Harnessing Creative Tension To Lead Organisational Change

This article is originally published on Forbes on 24 Oct 2024 [Link to original article]

 

A major challenge confronting organizations today stems from grappling with the challenge of navigating day-to-day issues while striving to maintain focus on long-term goals. Whether it’s adapting to a post-pandemic reality or undergoing a digital transformation, leaders are frequently faced with balancing the pressing demands of the present with a compelling vision for the future. This is where the creative tension model comes in—a powerful framework for bridging the gap between current reality and desired vision.

The creative tension model, rooted in systems thinking, highlights the natural tension that arises when individuals or organizations confront the difference between where they are and where they want to be. The creative process is driven by the gap between vision and reality. When we imagine what we want to create, we visualize a future that highlights what’s missing in the present. This is often referred to as “structural tension.”

Rather than viewing this tension as a source of stress or conflict, creative tension encourages leaders to use it as a motivating force to drive transformation. By acknowledging the gap between current reality and future aspirations, leaders can harness the tension productively, creating an environment where innovation and growth thrive.

But how does creative tension work in practice? Let’s explore two real-world examples that demonstrate how leaders can manage the tension between their current reality and vision to achieve remarkable results.

1. Post-Pandemic Mental Wellness Initiative

In the first scenario, an organization tasked a leader with designing a mental wellness intervention for employees in the wake of the Covid-19 pandemic. The designated finance leader had little expertise in mental wellness or corporate strategy and was understandably anxious about the assignment. The stakes were high—after all, the mental health of the workforce was at risk, and the leader’s reputation depended on delivering an effective solution. This sense of stressful tension dominated the leader’s current reality: feelings of vulnerability, reluctance to step outside their comfort zone and a desire to find “safe” but unremarkable solutions.

However, by applying the creative tension model, the leader was able to reframe the situation. Instead of focusing on the stress and uncertainty of the present, they shifted their perspective to envision a future where they could make a meaningful impact on their colleagues’ well-being. This desired future reality included a holistic mental wellness program that was employee-centric, supportive and energizing.

The act of recognizing and embracing the tension between the current reality and the vision enabled the leader to move from a place of fear and avoidance to one of creative problem-solving. Instead of cobbling together a subpar solution, they felt empowered to design interventions that aligned with the broader goal of fostering a healthy, rejuvenated workplace. The leader was able to rally support for the intervention design with his refreshed outlook. This is the power of creative tension—when leaders can focus on what they want to create rather than merely reacting to stressors, they unlock new possibilities.

2. IT Intervention In A Digital Transformation Project

In a second scenario, a consulting team was working on a process re-engineering project for a government statutory board. Midway through the engagement, the chief information officer (CIO) requested an additional IT intervention that was outside the project’s initial scope. The consulting team, initially feeling uneasy about this sudden change, faced a dilemma. Their current reality was filled with stress, second-guessing and concerns that this new request might derail their efforts to meet existing project deadlines.

In this case, the stressful tension translated into reactive behaviors, such as preparing justifications and caveats to protect themselves from potential fallout. The team’s response, driven by fear of failure, was to pitch the new idea with hesitation, bracing for challenges and hoping that the CIO’s request would not negatively impact their progress.

However, by using the creative tension model, the team was able to refocus on the desired vision—becoming a trusted advisor to the CIO and a valuable partner in the statutory board’s digital transformation journey. This vision emphasized building trust, demonstrating competence and showcasing their expertise through regular updates and workshops. By holding onto this vision and managing the tension between their current reality and future aspirations, the consulting team transformed their approach from one of reluctance to one of opportunity.

Rather than being bogged down by stress, the team began to see the additional request as a chance to demonstrate their value and deepen their relationship with the client. In the end, their proactive attitude and willingness to embrace the tension led to greater collaboration, openness and trust between the client and consulting teams. Again, creative tension proved to be a catalyst for innovation and strengthened partnerships.

Why Managing Creative Tension Is Critical For Organizational Success

These examples demonstrate that when leaders manage creative tension effectively, they are better equipped to drive meaningful change within their organizations. The model doesn’t eliminate the challenges of the present—rather, it frames those challenges as part of a larger process of growth and transformation. Leaders who harness this tension understand that the gap between current reality and future vision is not a problem to be solved but an opportunity to be seized.

Systems leaders equipped with models like creative tension can help their organizations navigate wicked complexity. By mastering the creative tension model, leaders are better positioned to foster innovation, drive systemic improvements and lead their organizations confidently into the future. When leveraged effectively, it transforms challenges into opportunities and propels teams toward success. In the hands of skilled systems leaders, this model, used in conjunction with other related systems frameworks, can greatly propel organizations in overcoming the most daunting challenges in the workplace.

5 Roles Of A Systems Leader In Driving Organisational Change

This article is originally published on Forbes on 2 Oct 2025 [Link to original article]

 

At this time of the year, many organisations are drafting their work plans for the year ahead. During this season, numerous change projects are being birthed in service of the grand strategic vision. For each approved initiative, resources are allocated and a project team is formed. While this might work for standalone projects, increasingly, dealing with complex external environments and internal structures means that organisations must adopt a systemic view of the whole.

This means that driving organisational change is more than just the sum of all “change projects.” It requires teams that are adept at navigating complexity, fostering collaboration and sustaining momentum. The concept of systems leadership offers a powerful framework for guiding transformational change, focusing on five key roles: steward, theory builder, designer, coach and teacher. Each role embodies essential capabilities that, when combined, create a robust transformation team capable of leading change with agility and purpose.

1. Steward: Building Confidence By Leading From The Emerging Future

The role of the steward in systems leadership is about grounding the organisation in its core purpose and values while steering it toward future possibilities. A steward is not just a custodian of the status quo; they are visionary leaders who align the organisation’s long-term goals with its foundational principles. By embodying the organisation’s mission and values, stewards build trust and confidence within the team, fostering a sense of collective responsibility and commitment.

In the context of organisational change, stewards play a critical role in maintaining alignment between the transformation efforts and the organisation’s overarching goals. They ensure that every strategic initiative or pivot aligns with the core values, thereby safeguarding the organisation’s integrity even as it evolves. For the transformation team, having a steward means there is always someone who can articulate why the change is necessary and what need the change is addressing—anchoring the team’s efforts in a broader purpose that motivates and inspires.

2. Theory Builder: Building Consensus By Concretising Theories

The theory builder’s role is to develop the conceptual frameworks that explain why things happen the way they do within the organisation. This involves formulating hypotheses, testing them and refining them based on observed outcomes. A theory builder is crucial for organisational change because they provide the intellectual rigor needed to create the theories of success based on causal loop diagramming.

In a transformation team, the theory builder helps build consensus by grounding discussions in well-developed hypotheses that can be tested and validated with evidence. This role is essential for ensuring that change initiatives are not based on whims or untested ideas but are instead rooted in a deep understanding of organisational dynamics. By doing so, theory builders enable the team to make informed decisions that are more likely to lead to successful outcomes.

3. Designer: Building Culture By Being A Change Agent

The designer steps out of the day-to-day operations to take a systemic view of the organisation. Their focus is on working on the system rather than just reacting to crises or solving immediate problems. The designer’s role is about creating a culture of continuous improvement and innovation by creating, modifying or eliminating systemic structures to better align with the organisation’s strategic objectives.

For the transformation team, the designer is the architect of change. They envision the future state of the organisation and design the pathways to get there. By taking a holistic view, the designer ensures that the change is sustainable and scalable, addressing not just the symptoms but the root causes of organisational challenges. The presence of a designer in the team fosters a culture of proactive problem-solving and innovation, which is critical for driving long-term success.

4. Coach: Building Capacity By Increasing Competence

The role of the coach is to unleash and awaken the talent, capabilities and passions within the team. Coaches focus on developing the individual and collective strengths of the team members, enabling them to contribute more effectively to the transformation efforts. A coach taps into the resources that are already within the leader and the team, fostering an environment of continuous learning and development.

