Week 22, 2021 — Issue #154
Unpacking Rendanheyi, Part 2: Microservices, APIs, and Minimum-Viable Products
Each week: three ideas on and about the future of work. This week: three ideas to help understand Rendanheyi.
Analogies and metaphors are tremendously useful when communicating new ideas. They have the power to make complex matters simple; they help us see things in a new light.
MAQE is implementing Rendanheyi (RDHY) — Haier’s novel organizational model and philosophy. And we are using analogies to communicate how and why RDH applies in our context as a technology services firm.
Most organizations today are built with monolithic architectures, meaning they consist of one whole. And if one part of that whole fails, the entire organization comes tumbling down. Not so with RDHY. Organizations built on RDHY are more akin to microservice architectures — structures made up of loosely coupled yet highly aligned MicroEnterprises (MEs). The end result is greater agility and resilience in the face of constant and continuous change.
Most organizations today are content with letting information flow up and down the organizational hierarchy. But this is inefficient and it’s all but guaranteed to create silos and groupthink. Not so with RDHY. Because just like Application Programming Interfaces (API) allows systems to interact over the Internet, RDHY uses a library of light-weight relational smart contracts that allow MEs to share information and freely collaborate with units inside and outside the firm.
Most organizations make big-bet investments with slow feedback loops. In doing so, they expose themselves to undue amounts of risk. And they make themselves sluggish and slow to adapt. Not so with RDHY. Organizations built on RDHY treat MEs as Minimum-Viable Products (MVPs) that quickly pivot or disband unless they reach Product-Market Fit within a predefined timeline. The end result is a culture of experimentation with small bets and fast feedback.
The above analogies are tailored to MAQE’s context as a technology services firm. We know how MVPs, APIs, and microservices work. And we are using that knowledge to understand and contextualize RDHY.
That’s all for this week.
Until next time: Make it matter.