The Organisational Equation: Applying Lewin's B=f(P×E) Theory in the workplace

Here at Orby, we have a crush on Kurt Lewin.  His elegant formula, Behaviour = Function(Person × Environment) revolutionised the understanding of human behaviour by recognising that actions aren't solely determined by personality or surroundings, but by the dynamic interaction between the two.  While developed in the 1930s, this deceptively simple equation offers profound insights for today’s leaders and practitioners seeking to drive effective, sustainable change in their organisations.

Remember - not everything ‘old’ is ‘outdated’!

What’s it mean though? 

Lewin's formula suggests that behaviour (B) results from the interaction between a person (P) with their unique characteristics and the environment (E) in which they operate.  The multiplication sign is crucial to acknowledge - it indicates that these factors don't merely add up but interact multiplicatively, amplifying or diminishing each other's effects.

In organisational terms, this means employee behaviour isn't simply the sum of their personality traits plus workplace conditions.  Rather, it emerges from how individual differences interact with specific organisational contexts.

The ‘Person’ Factor

The "person" component encompasses employees' skills, personalities, values, experiences and motivations. Organisations often focus heavily here through:

  • Rigorous hiring processes to find the "right people"

  • Personality assessments to understand individual differences

  • Training programs to develop skills and competencies

  • Performance management systems that emphasise individual accountability

While these approaches have merit, Lewin's equation reminds us that even the most talented individuals will struggle in unsupportive environments.

The ‘Environmental’ Factor 

The "environment" in organisations includes physical workspaces, organisational structures, leadership styles, reward systems, cultural norms and technological infrastructure.

Environmental factors that significantly impact behaviour include:

  • Physical workspace design (open vs. private offices, lighting, noise levels)

  • Systems of work

  • Leadership behaviours and communication patterns

  • Reward and recognition systems

  • Team dynamics and social norms

  • Available resources and technologies

Then, when you put them together…..

Consider these organisational scenarios through Lewin's lens:

Scenario 1: A highly creative employee (P) placed in a rigid, process-driven department with no channels for innovation (E) will likely produce conformist work despite their creative potential.

Scenario 2: A moderately skilled employee (P) working in a psychologically safe environment with excellent mentorship and resources (E) may outperform more talented peers in restrictive settings. 

So, for organisations going through change…..  here’s what you want to consider….

  • If you’re looking for a different behavioural outcome, challenge if you have changed enough of the ENVIRONMENT to get the outcome that you want. 

  • Don’t assume that you can create a sustainable change by just bringing in people who ‘might’ behave differently – remember, they behaved differently in a different environment. To keep that focus, you’ll need to enable them with the right environmental cues.

  • Look for feedback from people on what in their working day REINFORCES the types of behaviours that you want, and what DISINCENTIVISES them.

  • Design for desired behaviours.  This requires you to intentionally craft environments that naturally elicit the behaviours you seek rather than forcing them through rules and formal incentives.

  • Consider person-environment fit.  This means matching people to roles and teams where their unique characteristics will interact positively with the specific environment.

Lewin's research and findings remind us that organisational behaviour isn't simply about hiring the right people or creating the perfect environment - it's about understanding and optimising the dynamic interaction between the two.  This is doubly important when you are trying to drive a change in the behaviour of the people that work with you.  By viewing workplace challenges through this lens, leaders can craft a workplace where human potential and environmental design multiply each other's effects in a POSITIVE way, rather than accidentally resulting in the wrong behavioural outcomes despite hiring the best people.

 
 
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Designing for Innovation: When your organisational architecture kills off the ideas