In organisational change, the coach is essential for building the capacity needed to sustain transformation. By focusing on skill development and empowerment, using systemic coaching frameworks such as the PEARLS model, the coach ensures that the team is not just following directives but is actively engaged in shaping the change process. This role is particularly important in building resilience within the team, enabling them to adapt and thrive in the face of challenges.

5. Teacher: Building Commitment By Role Modeling

The teacher’s role is to lead by example, demonstrating the behaviours and attitudes that are necessary for successful change. Through both actions and words, teachers model the way forward, instructing team members in a manner that furthers their development. The teacher helps build commitment within the team by showing that they are not just talking about change but are actively living it.

For the transformation team, having a teacher means there is a clear standard of excellence to aspire to. Teachers inspire commitment by embodying the principles and practices they teach, making it easier for the team to align their actions with the desired outcomes. This role is crucial for maintaining momentum in the change process, as it reinforces the behaviours that lead to success.

Conclusion: A Holistic Systems Leadership Approach To Drive Change

While each of these roles—steward, theory builder, designer, coach and teacher—brings unique strengths to the table, the true power of systems leadership lies in the integration of these roles within a transformation team. Not every member needs to excel in all five areas, but a well-rounded team where these competencies are collectively present is essential for navigating the complexities of organisational change.

Together, these roles create a dynamic and resilient transformation team that is equipped to lead organisational change in a way that is strategic, systemic and sustainable so that organisations not only cope with change but drive the transformation to thrive in the face of uncertainty and complexity.

Activating Sustained Performance Through The Use Of Reinforcing Loops

This article is originally published on Forbes on 14 Nov 2024 [Link to original article]

 

A reinforcing loop is one type of causal loop, a term used to describe one way a number of variables can be connected. In a reinforcing loop specifically, one variable reinforces another, which in turn reinforces yet another. When the value of one variable goes up, the corresponding variable affected also goes up. And if one goes down, the other goes down also.

The Core Theory Of Success As A Reinforcing Loop

Dr. Daniel Kim’s Core Theory of Success is a good example of a systems causal loop that explains how the quality of interactions within a team or organization drives overall performance. It operates as a reinforcing loop, where each element strengthens the others in a continuous cycle. The core elements of this loop are:

• Quality Of Relationships: Positive, trusting relationships within the team create a foundation for open communication, collaboration and mutual respect. High-quality relationships foster psychological safety, allowing team members to share ideas freely and work together effectively.

• Quality Of Thinking: When relationships are strong, team members engage in deeper, more creative thinking. They are more likely to challenge assumptions, explore innovative solutions and make informed decisions. The collaborative environment enhances the team’s ability to think critically and strategically.

• Quality Of Action: High-quality thinking translates into effective action. Teams that think well together are able to plan and execute strategies with precision, leading to coordinated and impactful efforts. This leads to smoother execution of tasks and more aligned actions toward shared goals.

• Quality Of Results: Quality actions naturally lead to high-quality results. These results may be seen in terms of improved performance, better outcomes, successful project completion or reaching organisational goals. Positive results reinforce the belief in the team’s abilities and approach.

As the team sees positive results over time, team members become more motivated and committed. Success strengthens their relationships even further, creating a virtuous cycle. This motivation drives continuous improvement, pushing the team toward becoming a high-performing unit. Thus, this theory operates as a reinforcing loop because each element strengthens the others. When teams achieve positive results, it enhances their confidence and further improves the quality of relationships, leading to even better quality of thinking. In turn, this drives higher quality of action and, consequently, superior quality of results. This self-reinforcing cycle helps teams grow into high-performing, cohesive units over time.

Causal Loops In The Real World

In a real-world operating context, a company may desire to showcase itself as being highly innovative. They then decide to bring to market a new project that would differentiate itself by integrating many leading technologies and approaches. When the level of integration is high, the complexity of the project goes up. This results in the number of parameters required increasing exponentially. That brings about potential lapses and errors, which would drive down the quality of the results. The project then gets stripped down to bring down the integration complexity. Such a scenario can utilise a balancing loop to convey the risk involved.

The HR team in a company I worked with noticed burnout and low energy, even among their high-performing employees. What was happening? What could HR do to improve the situation?

