Situation 2 in Natural Development
After surfacing from Situation 1, we move into Situation 2. In this phase, attention shifts to addressing structural problems and embracing the key action: organizing.
A striking example of this can be found in a production environment like General Biscuit Nederland. During a course on Statistical Process Control, workers weighed cookie packs and recorded the data in a time series. These charts revealed trends and patterns that had previously gone unnoticed. The result? Flour consumption decreased from nine to eight truckloads per day, thanks to adjustments made during the course itself. The production director described it as having a “sewing machine in production” because everything ran so smoothly.
This phase often brings tangible results: efficiency improvements of 5-6% and noticeable gains in quality of production or services are not uncommon.
The Characteristics of Situation 2
In Situation 2, individuals have come above water—they know their tasks and can handle their work effectively. However, they can no longer tackle the remaining issues alone. Addressing structural problems requires collaboration with those who provide their work and those who receive it.
There is not yet a full sense of being a team, but errors and incidents have dropped to acceptable levels, and structural challenges are now visible.
Conversations on the shop floor begin to reflect a shared sense of purpose and self-confidence. Words like “we,” “confidence,” “goodwill,” “proactive,” “creative,” “organized,” and “collaborative” start to dominate. Management language also evolves to include terms such as:
- Coordinating
- Specifications
- Key Performance Indicators (KPIs)
- Managing priorities
- Projects
- Processes and procedures
- Rules, teamwork, and multidisciplinary efforts
Collaboration becomes essential as employees realize that solving the remaining issues requires working together. By learning from one another and creating functional agreements rather than rigid instructions, teams aim not only to complete their tasks but to perform them well and as part of a group.
As social beings, this collective approach naturally aligns with our instincts. Teams seek legitimate and achievable goals to improve performance—goals tied to external references such as customers or clients. In some cases, these references might even include others who are impacted by their work.
The Challenges of Organizing
Initially, teams focus inward, working to coordinate tasks and refine their identity. However, this internal focus can create a sense of exclusivity. Teams may unintentionally become closed off, excluding others while they solidify their identity and processes.
This closed phase is a critical moment for leaders and facilitators. While they may want to intervene or assert control, their role is often questioned in this phase. Resisting the urge to interfere or defend their position is essential.
Even customers may feel the effects of this internal focus, perceiving teams as efficient but distant or even arrogant. One employee from a high-performing team once put it this way:
“We served the customer professionally, but they [another team] served the person behind the customer.”
Teams only begin to open up to external collaboration once they have mastered their internal coordination.
From “Work” to “Organizing Work”
If Situation 1 focuses on the content of the work, Situation 2 centers on the organization of the work.
The act of organizing involves aligning tasks and responsibilities. However, this does not mean rigid hierarchies or top-down rules. Instead, it resembles the natural organization seen in small groups, such as hunter-gatherer societies described in The Human Evolutionary Book (often referred to as “The Paradise of Adam and Eve”).
In small groups, organization emerges organically from shared needs and experiences. In larger groups, such as agricultural or urban societies, rules and systems are imposed to maintain order—often creating friction between these two approaches.
In the context of natural development, the focus is on smaller groups of up to 250 people, where organic collaboration thrives.
Looking Ahead
Situation 2 represents a significant milestone in natural development. Teams begin to function cohesively, tackling structural problems together. However, this phase also presents challenges, particularly around balancing internal coordination with external collaboration.
In our next blog, we’ll explore Situation 3, where the focus shifts to strategy and innovation as teams learn to look outward and address broader organizational goals.