LEADERSHIP to ensure smooth working. Processes are perfected into‘ standard operating procedures( SOP). Processes for all the activities are connected to the organisational values, culture and style so that they get integrated and interactive. Systems maintain the team and driver’ s activity within the norms of the authorized body and also enable effectiveness, productivity and excellence. They facilitate proper understanding and smooth functioning that leads to operational excellence. Systems deliver more with the same resource base through accelerated and coordinated efforts. Systems develop‘ silent precision’ by avoiding any ambiguity and chaos. Systems also ensure that all activities remain productive, towards mission and within the strategy framework.
Whether it is a business organisation |
or a Formula-1 team, they have to |
work around the 7S factors identified |
by McKinsey. These 7S are directed |
towards |
the |
team / organisational |
mission. |
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In F-1 the racers are driving at around 300 km per hour on a zig-zag track. There is a neck-to-neck tussle with the competitors. A small error can threaten the safety of a Rs 100-million car and the life of the driver. The race also offers lessons in communication. There are serious limitations on when, how, and how much can be communicated to a driver, even though modern communication equipment is available. Sensing vibes, developing telepathy are challenges on the way. There is no scope for arguments and strong differences while racing in F-1. Great F-1 teams are about diversity and heterogeneity of skills and knowledge. But the pace of resolving differences and developing alignments ultimately decides the pace of the car.
Similarities |
with |
business |
and |
military |
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Although F-1 appears racer’ s game, it is purely a team game. There are about 19-20 roles in every team. The racer( driver), the technical team of engineers and mechanics, the data analysts, the strategists, team principal, HR, Finance, PR, and many more. There are over 1000 members in this organization and it has a vision, mission and values. The race is won by a driver, only with the strong support of his technical and non-technical team. His on-field partner has to supplement him and partner the team’ s success with his performance.
F-1 is not just one battle but there are 23 races played in the different parts of the world. To win the war( the championship), teams have to win 23 battles on different battlefields with radically different terrain. Every racing ground has some speciality, different levels of difficulty and challenges to overcome.
Like business, F-1 has fierce competitive situations. Ferrari won the world F-1 championship for 16 years, Mercedes for 10 years, McLaren for 8 years, Red Bull for 4 years, Honda engine for 6 years. Careful analysis of each team and each driver is important. One has to understand their style, mindset, compulsions, moods during the match, equation with the team and with the other player. Reading the minds of strategists, data analysts and team managers are equally important because it heavily influences various decisions like pit-stop, tyre selection, etc.
F-1 has a perfect VUCA environment that prevails in war and business. It must respond to volatility, uncertainty, complexity and ambiguity. Sudden incidence of rain, tyre change, pit stop delay, penalty to a driver for some rule violation or an accident can be the game-changer. All such factors are unpredictable and uncertain. They get mixed up to create a complex racing environment. A lot of coordination, discussion, deliberations are required on and off the field before, during and after the race.
Crafting the apt strategy is the key. Even successful champions and legends have to keep their ego aside and adapt to the collective wisdom of the team. They have to align their thoughts and actions to the strategy crafted by the team.
Smart tactics have to be designed and executed, instantly, on the field. Tactics are played as a response to the VUCA environment, to nullify strong competitive moves and to support strategy implementation.
F-1 and Strategy
Strategy is the main tool used in F-1. Crafting strategy is a core skill. There are striking similarities in strategy crafting in the corporate world and Formula-1 racing.
In Business, strategy crafting is discovering the critical hurdle on the way forward and then designing a comprehensive way, by focusing policies, resources, actions, etc to overcome that hurdle or challenges. Strategy crafting involves making choices and comprehensive decisions on the challenges posed. It requires a deep understanding of the business.( Richard Rumelt)
In Formula-1 Racing, strategy crafting is discovering the critical hurdles in racing( like weather, type of track, pole position, closely competing players, etc.) and designing a comprehensive game plan in terms of the requirement for pit-stop; tyre selection and changing strategy; etc. It requires a deep understanding of the game, the track, the car, and the competitors.
As the definition goes, the strategy starts with identifying critical hurdles on the way towards the mission, vision and goals. Discovering hurdles need a thorough environmental scanning. As discussed earlier, the VUCA environment prevails in F1 racing.
Volatile Environment( V)
When the environment changes suddenly and also unexpectedly it is called volatile. Strategy crafting in such a volatile environment becomes like walking on the wet floor. But in the case of F1, it is even worse, walking on the floor with soap water spilt over it. Some driver may suddenly face some technical snag and hit other cars, inflicting damages. Sometimes they are impossible to rectify and the other player also goes out of the race for no fault their own. Or, a car bangs on the side barrier and spreads debris on track inviting unwelcomed safety cars. The game gets disrupted.
Uncertain Environment( U)
Uncertainty refers to a constantly changing environment. It is like hitting a moving target. One has to guess the trajectory of the projectile and select an apt shot. Driving in F1 is also about judging the movements of competing cars, considering their trajectory and making moves accordingly. Car engines, tyres and breaks perform differently in different climates. Hence, different drivers compete closely in different races. Accidents also add to the uncertainty.
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