Making Decisions like the Soviet Union

Welcome, comrade! Even though the Soviet Union collapsed more than 30 years ago, its legacy can still be seen today. I’m not talking about the modern Russian state but how some organizations make decisions.

As you’re well aware, the central planners of the Soviet Union believed they could make all the decisions for the economy. Their effectiveness is questionable but you’re here to learn how to run your organization like an old-school central planner. I have to warn you though, centralizing all of your decisions within a few people (what you likely call your leadership team) is difficult but doable if you work hard enough. Here’s how to get started.

First, you have to make a comprehensive list of all the decisions that your organization makes. Even the smallest of organizations are making thousands of decisions regularly. Don’t be surprised if your final list spans multiple pages. It is estimated that Soviet central planners had to keep track of 24 million prices, everything from the price of milk to the price of gasoline.

Second, establish a clear hierarchy of who makes the decisions. Leave no doubt that only a select few have the ability to make the right decisions. Everyone else is there to help you implement. You don’t want their feedback, just their compliance. When Stalin made a decision, no one dared ignore him.

Third, ensure everyone is working for a higher cause. Decentralized decision-making requires individuals to think of their self-interest but that won’t fly in your centralized decision-making structure. People will follow your orders because of their belief in your mission statement, purpose or whatever you call it. The Soviet Union believed in putting the country above everything, even basic needs like eating.

Fourth, increase the consequences for not following decisions, even when they are wrong. Everyone makes mistakes but that doesn’t mean that your subordinates should think for themselves. Centralized decision-making requires commitment, even when decisions are illogical. Skipping orders in the Soviet Union meant years of jail. You may not have this power but act like you do.

Fifth, remind everyone that you’re in it for the long haul. Things may not work well right now but eventually they will click. Centralized decision-making requires long-term investment to get it working and everyone must understand that. Communism required a “bumpy” transition but the promise land is near.

Five simple lessons that will help you centralize all of your decision-making. Good luck!

Welcome, comrade! Even though the Soviet Union collapsed more than 30 years ago, its legacy can still be seen today. I’m not talking about the modern Russian state but how some organizations make decisions.

As you’re well aware, the central planners of the Soviet Union believed they could make all the decisions for the economy. Their effectiveness is questionable but you’re here to learn how to run your organization like an old-school central planner. I have to warn you though, centralizing all of your decisions within a few people (what you call your leadership team) is difficult but perhaps doable if you work hard enough. Here’s how to get started.

First, you have to make a comprehensive list of all the decisions that your organization makes. Even the smallest of organizations is making thousands of decisions regularly and don’t be surprised if your final list spans multiple pages. It is estimated that Soviet central planners had to keep track of 24 million prices, everything from the price of milk to the price of gasoline.

Second, establish a clear hierarchy of who makes the decisions. Leave no doubt that only a select few have the ability to make the right decisions. Everyone else is there to help you implement. You don’t want their feedback, just their compliance.

Third, ensure everyone is working for a higher cause. Decentralized decision-making requires individuals to think of their self-interest but that won’t fly in your centralized decision-making structure. People will follow your orders because of their belief in your mission statement, purpose or whatever you call it.

Fourth, increase the consequences for not following decisions, even when they are wrong. Everyone makes mistakes but that doesn’t mean that your subordinates should think for themselves. Centralized decision-making requires commitment, even when decisions are illogical.

Fifth, remind everyone that you’re in it for the long haul. Things may not work well right now but eventually they will click. Centralized decision-making requires long-term investment to get it working and everyone must understand that.

Five simple lessons that will help you centralize all of your decision-making. Good luck!

Welcome, comrade! Even though the Soviet Union collapsed more than 30 years ago, its legacy can still be seen today. I’m not talking about the modern Russian state but how some organizations make decisions.

As you’re well aware, the central planners of the Soviet Union believed they could make all the decisions for the economy. Their effectiveness is questionable but you’re here to learn how to run your organization like an old-school central planner. I have to warn you though, centralizing all of your decisions within a few people (what you call your leadership team) is difficult but perhaps doable if you work hard enough. Here’s how to get started.

First, you have to make a comprehensive list of all the decisions that your organization makes. Even the smallest of organizations is making thousands of decisions regularly and don’t be surprised if your final list spans multiple pages. It is estimated that Soviet central planners had to keep track of 24 million prices, everything from the price of milk to the price of gasoline.

Second, establish a clear hierarchy of who makes the decisions. Leave no doubt that only a select few have the ability to make the right decisions. Everyone else is there to help you implement. You don’t want their feedback, just their compliance.

Third, ensure everyone is working for a higher cause. Decentralized decision-making requires individuals to think of their self-interest but that won’t fly in your centralized decision-making structure. People will follow your orders because of their belief in your mission statement, purpose or whatever you call it.

Fourth, increase the consequences for not following decisions, even when they are wrong. Everyone makes mistakes but that doesn’t mean that your subordinates should think for themselves. Centralized decision-making requires commitment, even when decisions are illogical.

Fifth, remind everyone that you’re in it for the long haul. Things may not work well right now but eventually they will click. Centralized decision-making requires long-term investment to get it working and everyone must understand that.

Five simple lessons that will help you centralize all of your decision-making. Good luck!

Photo by Tengyart

P.S. If you're thinking of making bigger decisions at work or in your personal life, get in touch. I can show you how to increase your impact in dramatically less time (and effort), all in 30 - 60 minutes.

Plus, whenever you're ready, here are three other ways can make superior decisions and make an impact in the world. 

1. Help your team level up your ability to make decisions through frameworks and cutting edge ideas. Learn more about my training and workshops.

2. Make faster and bigger decisions in real situations over 90 days. Learn more about my Just-In-Time (JIT) Advisory ™, a bespoke program for ambitious leaders.

3. If you're spending more than one day formulating strategy, you're missing out on countless opportunities. Learn why a Sentient Strategy® approach could make sense for your company.