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"Pods – also known as self-directed work teams – have been around for more than 20 years. Pods are 30% to 50% more effective than their traditional counterparts. A survey of senior line managers offers some of the benefits derived from implementing self-directed teams:
Improved quality, productivity and service.
Greater flexibility.
Reduced operating costs.
Faster response to technological change.
Fewer, simpler job classifications.
Better response to workers’ values.
Increased employee commitment to the organization.
Ability to attract and retain the best people."
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Modular components are a critical element of a connected company. But to take advantage of pods you also need a business that is designed to support them.
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Perhaps one of the reasons more companies haven’t organized around small, empowered teams is that their business architectures don’t allow it. It’s not easy to plug modules into a platform that isn’t designed for it.
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Listening to Jeff Bezos, founder and chief executive officer of Amazon, is like going to startup school where you learn that failure is part of entrepreneurial growth. Whenever I have talked to Bezos in the past, the things that have stuck in my head have been his willingness to be wrong and his unflinching abhorrence of the status quo. At the Wired Business Conference in New York City, Bezos reiterated some of those points in a conversation with writer Steven Levy.
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“You need a culture that high-fives small and innovative ideas and senior executives [that] encourage ideas,” he said. In order for innovative ideas to bear fruit, companies need to be willing to “wait for 5-7 years, and most companies don’t take that time horizon.”
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His tip on managing during tough times such as those faced by Amazon during the bust was to communicate more with its employees
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Eli Lilly uses Amazon Web Services and other cloud services to provide high-performance computing, as needed, to hundreds of its scientists. With AWS, Powers said, a new server can be up and running in three minutes (it used to take Eli Lilly seven and a half weeks to deploy a server internally) and a 64-node Linux cluster can be online in five minutes (compared with three months internally). "The deployment time is really what impressed us," Powers said. "It's just shy of instantaneous."
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