Professional Documents
Culture Documents
In the fall semester, at Arizona State University’s Business 360 course, Reinventing
Organizations looked at the future organizational structures according to the new stages of
In Part One of this paper, I will discuss the organizational structures Laloux presents in
his book, these organizational structures are based upon the various stages of cognitive
development amongst humans. Due to modern organizations, humanity has been able to prosper
and grow. Without these organizations, we would not be where we are at today, but many
believe, these organizations have reached their peak and are stretched to their full potential
(Laloux, 2014, p. 3). Today we as humans and the technology around us is growing at a faster
pace than ever before. Throughout Part One I will be discussing various leaders, their leadership
styles, and the organizational structure they happen to fit into Impulsive - Red, Conformist -
In Part Two, I will be discussing different passages from The Tao of Leadership (1985)
by John Hider, which is a book that is still widely influential in leadership today, and how those
passages are relevant to the traits of an Evolutionary/Teal leader. I will then discuss my personal
Impulsive – Red
Around 10,000 years ago, the first red organizations started to form along with a division
of labor, ego differentiation, and role differentiation (Laloux, 2014, p. 17). Today we would
recognize red organizations as street gangs and mafias (Laloux, 2014, p. 17). Red organizations
are focused on the “wolf pack” mentality, they have one alpha wolf who is the leader and must
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demonstrate enormous amounts of power at all times or else another member will attempt to
overthrow him (Laloux, 2014, p. 18). A couple of downfalls to the red organizations are that
these types of organizations fall apart easily due to the lack of a formal hierarchal pyramid and
An example of such a leader would be John Gotti, the “Teflon Don”, or “Dapper Don”,
who was one of the most influential mob bosses of all time. John Gotti was the leader of the
Gambino crime family, which was the biggest and most powerful organized crime group in
America (History, 2019, para. 2-3). John Gotti presents the impulsive red mentality by showing
his disregard for the law and society around him. Gotti eliminated any competition that stood in
his way of power, most notably the, “1985 killing of 70-year-old mafioso Paul Castellano the
apparent successor of recently deceased Gambino boss Aniello Dellacroce who was gunned
down along with his number two in command, Thomas Bilotti” (FBI, 2019, para. 4).
The most obvious piece of evidence from the paradigm in which Gotti operated has to be
the use of fear and violence to ward off anyone that stood in the way of him seizing power. In
April of 1992 the violent, ruthless mobster was convicted on thirteen counts including
racketeering, jury tampering, extortion and two counts of murder for the murders of Castellano
Conformist – Amber
At the conformist Amber stage, society is growing and is now able to perceive reality
through Newtonian eyes (Laloux, 2014, p. 18). Cause and effect are now understood concepts
therefore, past, present, and future are also terms used and understood (Laloux, 2014, p.18). As
human consciousness is developing at a deeper level, deeper awareness for other people’s
feelings and perceptions (Laloux, 2014, p. 19). People are now able to identify with their role
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and are able to see how it deciphers from a role other than their own, and they are able to see
themselves from the eyes of another individual (Laloux, 2014, p.19). Amber organizations
utilize a formal hierarchal pyramid, everyone within the organization has a shared set of values
or beliefs to go by, and they also utilize uniforms, so they know who is in what position (Laloux,
2014, p. 20-23). Today Amber organizations are most often seen in government agencies,
One of the most recognized branches of the military is the U.S. Navy. The U.S. Navy has
a mission statement that all are supposed to abide by, this mission statement reads, “To recruit,
train, equip, and organize to deliver combat-ready Naval forces to win conflicts and wars while
maintaining security and deterrence through sustained forward presence” (U.S. Navy, 2019,
Para. N.A.). United States Navy has a traditional hierarchal pyramid going from Esign (recent
graduates from the Naval Academy), Lieutenants, Commander, Captain, and Admirals (Military
Advantage, 2019, para. 1-13). As the Navy Officer’s ranks change, the badges on their uniform
change to coincide with their rank, this makes for easy identification within the organization.
