Organizational Capability
Updated 2026-08-05
INTRODUCTION
English translation pending.
CORE DEFINITION
Popularized by Arthur Yeung, this model holds that business success equals strategy multiplied by organizational capability. Capability rests on three pillars: employee mindset, whether people are willing; employee competence, whether people are able; and employee governance, whether structures, incentives, and tolerance for failure allow them to act. Because the three multiply rather than add, a single weak pillar drags the whole result toward zero.
SCAFFOLDING EFFECT
Reduce cognitive load
- Organization checkup: when a team will not move, test willingness, skill, and permission in turn. - Weak-pillar targeting: fix the lowest corner instead of adding training everywhere. - Mechanism design: adjust incentives and decision rights when willingness rather than skill is the gap.
Anchor fast decisions
Willingness, ability, and permission act as independent gates on behavior. A capable employee without motivation does nothing; a motivated employee without skill tries and fails; a capable, motivated employee blocked by process, incentives, or a blame culture still cannot act. Since all three must be present, the binding constraint sets the ceiling.
MINIMUM ACTION
In progress 0/4Practice this model in one real situation:
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Source support: Explicit
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