a serious impediment, since there’s no way to build a human-centric organization without flattening the pyramid.

...even if your employees spend a little more when you give them freedom, the cost is still less than having a workplace where they can’t fly. If you limit their choices by making them check boxes and ask for permission, you won’t just frustrate your people, you’ll lose out on the speed and flexibility that comes from a low-rule environment.

People desire and thrive on jobs that give them control over their own decisions. Since the 1980s, management literature has been filled with instructions for how to delegate more and “empower employees to empower themselves.” The thinking is exactly what we’ve heard from Paolo. The more people are given control over their own projects, the more ownership they feel, and the more motivated they are to do their best work. Telling employees what to do is so old-fashioned, it leads to screams of “micromanager!” “dictator!” and “autocrat!

I’m comforted by something I’ve come to believe more and more in recent years—that it’s not always good for one person to have too much power for too long. Even when a CEO is working productively and effectively, it’s important for a company to have change at the top. I don’t know if other CEOs agree with this, but I’ve noticed that you can accumulate so much power in a job that it becomes harder to keep a check on how you wield it. Little things can start to shift. Your confidence can easily tip over into overconfidence and become a liability. You can start to feel that you’ve heard every idea, and so you become impatient and dismissive of others’ opinions. It’s not intentional, it just comes with the territory. You have to make a conscious effort to listen, to pay attention to the multitude of opinions. I’ve raised the issue with the executives I work most closely with as a kind of safeguard. “If you notice me being too dismissive or impatient, you need to tell me.” They’ve had to on occasion, but I hope not too often.