Pre-Session Group

Assignment

(Complex Facilitation)
S E C T IO N A GR OUP 8
AINAB ZAIDI | H 210 0 3

A P O O R V VA S H I S T | H 210 0 9

FA R H E E N N E YA Z | H 21017

NIHRIKA PRAD HAN | H 210 3 2

R A J A R SH I C H AU D H U RI | H 210 37
Theory U : A Brief Introduction [1/2]
In a world that has witnessed numerous rounds of famines, growing hunger, and multiple terror attacks that have
been often referred to as exemplary institutional failures, we need to rethink our decision-making process. This is
where Otto Scharmer’s Theory U comes in and helps us avoid blind spots in decision-making and arrive at innovative
systemic solutions while learning from the future. The theory can be broadly divided into three parts.

1. The Listening Methods: This lists down the four types of listening and suggests how we can become better listeners in order to
arrive at robust solutions that perform in the long run.

2. The Core Movements: This consists of five steps to improve our data collection, prototyping, decision-making, and
implementation process. When drawn out, these steps resemble a ‘U’.

3. The Leadership Capacities: This includes seven leadership traits that must be developed in order to implement Theory U for
managing complexity or making critical decisions.

The features of these components are listed below in a brief manner. While the third part is essential for
implementing Theory U for a problem, the first two parts help us understand the ‘why’ and ‘how’ of the process.

1. The Listening Methods:

A. Downloading: This is the primary listening method used by most people where they reconfirm their knowledge. This
discourages any further use of listening.

B. Factual: This is the listening method where known data or biases are disconfirmed, and the data is allowed to talk.

C. Empathic: This mode of listening encourages to step into others’ shoes and view the situation from their perspective. This
creates a deeper connection during a conversation.

D. Generative: this is the most complicated form of listening that Scharmer urges us to practice. Generative listening helps us
evolve and changes our perspective along with enabling us to learn from the future. For this, we need open hearts and will.

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Theory U : A Brief Introduction [2/2]
2. The Core Movements:
A. Co-Initiating: This is the first step that suggests the building of common intent which
can materialize as a core team for a project with a unanimous goal. This process allows
A. Co-Initiating
us to develop deep listening and discover our true calling.
(Build common intent)
B. Co-Sensing: The second step emphasizes the importance of observation and sensing. We
need to see collectively, sharply, and deeply which will allow us to become innovative and
see emerging opportunities (which could be business-critical). E. Co-Evolving
(Implement the new)
C. Presencing: The most famous and unique step in the whole process requires us to
connect to the source of inspiration and common will. The former two steps consist of a
downward journey across the ‘U’ (refer to the figure) and encourage us to let go of biases.
The third stage is a combination of two key aspects – presence (in the moment and the
situation) and sensing (possible opportunities and an outline of the future) and requires
B. Co-Sensing
letting go of everything non-essential. After this stage, groups experience increased
(Observe openly)
energy and enthusiasm about the future, which they actively shape.

D. Co-Creating: This step enables us to arrive at functional and creative solutions by

prototyping which allows understanding of the future by being involved actively. While
developing a prototype without consulting the existing literature may seem counter- D. Co-Creating
intuitive and even a wastage of resources, in reality, this allows us to develop future- (Prototype)
proof innovative, and robust solutions to problems that emerge without any constraints
and appear as the most logical course of action. Altering a prototype as required can help
save time and is an example of exploring the future by being involved actively.

E. Co-Evolving: The last and final step enables implementing the solutions by reviewing
and modifying the prototypes. This stage involves a sound analysis of the solution by
involving multiple stakeholders. Ultimately, this results in developing a culture of C. Presencing
innovation that promotes the creation of holistic solutions that address the core of a (Connect to inspiration)
problem instead of attacking the symptoms on a surface-level.
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Problem Introduction & Solution [1/3]
Problem Description
Amazon’s online grocery business, now called Fresh, was re-launched in late 2021 with the consolidation of two different grocery brands
– Fresh and Pantry. While typically, the former stocked products such as fresh vegetables and kitchen essentials, the second included
cleaning products and other pantry essentials such as utensils. However, this distinction was not very clear and often the same product
was listed in Fresh and Pantry at slightly different price points and delivery schedules. The new Fresh brand was a consolidation but
needed to gain traction in a fragmented grocery market dominated by BigBasket, and JioMart, and quick commerce players like Blinkit
and Zepto.

Thus, since the brand launch, marketing campaigns of varying budgets and coverage had been tried out with a significant increase in
the user base. However, there are still a lot of markets to capture since the bulk of the orders comes from a few cities. An innovative
campaign that is different from the competition and addresses present and future customer needs can help Fresh achieve its objective of
becoming a dominant player in the online grocery space.

