Organizations as Psychic Prisons??? Why great product leaders think in analogies

~800 words. 4 minute read.

Of course - you gotta manage those features and roadmaps, but that’s not gonna cut it, yea? Where is the spark coming from? The innovative ‘Aha!’ moment? Easy answer: From your prefrontal cortex! Next question: How?

Great product leaders think in models. They wield analogies like Professor McGonagall wields transfiguration spells, transforming complexity into clarity and making the abstract graspable. Why? Because our brains are wired for it - literally.

The Neuroscience of Thinking in Models

At a neurobiological level, our brains are prediction machines (the original LLM, if you will). We don’t perceive reality in a raw, unfiltered way. Instead, we interpret it through mental models—pre-existing frameworks that help us process new information, make decisions, and anticipate outcomes. Research in cognitive neuroscience suggests that abstract thinking and analogical reasoning engage the prefrontal cortex, the part of the brain responsible for problem-solving and planning.

A 2017 study published in Nature Neuroscience demonstrated that people who use analogy-based reasoning show increased activity in the dorsolateral prefrontal cortex (the region linked to complex decision-making). In other words, the ability to see patterns and apply frameworks isn’t just a helpful skill—it’s fundamental to how we operate.

Images of Organization

Brains, Machine, Psychic Prisons - what’s your model?

This brings us to Gareth Morgan, whose classic business school book Images of Organization illustrates why thinking in models is indispensable for leaders. Morgan argues that organizations are complex and cannot be understood through a single lens. Instead, he offers multiple analogies—each a mental model—to help leaders diagnose and navigate organizational dynamics. Let’s explore a few that are particularly useful in product management.

Organizations as Brains

Morgan suggests that organizations function like brains—adaptive, learning systems that thrive on feedback loops. For product leaders, this model underscores the importance of continuous learning, iteration, and decentralized decision-making. In a world of agile sprints, A/B testing, and customer feedback loops, it’s clear that the best product teams operate less like rigid hierarchies and more like neural networks—always adapting to new inputs.

Organizations as Machines

Many companies—especially traditional corporations—operate with a “machine” mindset: standardized processes, efficiency optimization, and strict hierarchies. This analogy is helpful for understanding why bureaucracy can stifle innovation. If you’re leading product at a company where everything is about predictability and control, knowing that you’re in a “machine organization” helps you strategize how to introduce agile thinking without breaking the system.

Organizations as Psychic Prisons

A more dramatic analogy, but an important one. Organizations can become trapped by their own narratives, biases, and ways of thinking. If a company is too wedded to a particular technology, methodology, or business model, it may be unable to see emerging threats or opportunities. As a product leader, recognizing when your company is in a psychic prison allows you to challenge assumptions and drive meaningful change before it's too late.

Product Management must recognize the needs of the Business beyond the next feature requirement. Have some mental models ready!

How can product leaders leverage models and analogies in practice?

1.     Framing Problems Effectively – Models can frame challenges in ways that make them easier to tackle. Is your team struggling with decision-making? Maybe you need to shift toward an “Organizations as Brains” model and introduce more feedback loops.

2.     Communicating Complex Ideas – Analogies make abstract concepts digestible. Instead of explaining platform scalability in technical jargon, you might compare it to a highway system: more lanes allow more traffic, but if the roads aren’t maintained (technical debt), traffic slows down.

3.     Challenging Organizational Blind Spots – If leadership refuses to invest in discovery and research, they may be thinking in a “machine” model instead of a “brain” model. Recognizing this helps you tailor your pitch for change in a way that resonates.

Takeaway for product leaders: Collect mental frameworks, apply them flexibly, and switch between them as needed. