THE PLAYFUL CORPORATION by Martin Reeves, Jack Fuller, and Gerardo Gutiérrez-López

THE PLAYFUL CORPORATION By Martin Reeves, Jack Fuller, and Gerardo Gutiérrez-López

e don’t usually think of play as Why We Need Play Wbeing an essential part of business. Play is an activity that can be realized in Play, in a business context, looks like an many forms. We can define it as deploying optional extra: something you do after improvisation and imagination, to inspire you’ve finished your work, rather than ourselves and others toward more effective being an integral part of work itself. There exploration of possibilities. Each of these are certainly many gestures toward three components—improvisation, imagi- playfulness in the modern office: bean nation, and inspiration—is increasingly im- bags, Lego corners, foosball tables, and so portant in today’s business contexts.1 on. But these are more often attempts to create a comfortable working environment Improvisation is needed the more an envi- rather than to make the work itself more ronment becomes unpredictable. The less effective. we can rely on plans, the more we need the mindset and skill of improvisation, to re- The fact that innovation productivity ap- spond rapidly to novel situations. Imagina- pears to be declining, and workplace disen- tion is needed the more an environment gagement rising, might suggest a need to becomes malleable: the more opportuni- become more productively playful. But it is ties we have to shape patterns of demand when we look closely into the dynamics of and competition. In such open-ended situa- play, and what play can do for business, tions we compete on our ability to envision that we see its true importance. new products or areas of unmet need. In- spiration is required the more we involve Especially when facing uncertain environ- others, as in building and orchestrating a ments, we should understand the value complex and dynamic business ecosystem. of play and the steps that we can take in In each case, the more our environment order to foster more genuine play in our departs from orderly stability, the more we organizations. need to cultivate play. Sources: Henderson (1970), Lockridge (1981), Nadler & Tushman (1994, 1995), Abell (1999), Wiltbank et al. (2006) and Reeves et al. (2011, 2012, 2015).

What Play Can Do for Us thought something like “might as well try Diving in more detail into these intercon- it.” This moment illustrates a key aspect of nected elements of play, let’s examine the the mindset of play. McVicker was impro- value that play can bring. vising with potential applications for his product, in this case with successful results. Improvisation Play involves improvisation, meaning doing Google Maps also began with play. In 2003 something quickly and with minimal then-CEO of Google Eric Schmidt was re- preparation in response to an external portedly in a meeting discussing whether stimulus or internal “hunch.” Many of us Google should acquire Picasa. But Schmidt will understand this personally from toying was not paying attention; he was fiddling with Play-Doh as children—making shapes around on his computer with a satellite- without much premeditation, following mapping tool called Keyhole. Following his whatever thoughts come to mind. Psycholo- own hunch and sense of excitement, gist Mihalyi Csikszentmihalyi argues that Schmidt interrupted the meeting and play occurs when we do things immediate- demonstrated Keyhole. The executives for- ly that are within our ability. The piano got the official agenda and spent the time player improvises when she plays new playing with the new tool. A lot of system- chords and melodies—things she can do atic activity was later required to develop a but might not have done before in precise- business, but the original idea came from ly that form. In the landscape of possibility, play. To take another, historical example, we are exploring “nearby” moves rather the basic design of the telescope is thought than long-distance “moonshots.” to have come about from two children playing with different lenses in the shop of Interestingly, the invention of Play-Doh it- the inventor Hans Lippershey. self is an example of this in business. Play- Doh (then called Kutol Cleaner) began as a We can’t measure how many possibilities product to clean wallpaper, until the inven- we miss when we don’t play (when we stick tor Joe McVicker heard a teacher saying strictly to the agenda, or never play with the that kids found modeling clay too tough to lenses), but we do know that play can lead manipulate. On a whim, McVicker shipped to innovation. We also know that businesses some wallpaper cleaner to the school, and that innovate less are less likely to succeed the kids loved it. We can suppose he in the long term. Play should thus be seen

