McKinsey

The pyramide principle - logic and structure in thinking and writing

After working 10 years in management consulting., I use the Pyramide Principle a lot. The Pyramid Principle is a structured approach to communication, often used for writing and presentations, developed by Barbara Minto at McKinsey & Company. It emphasizes presenting ideas in a top-down, pyramid-like structure, starting with the main point or recommendation and then supporting it with logically grouped, detailed arguments and evidence.

Key Components of the Pyramid Principle:

  1. Start with the main message: Begin with a concise, compelling summary of your central point or recommendation. This captures the reader's or audience’s attention and establishes a clear direction.

  2. Group supporting ideas logically: Organize supporting points into groups that address different aspects of the main message. Each group should have a clear theme and contribute to explaining or proving the main point.

  3. Provide supporting evidence: Within each group, include specific details, data, or examples that reinforce your supporting ideas. This gives depth to each group and justifies why it contributes to the main message.

  4. Follow a logical order (MECE): The Pyramid Principle emphasizes being MECE (Mutually Exclusive, Collectively Exhaustive). This means:

    • Mutually Exclusive: Each point should be distinct and non-overlapping.

    • Collectively Exhaustive: The points should collectively cover all relevant aspects of the main message.

This principle can be used in solving all kinds of business problems, including increasing revenues, reducing costs, improveing support functions, attracting talent etc.

Here is a video explaining the concept:

How to improve organizational health?

Working as a Management Consultant for many years, a have come across many different organizations, both highly functional and some less functional. How well an organization works is often referred to as organizational health.

According to a McKinsey Quarterly arcticle from Septermber 2017, organizational health is “an organization’s ability to align around a common vision, execute against that vision effectively, and renew itself through innovation and creative thinking” There is strong evidence that healthy organizations financially outperforms less healthy organizations.

The article lists many management practices that leads to 9 organizational outcomes, which again drives organizational health:

When an organization is healthy, it can effectively navigate challenges, capitalize on opportunities, and achieve its objectives while maintaining the well-being of its employees.