Enlisted Sailors wear their job specialty in plain sight, rating badges are worn on left sleeve
which looks like an Eagle (called a crow), and chevrons indicating the wearer’s rank (U.S.
utilizes a formal hierarchal pyramid using a top-down command, rankings and uniforms are used
Achievement – Orange
Orange Organizations are a whole new world in the face of organizations. Within Orange
organizations, are not governed by endless amounts of pointless rules but rather, these
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organizations are running with the complexity to challenge the rules and authority (Laloux, 2014,
23-24). Effectiveness rules how Orange organizations are running, which is why only the goal of
these organizations is to get ahead (Laloux, 2014, p.24). With the changes in cognitive
development, the orange paradigm is able to challenge authority and the status quo (Laloux,
2014, p. 24). Orange organizations are global organizations these include Nike, Wal-Mart, and
Co-cola (Laloux, 2014, p. 26). The three major breakthroughs are innovation, accountability, and
mediocracy (Laloux, 2014, p. 26). Orange organizations, “In principle, anyone can move up the
ladder, and nobody is predestined to stay in his/her position the mailroom boy can become the
CEO even if that boy happens to be a girl or has a minority background” (Laloux, 2014, p. 27).
One CEO that embodies the orange paradigm is Mark Parker who serves as the President
Chairman, and CEO of Nike. Nike remains one of the fastest, most innovative, and notable
retailers around the globe, due to the fact that Nike is focused on technology, design,
manufacturing, and keeping a steady increase in retail (Truscore, 2019, para. 2). One of the
orange organization’s breakthroughs is innovation. Parker has turned Nike into a very product-
driven culture. When Parker first started working at Nike, the Nike R&D program had over 350
projects going at a single given time (Truscore, 2019, para. 5). Parker turned those 350 projects
into 50 projects after evaluating and honing-in-on the projects that would really make a
difference for the organization (Truscore, 2019, para. 5). Parker also encourages his employees
to be creative but due to the top-down hierarchal structure of development, the individuals at the
top are in charge of the support and the direction in which the project goes (Truscore, 2019, para.
8).
Mark Parker and Nike embody the Orange organization’s paradigm. This is accomplished
by allowing their employees to be innovative free thinkers while also allowing individuals the
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opportunity to advance their careers from within, all while the organization maintains its control
from the top-down. Nike, like other Orange organizations is a machine, and the goal of the leader
Pluralistic – Green
Pluralistic green paradigms switch from a right or wrong mentality to what works and
what doesn’t work (Laloux, 2014 p. 30). The pluralistic green paradigm is extremely sensitive to
the emotions and feelings of others and believes that all individuals deserve an equal amount of
respect (Laloux, 2014, p. 30). The pluralistic green strives to, “break free from the prison of
conventional roles, but the entire edifice of castes, social classes, patriarchy, institutional
religion, and other structural needs to tumble down” (Laloux, 2014, p. 30). Green organizations
do not feel comfortable with having formal hierarchy in fact they feel it is better to have a
bottom-up approach to leadership (Laloux, 2014, p. 31-35). Today, these organizations value
empowering their employees, have a value-driven culture and inspirational purchase, and
One organization that comes to mind when thinking of a pluralistic green leader is Jeff
Bezos the CEO of Amazon. Jeff Bezos wants to inspire, motivate and provide his team with a
sense of purpose (Hatfield, 201, para. 4). Bezos is also a leader who leads with an ethical and
moral standard which helps build trust amongst the organization (Hatfield, 2017, para. 3). The
employees at Amazon are encouraged to take part in the decision-making process, and they are
also encouraged to find solutions without fear of criticism (Hatfield, 2017, para. 7). Bezos
believes that the, “True power of a transformational leader is the ability to bring out lasting,
Amazon embodies the Green paradigm by allowing its employees to feel empowered by
being involved in the decision making, motivating the team with a sense of purpose, and
remaining responsible not only to their investors but to their employees and society as a whole.