The Boston Consulting Group | The Playful Corporation 2 as a personal, whimsical, and yet legitimate unmet and hitherto unimagined needs. path to uncovering new ideas, ones we might not have found through more system- Inspiration atic, goal-oriented approaches alone. Inspiration is the other strand that runs throughout genuine play. The mental skill Imagination here was defined by the philosopher Aristot- Another key element of play is the imagina- le, who pointed out two bad extremes in dis- tion. Australian software company Atlassian cussions: being too serious and dull, and be- is famous for cultivating a playful, collabora- ing too frivolous—which is dull in its own tive mindset among its employees. One way. Between these two lies a mental quali- game they play is called Premortem, in ty Aristotle called eutrapelia, or “good-turn- which the team is encouraged to think of ing”: being able to change direction playful- terrible outcomes. “All depths of doom and ly from serious to fun and back, engaging despair are encouraged.” The instruction others in a rich but also lighthearted discus- manual explicitly prompts the imagination: sion. Somewhere between the tedium and “Close your eyes and picture your CEO hold- buffoonery lies inspiration, where sparks of ing a press conference. A pack of hungry interesting thought arise in ourselves and journalists and irate customers are in front spread to others. of your building. What does she say?” They explore a landscape of dangerous scenarios. Creating the space where inspiration happens is crucial whenever we work with oth- The rationale for this kind of activity has ers. Sharing imaginative thoughts with col- been described by biologists, in analyzing leagues creates much more inspiration than how and why mammals play. Animals in- one person instructing others. One well- vent handicaps, or mock dangerous situa- known proxy marker of the need for more tions, and then try to escape them, to be play is workplace disengagement: according prepared for real-life dangers. Thus, while to Gallup, 70% of US employees are not en- the play itself is fun, it has an essential gaged, meaning “sleepwalking through their function in the long run. The underlying workday, putting [in] time—but not energy mental skill here is the ability to hold in or passion.” The most important area for in- mind what is not true. Often in business we spiration, however, lies in reaching out to are much more comfortable with questions others. If we can practice striking the right of the form “What can my bank do next balance of playfulness in day-to-day office year?” versus “What could a bank be (that interactions, we can take this skill outside no bank currently is)?” Play happens in the the corporation, in getting to know clients subjunctive mood—relating to what is or building ecosystems of collaborators. imagined or wished. We need playful con- When we work with external partners it is versations to envision possible futures, neg- critical to be able to spark people’s personal ative or positive. engagement, to co-create and share ideas, since we have less control and are more reli- The imaginative aspect of play is also ant on the voluntary engagement of others. valuable in customer research. As the CEO of GE, Jeff Immelt emphasized the need Play, then, does a lot for us, whether in im- for “imagination breakthroughs” and promptu conversations, brainstorming ses- “dreaming sessions” with customers. If we sions, unplanned tinkering with products, can create the free, improvised state of customer focus groups, or client presenta- play with customers, it helps us move be- tions. Play helps us in discovering new yond questions about existing products products and markets, imagining scenarios, (what kind of chocolate someone prefers, exploring a vision, and creating shared in- or how they sold their last house), to what spiration and ownership of ideas. The un- can be imagined. With the rise of virtual derlying mental skills are ones we need the reality in customer research, opportunities more we face unpredictable and open-end- will only increase to design imagination- ed environments—when we need new spurring playful experiences, to reveal ideas and to bring others along with us.

