Episode 60
The Difference Between First Order and Second Order Change
This episode delves into the crucial distinction between first order and second order change, especially for founders and business owners facing challenges. First order change involves making small adjustments to systems without altering the overall framework, while second order change requires a revolutionary shift in worldview that can fundamentally transform an organization. The discussion emphasizes the importance of recognizing when a problem is merely a symptom that can be fixed with a tweak versus when it calls for a deeper, systemic re-evaluation. As listeners reflect on their own challenges, they are invited to consider whether they need to refine their approach or fundamentally rethink their perspective. This exploration not only encourages growth but also highlights the potential for significant transformation in both personal and professional realms.
Key Themes:
- First order change involves tweaking the existing system for better efficiency without altering its core.
- Second order change requires a complete shift in perspective, fundamentally altering how we approach problems.
- Founders often face blocks that necessitate a reevaluation of their worldview to find effective solutions.
- Short-term fixes might seem appealing, but they often overlook the potential for deeper systemic change.
- Understanding the difference between first and second order changes can transform the way challenges are addressed.
- Embracing second order change allows individuals and organizations to unlock greater potential and growth opportunities.
Chapters:
- 00:01 - Introduction to Mindset, Mood and Movement
- 00:09 - Understanding First Order Change
- 01:24 - Exploring Second Order Change
- 02:52 - Identifying Your Challenges
- 04:05 - Conclusion and Call to Action
Transcript
Welcome to mindset, mood and movement.
Speaker A:A systemic approach to human behaviour, performance and well being.
Speaker B:When we meet a block or a problem, obvious answer is to seek change.
Speaker B:Now, I cover this all the time in my coaching work and all of the founders and people I coach are working through changes.
Speaker B:Today's episode is to talk about a really beautiful description of first order change and second order change.
Speaker B:Now, you may not have heard this, so I'm going to unpack it a little bit and invite you to try it on.
Speaker B:So first order change is when we're changing something in the system.
Speaker B:So fundamentally, your system doesn't overall change, but you're tweaking it, maybe adding something in, taking something away, making something leaner, making something more efficient.
Speaker B:And there's a place for this, it's kind of tinkering with things, finessing, if you will, and there's a place for that.
Speaker B:So if this is the change that's going on, it's quite easy to fix and it's often quite cause and effect.
Speaker B:For example, if your sales funnel isn't flowing so well, you might talk to a sales specialist and then have a look at could it be done in a way that makes it more seamless and integrate and dial into your CRM system or something like that?
Speaker B:And there goes your system.
Speaker B:It's all working nicely and your company's functioning well.
Speaker B:That's great.
Speaker B:Right on to the point.
Speaker B:It isn't.
Speaker B:Sometimes we need to then look at second order change.
Speaker B:Second order change is when we're much more revolutionary about the whole thing.
Speaker B:It's about worldview change.
Speaker B:So as a founder, it's how you're thinking and seeing the world and your business and what you're doing.
Speaker B:Perhaps it's your organization.
Speaker B:What you do might radically change with the oncoming AI revolution that's going to come in and change perhaps how we do many of our business practices.
Speaker B:So second order change is changing the entire system, changing the worldview.
Speaker B:Think of that great car company that doesn't own a taxi.
Speaker B:You know, they use reversal assumption as a thinking model.
Speaker B:Like how do we have a taxi company without any cars?
Speaker B:Uber was born.
Speaker B:That is second order change in the taxi business.
Speaker B:So second order change isn't always necessary.
Speaker B:But I would say if you were stuck, pretty much people I'm coaching are founders and they're stuck with a shift, a big shift in their life.
Speaker B:That's normally where we're working and second order change is the big one.
Speaker B:Change your worldview, change the entire system and that predicates change through all of what we call system one, all the simple skills stuff.
Speaker B:Because when you change how you see the world, when you change the entire nature of your business, the whole thing can reorganize and recalibrate.
Speaker B:So there really, I've simplified it.
Speaker B:First order change, skill, tweaking the system but remaining constant.
Speaker B:Second order change, changing the entire system or the worldview so that everything down the line changes.
Speaker B:So what challenge is going on for you?
Speaker B:And I invite you to think about a challenge right now.
Speaker B:What block, what problem do you have?
Speaker B:And take a moment and overlay that map.
Speaker B:Is it a first order ChangE?
Speaker B:Do you need to tweak something?
Speaker B:Is there something you need to add or take away?
Speaker B:Or do you need to step back and think about this in a very different view?
Speaker B:Like how is this seen in a different view?
Speaker B:What's the structural difference?
Speaker B:So they're quite big themes to play with.
Speaker B:I wanted to invite you to try that on a little bit today and play with it a bit.
Speaker B:But what I see when we're looking for ChangE, we want to know the difference.
Speaker B:And the problem is so many of us are looking for short term solutions, not because there's anything right or wrong with it, it's just BECAUSe it's VERy common and we're trying to solve a problem with a quick fix.
Speaker B:Like I have x problem, I want x solutioN.
Speaker B:But actually sometimes the problem is the potential, and the potential shows you can expand, whether that's your organization, perhaps the way you're running your organization, perhaps the way you're running your mind.
Speaker B:And the second order change shifts everything.
Speaker B:So there's some quite big stuff to play with there.
Speaker B:If you try on a first order change and a second, maybe you do both, do let me know and let me know what challenge it resolves for you.
Speaker B:Alright, till the next time, take care.
Speaker A:Thank you so much for listening.
Speaker A:If you enjoyed the episode, please subscribe.
Speaker A:And if a friend would benefit from hearing this, do send it on to them as well.
Speaker A:If you would like to get in touch yourself, then you can go to my website, which is saljefferies.com, spelt salje double f e r I e s.
Speaker A:Saljefferies.com.
Speaker A:hit the get in touch link and there you can send me a direct message.
Speaker A:If you'd like to go one step.
Speaker B:Further and learn whether coaching could help you overcome a challenge or a block.
Speaker A:In your life, then do reach out and I offer a call where we can discuss how this may be able to help you.
Speaker A:Until the next time, take care.