a shared set of cultural elements when it comes to evolutionary teal organizations. In self-
management, trust, information and decision-making, and responsibility and accountability are
all characteristics that teal organizations have (Laloux, 2014, p. 230-231). Equal worth, safe and
caring workplace, overcoming separation, learning, and relationships and conflict are visible
2014, p. 231-232). When it comes to purpose, teal organizations value collective purpose,
individual purpose, planning for the future and purpose over profit (Laloux, 2014, p. 232). Teal
organizations operate with a purpose in which it is perusing, which calls for a customized culture
2. Polarities
A quote that stuck out to me was, “The leader teaches by example, rather than by
lecturing others on how they ought to be” (Heider, 1985, p. 3). This relates to Laloux’s (2014)
view on how Teal leaders do not have top-down hierarchal authority, but rather the leaders have
a moral authority to carry (p. 243). CEO’s in a Teal organization must model the behaviors that
coincide with self-management, wholeness, and purpose (Laloux, 2014, p. 243). In teal
organizations decisions are made using the advice process, rather than making spontaneous
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decisions without the group’s advice, CEO’s are expected to be transparent, supplying the whole
organization with the same information ensuring that each team member is able to share their
opinion. CEO’s role-model wholeness by role-modeling virtues such as humility, trust, courage,
candor, vulnerability, and authenticity (Laloux, 2014, p. 246). By expressing these behaviors
colleagues are likely to follow suit. Wholeness is role-modeled by CEO’s asking and reminding
themselves of three simple questions, “What decision will best serve the organization’s purpose?
How will this role serve the organization’s purpose? Will working with this client/supplier
5. Equal Treatment
“Neither is one person or people better than the rest of humanity” (Heider, 1985, p. 9).
Heider’s quote represents values that are visible in Teal organizational practices. In teal
organizations, everyone is of equal worth this is why they have given way with job descriptions
and job titles (Laloux, 2014, p. 114). Usually, the roles colleagues fall into, happen organically,
in teal organizations individuals are not put into positions in which they will not succeed
(Laloux, 2014, p.114). With the absence of job titles, one is able to find out what their true
purpose is along with where they best fit into the organization (Laloux, 2014, p. 190). Amber and
Orange organizations are focused more on the premise of job descriptions and job titles opposed
to the Teal organization which believes that individuals are not made for predefined job
descriptions and titles but their job is chosen based off roles and responsibilities they pick up
based off their talents, interests, and the needs of the organization (Laloux, 2014, p. 90). Teal
organizations are able to see the worth that every individual brings to the organization and not
9. A Good Group
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In teal organizations, the bottom-up approach is a design that leaders use to involve every
single one of their colleagues. “A leader does not take all the credit for what happens and has no
need for fame. A moderate ego demonstrates wisdom” (Heider, 1985, p. 17). Heider’s quote
aligns with the evolutionary teal organization’s vision because leaders actually encourage one’s
creativity and new ideas without taking credit. In teal organizations, “All members are allowed to
contribute in their distinctive way, appreciating the differences in roles, education, background,
interests, skills, characters, points of view and so on” (Laloux, 2014, p. 231). Speaking from
experience, allowing members the freedom to be creative without the fear of a leader taking
credit not only encourages but creates trust, it also allows the team to make more of an effort to
take on more tasks, projects, and solve the most pressing issues.
I personally believe that Teal leadership is a leadership that not only enhances but allows
individuals to prosper who work alongside teal leaders. Knowing that my goals align with the
greater purpose. Teal organizations are very team-oriented, which allows more individuals to
share their knowledge amongst the team. This helps create an open dialogue within the group,
and ultimately, in my opinion, creates a more well-rounded team because individuals are not
afraid to ask questions if they need advice or do not know how to solve a problem. The one issue
I personally have with a Teal organization is structure, I currently work in a conformist Amber
organization, one of the virtues I enjoy about the organization is that there is not only a clear line
Conclusion
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The ideas and principles of Fredric Laloux’s leadership styles in his book Reinventing
Organizations are based on the different stages of cognitive development amongst humans in
history. The five leadership styles were briefly described along with the specific values, beliefs,
and virtues that are present within each leadership style. In part two analyzing the Tao of
Leadership passages, I compared these specific passages to Teal leadership. I was able to clearly
see that the Tao leadership style has a very similar belief system to that of Teal leadership.
Finally, I concluded this paper with my own personal thoughts and beliefs of the Teal
organizational practices.
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References
About Navy. (2019).The United States Navy. Retrieved from. https://www.navy.com/
https://www.navy.mil/ah_online/archpdf/oowarfare2014.pdf
https://hrssconsultinggroup.com/transformational-leadership-style/
Leadership Styles Nike’s CEO Mark Parker. (2019). Truscore. Retrieved from.
https://www.truscore.com/resources/leadership-style-nikes-ceo-mark-parker/
https://www.military.com/navy/officer-ranks.html
This day in history mafia boss John Gotti is born. (2019). History. https://www.history.com/this-
day-in-history/mafia-boss-john-gotti-is-born