The Boston Consulting Group | The Playful Corporation 3 How to Get More Play 3. Create Thresholds There is no set of instructions to guarantee A famous study of play, the book Homo effective play—to be too instrumental and Ludens by Johan Huizinga, notes that all mechanical about it would be self-defeat- cultures set aside special zones for play: ing. But we can draw lessons from cultural “The arena, the card-table, the magic circle, and biological research, to identify the ac- the temple, the stage, the screen, the tennis tions you can take as a leader, to create the court, etc., are all in form and function conditions for more play. play-grounds, isolated, hedged round, hal- lowed, within which special rules obtain.”2 1. Derisk Play Because play is set apart from normal, As we learn from mammalian play, a basic practical ways of thinking, it helps to use condition for play is that the negative con- physical space as a marker for a different sequences of action are reduced. We can mental space. This can be done with a des- improvise and imagine more broadly when ignated room. We don’t have to use bean we give play a break from the ordinary re- bags and colorful furniture. There are sponses and judgments of the world. In the many ways to mark the space as different: workplace, we should seek to create what the lighting could be dimmer, there could management professor Amy Edmondson be shelves of interesting books, the space calls psychological safety: “a sense of confi- might have no electronics in it. However dence that the team will not embarrass, re- the space is delineated physically, the ject, or punish someone for speaking up.” threshold works when it is reflected in so- Play can be odd, foolish-looking, even mis- cial norms. The leaders within the group chievous; it is no coincidence that Hermes have the most influence in establishing was the ancient god of wordplay but also such norms. Thus, while our play itself is the god of trickery. We should seek to en- not serious, we should take the threshold code in our organization’s communications seriously: entering the room, we should (our statement of values, all-staff emails, practice signaling the shift to a different induction programs, introductions to meet- mental state, one free from goals and open ings) a tolerance for what happens in play- to improvisation and imagination. ful discussions and situations, recognizing it as a somewhat wilder mode than ordi- 4. Start with the Personal nary interactions. Whether we’re in a designated space or not, it can be hard to find a trigger that 2. Suspend Goals kicks off play. For a hint, we can look to the Most corporate work is rightly linked to a Greek word for play, paidiá, which is de- goal, which aligns intentions and prioritizes rived from paîs, the word for child. Children what we emphasize and communicate. In have a key lesson to teach us here: when play we invert this. It’s interesting when in- they play, they allow their personal, sponta- tentions don’t align and minds wander off neous feelings to guide what they say and in different directions. A prerequisite for do. As adults, this is usually more of a chal- play is to suspend the idea of an objective, lenge. Much of corporate work is imperson- to allow conversation to be driven more by al: there is a rational way to proceed; we people’s personal impulses and imagina- start with the problem or the logical begin- tion. Yet temporarily abandoning goals is ning. In play, the starting point is personal: mentally difficult. Psychological studies we must bring our impulses and imagina- show that a strong predictor of adult play- tions to the engagement. Rather than think- fulness is low levels of prudence, and yet ing what is best or right to say, we must ask prudence—practical judgment—is an ad- ourselves, “What do I really feel?”—even if mired virtue in business. A playful corpora- the answer is unusual. That is, a good way tion, therefore, has to cultivate (and hire) to kick off play is to say something sponta- minds that can cross between the prudent neous and idiosyncratic. We can lead by ex- and the playful: from careful, goal-directed ample here but also embed this practice in communication, to whimsical, aimless— shared working norms, eliciting people’s but ultimately valuable—reverie. genuinely personal reactions and feelings,

The Boston Consulting Group | The Playful Corporation 4 moving interactions temporarily from the lay often seems marginal to work, rational to the impulsive. Pbecause work is based mainly on goal-directed action and efficiency. But 5. Have Patience with Play play is not the opposite of work—that’s Play involves unpredictable, improvised leisure. Play is rightfully seen as part of moves from one thought to another and productive work. Doubling down on effi- multiple divergent imaginations. Progress ciency without a commitment to play risks is unclear—you wander around for a bit, creating institutions less able to unlock follow interesting things. At the end of one much-needed human capacities, like the burst of play, there may be no outcome, or ability to improvise, to imagine, to inspire it might not be obvious. Perhaps next time others. We should take play seriously— you will stumble on a great connection; with a sense of irony—as part of intelligent perhaps something half came to light that business strategy. will become clearer later. These dynamics don’t sit well with a push to assess the outcomes of each hour of work. But the value Notes of play is in the long run. Play may not 1. Reeves, M., et al. Your Strategy Needs a Strategy, 2015, Harvard Business Review Press. show returns on every occasion, but will 2. Huizinga, J. Homo Ludens: A Study of the Play-Ele- bear fruit over time, as a generator of ideas ment in Culture, 1950, Martino Publishing, p. 10. and inspiration and as a forum for practic- ing important mental skills. To build a more playful corporation, we first need to see and convince others that play is a long- term commitment.

About the Authors Martin Reeves is a senior partner and managing director in the New York office of The Boston Consult- ing Group and the director of the BCG Henderson Institute. You may contact him by email at reeves. [email protected] and follow him on Twitter @MartinKReeves.

Jack Fuller is a consultant in the firm’s New York office and an ambassador to the BCG Henderson Insti- tute. You may contact him by email at [email protected].

Gerardo Gutiérrez-López is a consultant in BCG’s New York office and an ambassador to the BCG Hen- derson Institute. You may contact him by email at [email protected].

The BCG Henderson Institute is The Boston Consulting Group’s internal think tank, dedicated to exploring and developing valuable new insights from business, technology, and science by embracing the powerful technology of ideas. The Institute engages leaders inprovocative discussion and experimentation to ex- pand the boundariesof business theory and practice and to translate innovative ideas from within and be- yond business. For more ideas and inspiration from theInstitute, please visit https://www.bcg.com/ bcg-henderson-institute/thought-leadership-ideas.aspx.

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