Abstract: This article discusses how leaders can manage organizational friction to maximize performance. While some friction is inevitable, excessive "bad friction" in the forms of disagreements and conflicts can damage efficiency and morale. However, controlled "good friction" through healthy debates and tension around priorities can stimulate new ideas and innovation. The key is distinguishing between the two and implementing strategies to leverage good friction while minimizing bad friction. The article then provides examples of how companies like Anthropic and Telefónica applied such strategies successfully.
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