Reader question: Goal Tree vs. Current Reality Tree

Here is a reader’s question: I have difficulty seeing the difference between the Goal Tree and the  Current Reality Tree (CRT). With these two trees we assess the process. What are the main differences between the two?

The Goal Tree and Current Reality Tree (CRT) have nothing in common. They are not even meant to care about processes but about the system as a whole. Neither the Goal Tree nor the CRT are process maps.

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A Goal Tree lists all Necessary Conditions to achieve a Goal, which is not yet achieved, so it is about the future.

The CRT describes why the Goal is not yet achieved in the current state. It starts with identified Undesirable Effects (undesirable for the system as a whole) and drills down to the few critical root causes.

A Goal Tree is built from top-to-bottom with necessity logic while the Current Reality Tree (CRT) is built from top-to-bottom using sufficiency logic. This building top-to-bottom is maybe the sole commonality between the two.

To learn more about the differences between necessity and sufficiency logic, check out my post: Goal Tree Chronicles – Enablers vs.triggers

The name Current Reality Tree is somewhat misleading because the CRT is limited to the description of the negative outcomes. It does not describe all the Current Reality. This is saving a lot of unnecessary analysis as well as a warning to not mess with what is currently producing Desired Effects!

What could have caused some confusion to my reader is the fact that a Goal Tree is a benchmark against which to measure the gaps in current reality.

When doing this I use a 3-color code to indicate each Necessary Conditions status. I assess the current condition of the system with the Goal Tree as benchmark. The first autumnal-colored tree should be kept as is as a snapshot of the situation at the beginning. Distinct trees are used later to monitor the progress of ‘greening’ the tree, i.e. closing the gaps to achieve the Goal.

I hope this helps to understand the differences between a Goal Tree and a Current Reality Tree.

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Goal Tree: Why must top management define the Critical Success Factors?

Top managers discovering the Goal Tree frequently ask what input they must give and how “deep” they should commit themselves, where is the point of handover to lower ranking managers?

In this article I remind some basics about the Goal Tree as well as the necessity for top management to define the Critical Success Factors.

Some Goal Tree basics

It is the owner’s prerogative to define the Goal of the organization they purposely created. The organization’s top management takes over by delegation and has to lead it toward the achievement of this Goal.

Yet many ways may lead to the Goal but all of them are not desirable and some of them are not consistent with the organization’s values, adrift from the core business or core competences. Therefore, in my opinion top management must define/recall the organization’s’ Goal as well as the few Critical Success Factors, which make the very top of the Goal Tree.

A quick reminder about Critical Success Factors

Critical Success Factors are the few very important objectives that have to be achieved just before achieving the goal.

The Goal Tree is built upon  necessity logic. To read more about necessity logic click here.

Critical Success Factors should be expressed in measurable units in order to serve as the high level objectives and KPIs altogether.

These targets must be set in accordance with the Goal and as long as these targets are not achieved, the Goal cannot be achieved.

Critical Success Factors are therefore top management’s dashboard, the few KPIs to watch in order to see if the organization is getting closer to its Goal or drifting away from it.

Direction, values and culture

Critical Success Factors are also giving direction because for achieving them it is necessary to roll out specific actions and ensure specific Necessary Conditions are sustainably fulfilled.

Setting the Critical Success Factors will constrain the lower structure of the Goal Tree, which is a network of nested Necessary Conditions. Thus giving clear directions on what to work on in order to achieve the Critical Success Factors and ultimately the Goal.

Conversely, not setting the Critical Success Factors would let all options open including those hurting the core values or taking the organization away from its core competences and what makes a corporate culture.

Furthermore, letting lower rankings set the Critical Success Factors would be equivalent to let the tool choose its work.

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