TL;DR: The most stable and predictable organizations are bureaucratic.
A sustainable business resembles a well-oiled pipeline of meticulously established processes that guide the customer from initial contact to becoming an enthusiastic expert user.
The smoother each process, the more comprehensible it is for employees, and the more predictable work becomes for everyone. This precision reduces errors to a minimum, leaves no room for employee confusion, and enables management to focus on strategic planning.
Internal regulations assure this clarity and predictability. In an ideal organization, procedures should encompass all possible scenarios. The most durable, enduring organizations often exhibit a high level of bureaucracy.
The stability of any bureaucratic entity is maintained by a comprehensive, evolving system of regulations and guidelines, particularly in how they address non-standard situations and crises.
Each regulation should yield a response to input data in the form of a number or a Boolean value.
It’s essential to note that regulations, while important for operational stability, may not foster innovation. Innovation thrives in an environment of maximum freedom, which should be carefully outlined within specific regulations.