Have you ever felt like you’re working in a company that just can’t seem to get out of its own way? Maybe it’s the endless bureaucracy, the constant power struggles, or simply the lack of clear communication across departments. As a project manager or program leader, navigating these dysfunctional habits can feel like an uphill battle. In a recent episode of Productivity Smarts, I had the pleasure of speaking with Joel Dubin, author of The Seven Habits of Highly Dysfunctional Companies, to unpack some of these issues. Joel’s candid insights reveal both the humor and the frustration that come from working in chaotic environments—and he has a lot to say about how these behaviors affect productivity and morale.
Why Dysfunction Matters and How to Spot It
Imagine you’re doing your best to be productive and lead your team effectively, but every day feels like you’re putting out fires created by internal conflicts or poor processes. Sound familiar? Joel refers to this as the “merry-go-round” of dysfunction, where companies spend more time dealing with internal drama than focusing on their actual goals. This isn’t just frustrating—it’s counterproductive.
One of the most common problems Joel observed was the obsession with bureaucracy and office politics. “People build their own little fiefdoms,” he explained. Instead of focusing on the company’s mission, employees get wrapped up in personal power struggles, losing sight of what really matters. For those of us in project management, this kind of environment can be exhausting. Instead of working toward project milestones, we’re busy mediating conflicts and re-explaining goals.
Do Power Dynamics Kill Productivity?
Let’s be honest: we all want to work in a place where leaders lead by example and are approachable. But according to Joel, too often, the opposite happens. Dysfunctional companies tend to put power-hungry individuals in charge—people more interested in personal agendas than team success. And this isn’t just a minor inconvenience; it actively discourages collaboration, stifles innovation, and makes people less likely to take initiative.
Joel’s insight aligns with what I’ve seen in my own consulting work: when employees feel overshadowed by leaders who seem more invested in their own power, they become disengaged. They focus on protecting themselves rather than contributing to the company’s goals, creating a cycle that reinforces dysfunction and drains productivity. If you’ve ever had a manager who was more interested in their own advancement than the team’s success, you know how toxic this environment can be.
How Poor Communication Breeds Dysfunction
Joel shared a great story about a company he worked with where different departments barely communicated. Tech people felt that sales didn’t understand the product, while sales thought tech was being difficult. Sound familiar? In this particular case, Joel implemented a “PCI Cheat Sheet” for the sales team, providing them with a quick reference to ensure they weren’t over-promising or misrepresenting the product. It’s a small solution that made a massive difference—suddenly, both teams were aligned, and the company could present a unified front to clients.
Poor communication can lead to endless rework, misaligned priorities, and frustration on all sides. As project managers, we see this play out firsthand. A lack of transparency between departments can turn simple projects into logistical nightmares. Without clear, open lines of communication, even the best-laid plans can crumble.
Breaking Down Silos: A Key to Sustainable Productivity
The term “silos” gets thrown around a lot, but Joel’s insights drive home just how damaging these divisions can be. When teams are separated by silos, they may as well be working for different companies. They don’t talk to each other, they don’t understand each other’s goals, and they don’t share resources. This breeds resentment and leads to inefficiencies that could be avoided if departments communicated openly.
Breaking down these silos requires intentional efforts to foster collaboration. Toyota’s “stop-the-line” approach is a great example: employees on the assembly line have the authority to halt production if they see an issue, which brings the team together to find a solution. Giving employees this level of empowerment isn’t just a productivity booster—it’s a sign of respect. It shows that their input matters, and they’re trusted to make decisions for the good of the team.
Leaders Who Listen: The Antidote to Dysfunction
One of Joel’s key insights is that leaders need to be in tune with what’s happening on the ground level. He shared a story about Herb Kelleher, co-founder of Southwest Airlines, who would fly on regular flights without any entourage, just to observe the customer experience firsthand. By staying connected with the day-to-day realities of his business, he built a culture of openness and respect that permeated the entire organization.
If you’re leading a team, consider taking a page out of Kelleher’s book. Spend time with your team, listen to their concerns, and be willing to roll up your sleeves when needed. Your team’s productivity is directly linked to their morale, and nothing boosts morale more than feeling valued by leadership.
What to Do If You’re Trapped in Dysfunction
For those who find themselves working in a company plagued by dysfunction, the road to change may seem daunting. Joel’s advice? Be loyal to your career, not the company. If you’re constantly running into roadblocks that prevent you from achieving your best, it may be time to consider your options. Keep your resume updated, network regularly, and don’t be afraid to explore new opportunities. A dysfunctional environment doesn’t just affect your job performance—it can take a toll on your mental health and work-life balance.
That said, if you’re in a position where you can influence change, don’t be afraid to speak up. Encourage open communication, push for transparency, and model the behaviors you want to see in others. Sometimes, all it takes is one person willing to disrupt the status quo to start making things better.
Final Thoughts: Making Dysfunction a Thing of the Past
At the end of the day, dysfunctional habits don’t just disappear. They need to be recognized and actively addressed. Joel’s book serves as both a humorous critique and a serious reminder of how much damage these behaviors can cause. Whether you’re in a leadership role or simply part of a team, understanding the pitfalls of dysfunction can help you create a healthier, more productive work environment.
Dysfunctional habits aren’t inevitable, but they can be persistent if left unchecked. By staying vigilant, communicating openly, and focusing on the collective goals of the organization, we can work towards a culture that fosters productivity rather than frustration. After all, a company that’s in sync is a company that thrives.
This blog post reflects a conversational yet informative tone, presenting Joel Dubin’s insights on organizational dysfunction in a way that resonates with project and program managers while remaining accessible and actionable.
If you want to discover all the project management strategies I’ve honed over decades, condensed into just a few hours:
Click here to grab your copy for less than the cost of a dinner out.