Using a causal loop diagram, the diagnosis might be that what impacts performance is the effort required, which is largely tied to motivation. High performance begets recognition, which in turn motivates the individual. As such, a reinforcing loop can be drawn up such that recognition results in motivation, driving effort toward performance, which in turn increases recognition.

In this particular company, project teams were formed by peer selection, and those who had been officially recognised were often sought after for their expertise. In this scenario, a reinforcing loop existed where recognition boosted motivation, leading to higher effort and performance, which then led to more recognition. However, the unintended consequence was that high-performing employees became burdened with additional work through these peer-selected project teams and experienced exhaustion, anxiety and distress.

Ironically, therefore, the same motivation that increased enthusiasm also resulted in greater burden and ultimately burnout (low energy resulting in low performance). Hence, it is very important that when HR formulates new policies such as staff recognition awards, they take into consideration the different causal loops at play, so that the intervention does not inevitably create unintended consequences in the longer term.

Turning back to the Core Theory of Success, if management deems the performance of the team inadequate, they may be tempted to intervene by exerting pressure. This pressure to improve results means increased top-down efforts, which can yield short-term improvements. However, continuous pressure can create excessive tension and distress, negatively affecting the quality of relationships, which ultimately decreases the quality of thinking and hampers the quality of results over time. Weakened collaboration and team cohesion might even create a negative vicious cycle, worsening performance over time.

While pressure may offer temporary gains, true and sustainable improvement requires a different approach. Focusing on core values and strengthening relationships through authentic conversations should accompany any pressure intervention to ensure employees feel cared for and heard in difficult times. It is critical to keep a close watch to ensure that the positive gains through building trust outweigh temporal stressful pressure.

Final Thoughts

In conclusion, the Core Theory of Success can become a powerful engine for sustained, long-term organisational performance. By embedding its principles into the company’s culture, organisations can foster strong relationships, inspire innovative thinking, drive impactful actions and achieve lasting results, creating a dynamic environment for continuous growth and success.

Navigating Cross-Cultural Ambiguity: A Training And Coaching Paradigm For Project Managers

In this decade characterised by highly complex transformation endeavours, where cross-cultural projects are the norm rather than the exception, project managers face an unprecedented challenge: navigating the murky waters of cultural ambiguity and volatility. Compounded by the challenges of remote working and diverse team dynamics, transformational and digital projects represent complex scenarios that can benefit from systems leadership training and intact team coaching. Some practical approaches organisations can take in managing such teams are discussed below.

Integrated Systems Thinking And Team Coaching Framework

Anchoring the training and coaching mythologies requires an underlying framework. The hierarchy of choices system model provides a visual representation for program directors and project managers to nest their various projects using this frame as a basis for decision-making and trade-off analysis. This approach offers a holistic view of organisational dynamics, and when coupled with a responsibility assignment matrix tool such as RACI, roles and responsibilities can be clarified when it comes to managing and riding the change journey.

A training programme that is focused on systemic thinking and critical analysis will help project managers see the big picture and the connections therein, as well as how their sub-projects are linked up and aligned. Understanding how various cultural elements might be at play is a key consideration and goes beyond the traditional focus on timelines and budgets, incorporating an understanding of cultural dynamics and their impact on project outcomes.

A key component of the courseware therefore involves a good appreciation of cultural nuances, particularly in countries with their own languages in regions such as Southeast Asia, where indirect communication and respect for hierarchy play crucial roles. As part of the training, real-life case studies can be drawn up to demonstrate how misinterpretations in these contexts can lead to project setbacks, teaching managers to decode subtle cues and navigate these complexities by having greater awareness and keeping a lookout for triggering behaviours within their cross-teams.

Another pivotal aspect of the training revolves around contextual communication. It’s not just what is said, but how, when and why it’s said. Coaching can empower project managers with the skills to decipher and respect these contextual differences within intact teams, ensuring that communication is not just transmitted but also received and understood as intended using different verbal strategies, balancing inquiry and advocacy during team meetings and check-ins.

