The Loop Approach: How to Transform Your Organization from the Inside Out by Sebastian Klein & Ben Hughes (2020)

At tandi, we help teams and organizations grow into more adaptive, human-centered versions of themselves. The Loop Approach by Sebastian Klein and Ben Hughes offers a practical and inspiring method for doing just that—transforming an organization from within, by starting with empowered teams, clear structures, and shared purpose.

Core Ideas of the Book

At its heart, The Loop Approach is a framework for enabling self-organization, clarity, and alignment across teams, so that transformation is practical, scalable, and human. Klein and Hughes draw from their work at The Dive and from methods such as Holacracy, OKRs, and psychological safety to design an approach that is especially useful for teams wanting to evolve how they work together.

The method is called “The Loop” because it’s iterative, dynamic, and ongoing—transformation is never a one-time event, but a continuous practice.

Here are the main components of the approach:

1. Create Clarity of Purpose and Roles

• Every transformation starts with a clear understanding of why the organization exists (purpose) and how value is created.

• Teams must have clear roles, accountabilities, and expectations—not just job titles.

• Clarity reduces friction and increases the ability of teams to act autonomously.

Key Insight: People do their best work when they know why they matter and what they’re responsible for.

2. Foster Psychological Safety and Radical Candor

• Psychological safety is the foundation for trust, experimentation, and learning.

• Radical candor allows teams to give honest, respectful feedback, even when it’s hard.

• Without these, attempts at self-organization or agile transformation often fail.

Key Insight: Empowerment without safety leads to chaos; safety without honesty leads to stagnation.

3. Use OKRs to Drive Alignment and Learning

• OKRs (Objectives and Key Results) are used not just for alignment, but for reflection and learning.

• They connect individual and team actions to the broader purpose of the organization.

• Unlike traditional KPIs, OKRs encourage focus, experimentation, and stretch goals.

Key Insight: OKRs are not just a tool for measurement—they are a tool for conversation and evolution.

4. Implement a Governance Structure for Change

• Teams need rituals and meeting formats to continuously reflect, adapt, and improve.

• Governance meetings help make decisions on roles, processes, and structure without relying on managers.

• This reduces dependencies and makes adaptation part of everyday work.

Key Insight: If you want transformation to stick, build it into the team’s operating system.

5. Empower Small Teams to Lead the Change

• Organizational transformation doesn’t have to start at the top.

• Small teams can use The Loop Approach to pilot new ways of working, then scale what works.

• This bottom-up approach builds credibility, engagement, and momentum.

Key Insight: Real change starts with a few courageous teams, not a grand plan.

Practical Takeaways You Can Use in Your Organization

Ready to get started? Here are simple, actionable steps you can take based on The Loop Approach:

Run a Purpose & Role Clarity Workshop

• Help your team clarify your shared purpose and how each person contributes to it.

• Define clear roles, accountabilities, and decision domains.

• Use visual tools like role maps or team canvases.

Why it matters: Clear roles reduce duplication, improve collaboration, and empower people to act.

Introduce a Safe Space for Feedback

• Create recurring spaces for honest conversations—retrospectives, check-ins, or feedback rounds.

• Use tools like the Feedback Wrap or Nonviolent Communication to build confidence and structure.

Why it matters: Without psychological safety and feedback, even the best frameworks will falter.

Start Using OKRs as Learning Tools

• Set a small number of quarterly objectives with measurable results.

• Review them often—not just at the end—to reflect and adapt.

• Celebrate progress, learning, and effort, not just outcomes.

Why it matters: OKRs shift the focus from performance pressure to shared learning.

Establish a Simple Governance Rhythm

• Try regular meetings where the team adjusts roles, workflows, or agreements.

• Keep it simple at first: what's not working, what could we change, who will lead the change?

• Use visual boards or tools like Loomio, Trello, or Miro to track changes.

Why it matters: Teams become adaptive when they own their way of working.

Start with a Pioneer Team

• Don’t try to transform the whole organization at once.

• Find a motivated team willing to experiment with The Loop Approach.

• Share what works—and let other teams pull the change rather than forcing it top-down.

Why it matters: Sustainable change spreads through inspiration and example, not mandates.

Conclusion: A Human-Centered Path to Transformation

At tandi, we’ve seen firsthand that The Loop Approach provides a clear and compassionate way for teams to evolve together. It recognizes that people crave purpose, autonomy, and clarity—and that transformation is most powerful when it’s owned by the people doing the work.

If you’re ready to rethink leadership, roles, and collaboration, The Loop Approach offers a practical and inspiring blueprint to start small, learn fast, and grow from the inside out.

If you enjoyed this summary, we encourage you to read the full book. More information about it can be found here. Find summaries about other great books in our Blog Series - A Journey of Inspiration.