Surplus Value

Last week, I delved into the ambitious nature of decision-makers as a major source of workplace toxicity. This week, I want to explore another crucial factor in whether toxicity takes root and flourishes: the concept of surplus value.

Surplus value, traditionally, is the extra value workers contribute beyond their wages. In an ideal world, this surplus fuels an organization's longevity and sustainability. Lately, however, I've seen this idea expand to societal contributions, where individuals offer value to their communities beyond just economic worth. In both these spheres—organizations and communities—it feels like surplus value is eroding, replaced by increasingly toxic environments. Interestingly, it's not that toxic environments are eliminating value-added contributions; rather, the absence of people providing that additional value is what's creating the toxicity.

The common thread in both scenarios? A failure of leadership. This week, I'll explore the intricate link between surplus value and organizational leadership. We’ll examine how a lack of strong leadership stifles the creation of surplus value and, in turn, amplifies toxic workplaces. Conversely, we’ll see how powerful leadership cultivates an abundance of surplus value, leading to dynamic and healthy organizations.

Let's start with the downside. Most of us arrive at work wanting to do well, to be a positive presence for colleagues and clients, and to feel a sense of accomplishment at the day's end. Even in jobs we don't love or with people we might not entirely click with, we still strive to make the best of it, hoping for something more than just a paycheck. This innate human desire for positive outcomes beyond monetary compensation is incredibly powerful, shaping our choices. When that desire is stripped away, its influence shifts, often fueling toxic behaviours. Once these behaviours become entrenched, administering the necessary antidotes becomes incredibly difficult, requiring repeated, deliberate effort for any real change.

Decision-makers and supervisors are at the heart of whether employees generate surplus value or contribute to toxic environments. Given that most people inherently want to be positive contributors, it should be relatively simple for leaders to at least passively encourage surplus value. Even if supervisors remain neutral, there's a strong likelihood—greater than 50%—that employees will naturally contribute beyond the value of their wages. Employees aren't inherently driven to create either surplus value or toxic environments; they exist in a neutral state.

From this neutral ground, supervisors can subtly steer employees in either direction. Simple actions, like delaying responses to key questions or failing to genuinely engage, can quickly transform a potentially productive, neutral environment into a negative one ripe for a toxic culture. The reverse is also true. Supervisors who respond promptly and engage authentically with their teams can effortlessly nudge a neutral setting toward a solidly positive one. These small, often overlooked behaviours are powerful catalysts for workplace culture. Effective leaders instinctively understand this, consistently demonstrating these actions to foster a positive atmosphere. This doesn't mean they shy away from difficult conversations about performance or challenging situations. It means they conduct those conversations with consistency and a recognizable approach, mirroring their positive interactions.

But subtle nudges aren't enough. To truly unlock high performance and transform an organization through surplus value, decision-makers must go further. They need to dig deeper, be more vulnerable, make sacrifices, and engage thoughtfully. Great leaders challenge themselves to change even more than they ask their teams to change. They aren't afraid to show emotion, creating brave spaces for their teams to express themselves. They prioritize their team's needs above their own. Great leaders foster deep relationships, encouraging team members to bring their whole selves to work. Great leaders turn tension into surplus value.

In my current work, I help organizations cultivate more innovative and high-performing cultures. Recently, while seeking feedback on an innovation strategy I'd developed, a common critique emerged: supervisors and decision-makers felt they lacked the resources (time, staff, etc.) for the "extra work" of innovation. This has been a constant point of reflection for me. How do we inspire supervisors to undertake the additional effort needed, even for those seemingly small behaviours that build a positive culture?

Looking back at my own career, I ponder how I managed to generate such significant surplus value from my teams. The most crucial realization, I believe, is that I didn't see my primary role as making decisions or merely supervising. My job was to lead—to create a healthy environment, to consistently offer care and compassion, and to prioritize the success of others over my own. My teams achieved unparalleled success because we all contributed to generating surplus value. I may have been the role model and catalyst, but the teams instinctively knew what to do and how to apply this surplus value in ways I could never have conceived or implemented. So, when decision-makers claim they lack the resources for culture building, my response is simple: you're doing the wrong work. Unlock the hidden potential within your existing teams. The surplus value you need is already there, waiting to be discovered and leveraged in every team member. Your real work is to create the environment where surplus value naturally flourishes. Everything else is secondary.

Regardless of their role, individuals aspiring to be better leaders need to consider how they're generating surplus value for themselves and their colleagues. Are you actively helping others succeed? Look around; find opportunities to assist where the cost to you is minimal but the benefit to someone else is significant. Are you engaging with people? As the saying goes, being kind costs nothing. Get to know your co-workers, show genuine interest in them and their work. Are you open to trying new things? Within your job's scope and control, experiment with fresh approaches. Identify a challenge and actively seek to resolve it. Are you asking for help? Your colleagues want to help. Embrace vulnerability and seek their support. This act of asking creates surplus value for both parties; vulnerability fosters openness and draws people to you, while allowing others to contribute value with little extra effort.

Last week, I met with two recent graduates struggling to find full-time, permanent work. We had a wonderful conversation, and I felt I was able to tap into my own "surplus value" to assist these young professionals. As we left the coffee shop, they walked ahead of me. As they exited, both thanked all the staff for their service and wished them a good day. I watched the genuine, heartfelt smiles that lit up the faces of the four staff members. Their simple actions reminded me that surplus value often manifests as small, unexpected gestures, given freely and authentically. In that moment, if I'd had the chance to hire those two men, I would have. They demonstrated an innate ability to generate and utilize surplus value—they are leaders.

So, to those who possess power, influence, skill, connections, and resources: you have a responsibility to leverage these attributes for the benefit of others. If you truly wish to call yourself a leader, give more of yourself to your teams without expecting anything in return. It’s the ultimate way to generate surplus value and inoculate your workplace against toxicity. Failure to do so breeds a toxic work environment.