When Smaller is Better
Large organizations decrease empathy and connection
The American ethos is that bigger is better. Whether it’s building taller buildings, maximizing profits, or growing an audience, Americans are driven by the mentality that big equals success. But size is only one metric of success. And it may not even be a healthy one when it comes to true happiness and fulfillment.
The bigger-is-better mentality came up in an interesting way last week when author Ryan Holiday was interviewed on the Joe Rogan podcast. Holiday shared how moving from New York City to Texas fundamentally changed his perception of big-city life. While he once enjoyed the noisy bustle of NYC, now when he returns to the city, he finds it overwhelming.
Joe noted that “humans aren’t designed to be stacked on top of each other” in massive cities. It leads to a “lack of appreciation for other human beings because they’re a burden.” “The value of people diminishes to the point where people become a liability instead of being an asset.”
Ryan observed, “It’s not healthy. The day-to-day life of New Yorkers is actually much worse than they want to admit; they just built up a tolerance to it.” The condensed living and noise pollution “turns down your ability to empathize because if you did empathize you’d be paralyzed. You have to turn off that part of your brain.”
Interestingly, Thomas Jefferson made a similar observation about condensed living and its negative consequences over two centuries ago: “When we get piled upon one another in large cities, as in Europe, we shall become as corrupt as Europe.”
The same could be said of large corporations. The sheer size of the organization leads to lack of connection to colleagues and a loss of purpose and meaning. It can also lead to corruption at the top as leaders become disconnected to the customers and employees their company was designed to serve.
I’ve coached many professionals in Fortune 500 companies and I hear a common theme during our sessions: “I miss the feeling of being part of a smaller team focused on an inspiring mission.”
The larger the company, the less connection we have with colleagues and more likely we are to feel like a cog in a machine. It’s also challenging to align so many people around an inspiring vision that they can connect directly to their day-to-day work. It’s not impossible, but it is more challenging.
This raises an intriguing question for conscious leaders: at what point does an organization become so large that it risks losing the connection and mission-focus that motivates and inspires team members?
Some leaders have begun to advocate for the idea of scaling out instead of up. In other words, limit the size of a company’s growth by spinning off partner companies. That way the organization never grows to the size where employees feel disconnected or disempowered.
Based on what I’ve observed in countless sessions with employees at large corporations, this is a welcome idea that could transform how we work.
In 2020, Forbes profiled 25 businesses that believe smaller is better. A common theme amongst the owners of these companies is that they didn’t want to sell-out to venture capitalists or Wall Street investors because they’d lose control of the company and its mission and culture. In one inspiring example, marketing company Firespring did succumb to the allure of outside investment, but bounced back:
In 2002, one decade after he had founded the business, Jay Wilkinson was fired as CEO by the investor-led board of directors after refusing to lay off employees amid the economic downturn that followed 9/11. Four months later, with the help of family and friends, Wilkinson bought out the venture capitalists. Within two years, the business was profitable again. We climbed out of it and we survived,” Wilkinson says. “The culture that we have today was forged in the fire when we were just trying to save the company.”
In fact, Firespring has a highly conscious motto: We leverage our people, products and profit to do more good.”
Humans will probably always be attracted to the allure of building bigger and better. We’re drawn to pushing boundaries and proving what was once impossible is actually possible. But when it comes to building the systems that support our lives and work, smaller may be better.
As a conscious leader, consider your motivation in building your career, your organization, your team, and your personal priorities like wealth and relationships.
What drives you to build bigger?
Is it ego-driven, or is it a desire to see what’s possible?
What impact does your ambition have on you and those around you?
Could you achieve the same levels of happiness and fulfillment by keeping your company or team smaller?
As Ryan Holiday noted, the bigger a city gets, the less empathy and peace we have. If we want to create highly conscious organizations, empathy and a culture focused on supporting stakeholders is essential. Perhaps it’s time to embrace the perspective that bigger isn’t necessarily better. Sometimes smaller is better because it fosters greater connection and purpose. It’s a conscious leadership concept worth considering as we co-create the future of work.
Work happy. Live happy. BE happy.
Meredith
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The way we work and build teams is rapidly changing. Leaders often feel unprepared to navigate the transition. As a conscious leadership coach, consultant and communicator, Meredith helps leaders and their teams create new ways of working and relating so they can prepare for the future by consciously co-creating it.
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