In recognising the role of digital communication in global projects, the courseware should also introduce project managers to digital platforms and tools that facilitate better cross-cultural communication as structured by the organisation. This includes understanding digital etiquette across cultures, a vital skill in a world where video conferences and instant messaging are ubiquitous. Systems leaders are adept at identifying and addressing the systemic issues that may arise in cross-cultural teams, such as unconscious biases or cultural misunderstandings.

Fostering Creativity And Innovation In Diverse Teams

Given the complexity of global projects, systems leadership fosters adaptive problem-solving skills. Perhaps the most exciting aspect of designing a cross-cultural course is its focus on harnessing the power of diversity for creativity and innovation. By valuing different perspectives and fostering an inclusive environment, project managers can unlock new ideas and solutions. By promoting an environment of open and inclusive dialogue, systems leaders can bridge cultural gaps, ensuring that all team members feel heard and valued.

Intact team coaching strengthens the training as it seeks to apply systems leadership concepts to practices of intact teams. Intact team coaching focuses on strengthening the cohesion and effectiveness of teams. In a cross-cultural setting, this involves coaching teams to appreciate and leverage their cultural diversity, transforming potential conflicts into opportunities for innovation and creative problem-solving.

Workplace coaches can work with teams to develop trust, mutual respect and understanding, which are critical in a remote working environment where nonverbal cues and face-to-face interactions are limited. This includes understanding different communication preferences and aligning them with project goals. By improving collaboration, teams can better manage the complexities of digital and transformational projects.

Real-World Application: Deploy, Test And Iterate

What sets a well-designed cross-cultural course apart is its emphasis on practical application. Interactive workshops, role-playing scenarios and group activities are designed not just to teach but to immerse managers in simulated cross-cultural environments. This hands-on approach ensures that the lessons learned are not just theoretical concepts but skills that can be immediately applied in real-world scenarios.

The team coach can work with the project team to customise team development plans based on their unique dynamics and challenges. These plans may include targeted training on cross-cultural project updates, pre-agreed conflict resolution approaches and acceptable practices captured in a team charter, all of which are essential in managing the attitudes and behaviours of complex regional projects.

Using the systems model of architecture and the essence of a learning organisation, intact teams have a better chance of actualizing the domain of action from guiding ideas and internalizing the domain of deep learning to create new sensibilities for the work at hand. Intact team coaching unlocks a culture of continuous learning and development within these teams. It encourages team members to regularly reflect on their performance, learn from each other’s experiences and continuously adapt to changing circumstances to create, modify or eliminate systemic structures of policies, processes and infrastructure.

Preparing For The Future Of Work

In conclusion, employing systems leadership and intact team coaching can provide project managers and their teams with the tools and skills necessary to navigate the complexities of cross-cultural, remote and diverse team dynamics in today’s globalised business environment. As the business world continues to evolve, the ability to manage projects across cultures is no longer just a desirable skill—it’s a critical one. For companies looking to thrive in the global market, investing in such training and coaching isn’t just beneficial; it may be imperative for future success.


Thomas Lim is the Vice-Dean of Centre for Systems Leadership at SIM Academy. He is an AI+Web3 practitioner & author of Think.Coach.Thrive!

Systems Leadership And Coaching Mastery Levels For Organisation Success

As operating environments in the business world shift, driven by technological advancement and rising customer expectations, businesses must not only keep pace but also thrive amid uncertainty. Against this dynamic backdrop, the concept of systems leadership has emerged as a beacon of hope, guiding organizations toward sustainable success.

Personal mastery serves as the bedrock of individual growth and development within organizations. It empowers individuals to continually expand their capabilities, enhancing their ability to lead themselves and others. Personal mastery equips leaders and employees alike with the tools needed to face change with confidence, creating a strong foundation for systemic transformation.

Mental models represent the deeply ingrained beliefs and assumptions that shape our perception of the world. To drive systemic change, organizations must encourage individuals to examine and challenge these mental models.