Theory U Applicability
Since Theory U is practically applicable for managing complexities, operating in uncertain environments, and implementing large- and
small-scale changes across organizations, it makes sense to apply the same to the above marketing project (during summer internship)
whose primary goal was to recruit new users. Theory U will help develop innovative and robust solutions that are effective, future-proof,
and address the core of the problem. Further, a blueprint can be obtained which can be adapted as per requirements.

Problem Approach Using Theory U

The problem can be analyzed using Theory U which can then help provide direction for solutions. Here, the third part of the theory (the
leadership capacities will be instrumental, and step-wise problem analysis and possible solutions are provided next.

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Problem Introduction & Solution [2/3]
Problem Analysis Through Theory U
The first four leadership capacities have been listed below along with their corresponding applicability to the problem have been listed
below. These steps provide direction to problem-solving but do not dictate the best solution which needs to be obtained by testing the
prototypes as discussed earlier.

Leadership Capacity Description Applicability for the Problem

This capacity encourages listening to yourself Since Fresh was unlike its competitors and focused on
and others (stakeholders) part of a core group value, interacting with customers (can help identify the
A. Initiating
and paying attention to the collective decision features or services desired by them and help propel
that emerges improvement and targeting
This capacity is to observe with an open mind The marketing campaigns often replicated those of the
B. Observing without judgment to allow novel inquiry space competitors due to which it was unable to reach all of its
and wonder to develop core audience and address them more personally
This capacity allows connecting with change The campaigns were typically centered around sale
deeply through an open heart to allow an open events and did little to build brand awareness as a whole.
C. Sensing
process to visualize the holistic (or complete) Going back to the drawing board and reprioritizing the
picture of the situation goals could allow developing holistic campaigns
Having an open will and a flexible approach could have
This capacity is about connecting to the allowed developing customized targeting of consumers
D. Presencing deepest source of open will which allows (which was done in a basic but not very effective form)
holistic actions and direct themselves and reinforcement of a holistic campaign approach that
is not just a collection of fragmented interventions

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Problem Introduction & Solution [3/3]
Problem Analysis Through Theory U
The last three leadership capacities have been listed below along with their corresponding applicability to the problem have been listed
below. These steps provide direction to problem-solving but do not dictate the best solution which needs to be obtained by testing the
prototypes as discussed earlier.

Leadership Capacity Description Applicability for the Problem

This capacity emphasizes the importance of
the commitment of the core group (formed in Once the desired changes were identified, a committed
the first stage) to the goals to attract other and dedicated core team would have ensured that the
E. Crystallizing
people, resources, and opportunities, and to implementation is carried out holistically and is on track
implement changes (or new collective by effective delegation and generating momentum
decisions)
This capacity is developing the skill of Prototyping and going beyond conventional marketing
prototyping by balancing head and heart and methods (such as replicating competitors) could have
F. Prototyping
engaging in activities that allow for the allowed the development of a blueprint for a campaign
emergence of a novel idea or an innovation that can be adapted to different markets or consumers
Developing customized advertising that adapted based on
This capacity involves learning to operate on a
customer needs, platforms, location, and other factors
bigger scale that involves a holistic vision and
and viewing the campaign not only as a tool to attract
G. Performing as a result, yields robust solutions which
users but also a more powerful instrument of
deliver in the long term due to effective
strengthening brand image could have provided relevant
implementation
metrics to measure campaign performance

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The Problem and Theory U Principle
Problem Analysis Through Theory U Problem Solution By Theory U Principle
A revised version of the Theory U diagram is provided The most important pivot point in Theory U is the step of presencing.
below to account for the seven leadership capacities. The steps before presencing (on the left side of ‘U’) gradually bring about
the process of letting go of biases, placing importance on facts, and
connecting with the vision for change. The steps after presencing (on
the right side of the ‘U’) help in developing holistic solutions, testing
different iterations, and effective implementation. The presencing stage
A. Initiating OPEN G. Performing is where the will to change must be developed and a strong connection
(Listen carefully) MIND (Operate holistically) to the future vision must be established. All the non-essential parts
which clutter decision-making and cause analysis paralysis must be
discarded at this stage. Thus, the principle of presencing can help in
solving the problem in the following ways:
1. Focus only on the important features and services that customers
B. Observing OPEN F. Prototyping
want or deem necessary
(Observe unbiasedly) HEART (Integrate head & heart)

2. Foster a climate of open discussion and innovation that is free-

flowing in nature is free from constraints

3. Develop a targeted and customized campaign plan that consists of

C. Sensing E. Crystallizing
(Connect to change) OPEN (Access intention)
multiple interventions which bolster ad recall and help build top-of-
WILL mind awareness

4. Reduce the clutter by retaining only relevant elements in the

campaigns and not overdo them while replicating competitors

D. Presencing 5. Build the way for creating a connection to the vision of change and
(Connect to will) inspiring others to act toward implementing the change
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