What Exactly Is a ‘Happy Organization’?

A happy organization (business, government entity, non-profit, etc.) is the one that (1) has an optimal (‘lean’) corporate structure; (2) operates at maximum performance measured by corporate KPI; (3) makes all its corporate stakeholders happy; and (4) is in a state of harmony with its environment.

Why these three distinctive features? Because of indisputable facts, solid logic and good old common sense.

Let’s start with a lean organization. Why a happy organization must be a lean one? By definition, a lean organization is the one that contains only those objects (employees, departments, products, brands, assets, etc.) absolutely necessary and sufficient to operate at its maximum performance.

A business with redundant objects (‘fat’) and the one with the missing objects (‘limbs’) are very uncomfortable in the ‘corporate jungle’ because they are not ‘fit’ enough for the ‘survival of the fittest’. Therefore, only a perfectly lean organization can be considered truly happy.

Performance maximization. Why a happy company must operate at its maximum performance? Obviously, an individual is happy only when he/she is the best one can be (see Maslow’s hierarchy of human needs). Which requires operating at one’s maximum performance in your occupation.

Again, the same is true for any organization. An organization can be considered happy only when it operates at its maximum possible performance. Waste (of time, money and other resources) and happiness are not compatible. Period.

Happy stakeholders. Obviously, an organization can be considered happy only if it makes happy all of its stakeholders – both internal (owners, managers and employees) and external (clients, suppliers, partners, government entities, etc.).

To make your stakeholders happy, you must identify and satisfy – with your products and services – their aggregate (financial, functional, emotional and spiritual - FFES) needs and desires. Unfortunately, you will have to identify and satisfy both.

But this is not enough. To make your stakeholders happy, you must also make sure that (1) their perceptions of your company match the reality; (2) they have high expectations of your company – in terms of satisfaction of their needs and desires; and (3) these expectations are always exceeded.

External harmony means that your company must make sure that happiness ‘goes both ways’. In other words, that your stakeholders satisfy the FFES needs of your company as well (i.e. create the maximum possible amount of aggregate value – financial, functional, emotional and spiritual).

Therefore, a happy company is a lean, performance-focused, stakeholders-focused and aggregate value-focused organization. And, obviously, a powerful money-making machine. You can find a detailed profile of a happy company in my white paper “How to Transform Your Business into a Happy Organization".


Download my white paper “How to Transform Your Business into a Happy Organization”. For a comprehensive corporate happiness solution, check out my seminar under the same title and my consulting services.