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The Secret of Success for Any Organization

By Shoham Adizes - Adizes Institute
Certified Senior Associate

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Shoham Adizes By Shoham Adizes | Certified Senior Associate - Wed, 03/19/2025 - 06:30

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In this article, I would like to outline one of the building blocks of the Adizes Methodology, which has been successfully applied in over 50 countries with companies ranging from startups to Fortune 100 corporations.

What separates successful organizations from those that struggle? 

Why do some marriages grow stronger after a conflict while others dissolve into divorce? 

Why has Switzerland remained stable while Yugoslavia disintegrated? 

These questions lead to a crucial insight: The secret of success in any system, be it a business, a nation, or even an individual, lies in the balance between external and internal marketing.

 

The Core of Success

Every successful system, whether a company, a country, or a person, must balance two forces:

1. External Marketing – Recognizing and seizing opportunities in a changing environment. In a business, this means aligning products and services with market needs. For a person, it means career planning — matching one’s skills to market demands. For a nation, it means industrial policy — leveraging resources to compete globally.

2. Internal Marketing – The energy spent within the system to make things happen. This manifests as internal politics, meetings, and communication struggles in a company. For individuals, it’s the mental chatter of self-doubt. In a country, it appears as a social and political conflict.

If an organization or individual expends too much energy on internal conflict, there is little left for external success.

 

The Role of Mutual Trust and Respect

At the heart of internal marketing lies mutual trust and respect. When trust and respect are high, internal conflicts are minimal, and more energy can be directed toward achieving goals. When they are low, energy is wasted on infighting, politics, and inefficiency.

Take Switzerland as an example. Despite housing Italians, French, and Germans, who historically clashed in world wars, Switzerland remains stable. Why? Because of a deeply ingrained culture of mutual trust and respect. Citizens respect each other’s language, culture, and autonomy, creating an environment where collaboration thrives.

Contrast this with Yugoslavia, which lacked this cultural foundation. Without trust and respect, internal conflicts drained the nation’s energy, leading to its fragmentation.

 

The Energy Formula

Physics teaches us that at any point in time energy is finite. The same principle applies to organizations and individuals. Energy first goes to internal needs (resolving conflicts, navigating bureaucracy), and only the surplus goes to external efforts (innovation, market expansion).

If a company is mired in internal disputes, there is little energy left to serve customers or outmaneuver competitors. If individuals lack self-confidence, their energy is spent on self-doubt rather than seizing opportunities. If a country is embroiled in internal conflict, economic progress slows.

 

Business Application

Consider two companies:

1. A company with high trust and respect – Employees collaborate, share ideas, and execute efficiently. Decisions are made with open input; once finalized, everyone supports implementation. Energy is focused on growth and customer satisfaction.

2. A company with low trust and respect – Internal politics dominate. Departments work against each other, slowing decisions and reducing execution efficiency. Instead of fighting competitors, employees fight each other.

Which company will succeed? The one where energy is directed outward toward innovation, customer service, and competitive strategy, and not wasted on internal battles.

Personal and Family Application

The same principle applies at an individual level. Imagine a highly educated, wealthy, and attractive person. On paper, they have everything. However, if they lack self-trust and self-respect, they will be paralyzed by indecision and unable to capitalize on their strengths. Their energy is trapped in mental conflicts rather than being directed toward achievement.

A lack of trust and respect in families creates constant stress. A single argument can derail an entire day’s productivity, and divorce can render someone ineffective for years. Strong families, like strong organizations, have a foundation of mutual trust and respect, allowing members to support each other and thrive.

 

The Role of Leadership

A leader’s primary responsibility is building and nurturing a culture of mutual trust and respect. This culture — not technology, money, or market opportunities — determines long-term success.

When a company loses its culture, it loses its greatest asset. Companies should not outgrow their culture. If they do, internal conflicts arise, energy is wasted, and external effectiveness declines.

Final Insight

Switzerland, Japan, and other high-functioning societies thrive not because of natural resources but because of their internal cohesion. Countries rich in natural resources, like South Africa and Angola, struggle due to internal division.

The same applies to companies and individuals. It’s not what you have — money, education, resources — it’s who you are.

Success is built from the inside out. So invest in your culture. Prioritize mutual trust and respect.

 

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