Sub-optimization in organizations typically occurs when focused on what?

Sub-optimization in organizations often arises when teams or individuals concentrate solely on their specific, individual organizational goals without consideration for the broader objectives of the organization as a whole. This can lead to inefficiencies and misalignments where departments or units might achieve their own targets but inadvertently hinder the overall performance and effectiveness of the organization.

When individuals prioritize their own goals, it can create silos that result in a lack of collaboration, poor communication, and a narrowed perspective on how their work impacts other areas. This disconnect can lead to a situation where the success of a single unit does not contribute positively, or even detracts from, the overall health of the organization. Such a mindset often undermines the potential for integrated efforts that optimize the entire system.

In contrast, focusing on deliveries, the flow of information, or the customer can lead to more holistic approaches that benefit the organization as a whole rather than just one part of it. For example, prioritizing customer needs may drive improvements that benefit multiple departments, fostering a more collaborative environment that supports overall organizational success.