Building shared vision provides organizations with a North Star, guiding teams toward a common purpose. In times of transformation, a clear and compelling vision is indispensable. Team learning emphasizes the value of collective intelligence. In a world marked by complexity, no single individual possesses all the answers. Team learning promotes diverse perspectives and fosters a culture of continuous inquiry. At the heart of these disciplines lies systems thinking, the thread that binds them together. Systems thinking enables individuals and organizations to see the interconnectedness of all things, comprehend the consequences of decisions and navigate complexity strategically.

Furthermore, organizations should identify advocates and champions who possess a deeper mastery of systems leadership. These individuals act as catalysts, propelling the essence and architecture of a transformational organization. They inspire and guide others, facilitating the evolution of the organization into one that is more adaptive, innovative and resilient. Referencing the five disciplines, here are six examples of systems thinking models at two levels of competence:

1. Creative Tension Model

Foundational Level: Develop a fundamental understanding of the creative tension model, recognizing gaps between the current and desired state and understanding structural tension and the impact of being reactive.

Intermediate Level: Deepen understanding, embrace creative tension (eustress), differentiate eustress from distress and proactively use creative tension for innovation. Have participants draw the model on a flip chart.

2. Hierarchy Of Choices Model

Foundational Level: Appreciate the hierarchy of choices model, comprehend logical order and focus on the fundamental choice of purpose. Understand its role in guiding transformation change.

Intermediate Level: Deepen understanding, explore the interconnected nature of the model and focus on primary, secondary and tertiary choices. Practice drawing the model and identifying areas of focus and relevant questions.

3. Levels Of Perspective Model

Foundational Level: Develop a working understanding of levels of perspective, “walk up” levels, explain associated action modes and realize most actions are reactive or adaptive.

Intermediate Level: Use a framework with specific vocabulary, phrase mental models using “If… then… therefore” syntax and use data points to plot against stakeholder groups. Participants can draw the levels of perspective on a flip chart and provide nuanced answers.

4. Causal Loops

Foundational Level: Develop a basic understanding of causal loops, identify reinforcing and balancing loops and grasp the concept of systemic delays.

Intermediate Level: Deepen understanding, construct and analyze causal loop diagrams, use specific terminology and apply knowledge to real-world scenarios. Participants can create detailed diagrams and narratives at this level.

5. Systems Archetypes

Foundational Level: Gain a basic understanding of systems archetypes, learn common archetypes and understand their manifestations in systems. Foster a mindset shift from reactive thinking.

Intermediate Level: Enhance skills, identify and interpret various archetypes, use archetypes as diagnostic tools and apply them in strategic planning and issue analysis mapping. Trace systems archetypes and explain reinforcing and balancing loops.

6. Single- And Double-Loop Learning

Foundational Level: Develop an understanding of single- and double-loop learning, and learn principles and applications of single-loop learning. Recognize the need for double-loop learning.

Intermediate Level: Again, deepen skills. Detect operational inefficiencies (single-loop learning) and critically analyze and reframe foundational policies and strategies (double-loop learning). Distinguish situations requiring process improvements from those needing a fundamental rethinking of assumptions. Focus on the dynamic interplay between reaction versus reflection.

While introducing these disciplines is essential, activating motivation and confidence within individuals and teams may necessitate workplace coaching. Coaching can help provide the guidance and support needed to translate these disciplines into actionable strategies. It can nurture a culture of continuous improvement and empower individuals to take ownership of their growth. In the same way as systems competence, building a coaching culture means that even as managers within the organization are trained in workplace coaching to unlock team potential, there needs to be a deeper mastery by a core group of internal coaches whose agenda is about continuing education and coaching development.

In the pursuit of transformation, systems leadership and the five disciplines are not mere assets; they are prerequisites for success. Embracing this holistic approach positions organizations to thrive in an era where change is the new norm. Systems leadership—the combination of the disciplines enabled through coaching—illuminates the path forward, guiding organizations toward a future characterized by boundless possibilities. It is a journey worth embarking on, built on competence and mastery, offering organizations the keys to unlock their full potential to reach their desired future reality.


Thomas Lim is the Vice-Dean of Centre for Systems Leadership at SIM Academy. He is an AI+Web3 practitioner & author of Think.Coach.Thrive!