Overcoming Obstructionism. How to break through in a big company
Your work should feel like you’ve made a dent in the universe. It should energize you.
But working in a huge company can become a political civil war. Each day is a clash with obstructionists who want to keep things the same – even when change is essential.
To build a breakthrough in a large company, you have to first overcome obstructionism. Obstructionism is a feature - not a bug. It’s ubiquitous because people are more scared of losing power than their company becoming obsolete. It forces incredible innovations to spiral into toxic politics. If it’s allowed to fester it becomes a corrosive, expensive, black hole.
All major breakthroughs happen in a big company because of someone who was able to recognize the obstructionist defense and call the right play to get past it. Here’s how they do it.
There are 5 obstructionist archetypes in every company:
1. The skeptic - The skeptic distrusts every idea. They never believe it can or should be done. Every organization has skeptics, and you will never pitch anything in any company without encountering skepticism. A subset of the skeptic is the weathervane, someone who will only say yes once everyone else says yes.
2. The Cops - Every company has its version of the cops. The brand police, the compliance police, the software architecture police, the legal police etc… It is their job to make sure that everything the company says, does, or builds doesn’t get anyone into trouble. It’s their job to worry about everything. In heavily regulated industries the cops have enormous influence. In startups (and any company run by Elon Musk) they usually have too little influence.
3. The Traditionalist - The traditionalist resists innovation when it deviates from what they’re used to. "That's not the way we do things around here” is their most common refrain. In huge companies, especially in mature industries, traditionalists tend to dominate executive leadership. They stopped asking why things are done ‘this way’ a long time ago.
4. The Territorialist - “No you can’t speak to my client/ sell in my territory/ use my technology/ speak to my supplier.” In a big company your power is inherently tied to your territory. You can get away with underperformance (for a little while anyway) if you can also prevent anyone else from speaking to your prize client/ supplier/ or got-to-market channel. These people are evil.
5. The Capitalist - The capitalist will only approve projects that will have a pronounced, predictable and near-term impact on growth, profitability and stock performance. The capitalist behaves differently in different industries. But generally speaking, in large established industries, (especially non-technical industries) the capitalist will be more inclined to exploit rather than explore. That is, they prefer to fund minor upgrades of existing businesses rather than incubated new projects. Equally they favor innovation through acquisition rather than homegrown ventures. The capitalist often has to explain and defend the company's financial performance to investors. They’re usually bad at simply explaining what investors want, and incredulous that you don’t already know.
For Every Obstructionist There’s A Strategy To Move Past Them:
1. The skeptic - Never pitch an idea - only pitch an outcome. No one with power risks anything when they say no to an idea, which is why you should never pitch one. You need to show that you’ve built something, tested it with real people, and have data to suggest that it might be the answer everyone’s been waiting for. When you’ve produced an outcome, the executive who says no is taking a risk. They risk drawing a backlash from other executives who have been waiting for a credible solution.
2. The Cops - Enlist the cops as co-creators. The most common mistake innovators make with the cops is that they build something, deliver an outcome, and once they’re ready to roll it out, they ask the cops for approval. This ALWAYS backfires. The cops take great pride in their ability to thwart product launches. The correct approach is to enlist the cops as co-creators as early as possible. Have them clearly define what the constraints are. And then ask them to help build with you.
3. The Traditionalist - The first mover can't also be their own first follower. We wouldn’t still be talking about Jesus if not for the Apostles. You must enlist an executive evangelist who is trusted by other executive leaders. They must serve as the mediator between you and the traditionalist.
4. The Territorialist - “I don’t want to change your mind.” The mistake most people make when they encounter the territorialist is direct confrontation. They’ll try to convince them to grant access through force, intimidation or persuasion. None of these techniques work. The territorialist will only become more resentful and suspicious. The correct move is to do nothing. Say, “I miscalculated. You clearly know more about your client than I do and I was wrong to think they might benefit from this.” The next move is to roll out the product or service with multiple other clients. Once there is a critical mass of happy first customers, call the territorialist and say, “Hey, I know you said your customer wouldn’t want this. But we’re having a dinner/ party/ demo day and many other clients will be there. I reserved a table for you and your client if you’re interested. If not - no problem.” The subtext of this offer is “the train is leaving the station and your client will be furious to learn that you refused to offer them a seat.”
5. The Capitalist - Early investor defensibility. As early as possible you need to understand how your innovation will grow sales, reduce costs, or reduce risk. How would your CFO or CEO defend what you’re working on to an innovation-agnostic investor? At every stage of growth you should be able to explain how what you’re doing is a good use of other people’s money.
Once converted, many obstructionists will become your strongest, most committed allies. You, it turns out, are the leader they've been waiting for.
