The typical annual goal-setting process results in three major issues: gamesmanship, siloing, and demotivation. This year, what if you tried something different? We're not suggesting that you abandon your goals. Having a motivating alignment mechanism makes a lot of sense. Instead, follow this simple five-step process: 1. Understand the basic constraints. 2. Start with strategy. 3. Make prioritization the first part of your weekly rhythm. 4. Make problem solving the second part of your weekly rhythm. 5. Deep dive or delegate.

In too many companies, too many people are stuck in a vicious cycle of endless meetings - to the point that in order to get any work done, they have to multi-task, paying little attention in most meetings. As a result of split attention, it becomes hard to get anything done in meetings, which typically spawns yet more meetings to pick up the slack. This burden is worse for a company's most skilled people, who tend to be pulled into every issue. Not only does this burn them out; it also means they have little time to develop their colleagues' skills. This dynamic is the direct result of the most common performance management systems. High performance in teams and organizations hinges on the frequency and quality of feedback loops. The "Law of Requisite Variety" suggests that systems must match the complexity of their inputs to perform well. Effective performance management should balance tactical and adaptive performance, ensuring both flexibility and alignment. To achieve this balance, organizations need high-quality, high-frequency feedback loops that motivate teams through play, purpose, and potential. Feedback should be mostly asynchronous to allow for deeper thinking and eliminate bottlenecks. Medium-form writing is effective for coaching and teaching first principles. By focusing on motivation, strategy, problem-solving, processes, and skills, organizations can create environments that drive sustainable high performance and adaptability in dynamic conditions.

Have you ever cut corners? Research and experience show that if employees are motivated by the wrong things, they are unlikely to perform their best. In the worst-case scenarios, even the best employees may cut corners, which in the worst cases can result in calamity. Why Volkswagen cheated on their emissions testing shows how high emotional and economic pressures can lead to the "cobra effect," where misaligned incentives drive harmful behaviors. To foster integrity and high performance, focus on improving total motivation (ToMo) by ensuring employees find play, purpose, and potential in their work while minimizing negative pressures. Key actions include assessing risks to identify high-pressure areas, refining metrics to align with mission and values, setting learning goals instead of performance targets, encouraging open troubleshooting, defining decision-making boundaries, and admitting mistakes to promote a culture of learning and ethical behavior. By transforming the work environment and leadership approach, companies can avoid the pitfalls of unethical shortcuts and achieve sustainable success.

The rapid advancement of technology and AI tools has made it easy to feel overwhelmed and left behind, even for technically inclined individuals. However, this problem goes beyond personal discomfort and has historical implications. Throughout history, major economic transitions driven by automation have led to increased pressure and polarization, ultimately resulting in global conflicts. To avoid repeating this pattern with the rise of artificial intelligence, it is crucial to create inclusive and adaptive work cultures that prioritize continuous learning and problem-solving skills.

A toxic culture of pressure and bureaucracy has taken over many of the top companies - especially the tech giants that others look up to. To avoid burnout, organizations must build cultures that properly manage the six foundational motives of high performance. Research indicates that the reasons behind why people work significantly influence their performance, with Amazon serving as a prominent example. The New York Times's exposé on Amazon's demanding work environment has sparked a broader discussion on workplace culture. Few companies manage to innovate and achieve high performance without causing employee burnout. Amazon, despite its rapid growth and innovation, faces criticism for practices like stack ranking and anonymous feedback, which create emotional and economic pressures detrimental to performance. Effective workplace cultures align with direct motives—play, purpose, and potential—while minimizing harmful pressures. Companies need to design systems that enhance these direct motives to ensure sustainable success and avoid the pitfalls of toxic work environments.

Many organizations are stuck in a vicious cycle, ping-ponging between being either too command-and-control or too hands-off. That's because there are two types of performance, and unless they are properly managed, increasing one typically destroys the other. Research, including a study by Harvard Business School professor Ethan S. Bernstein, shows that employees often improve performance when not strictly monitored, as they feel freer to innovate. Overemphasis on tactical performance can stifle adaptive performance, leading to robotic customer interactions and reduced problem-solving capabilities. To balance both types of performance, organizations should reduce pressure on strict adherence to processes, encourage experimentation, and implement metrics that promote learning rather than just meeting targets. This balanced approach can enhance overall performance, adaptability, and employee motivation, as demonstrated in a case study of a bank’s call center where operational changes led to significant performance improvements.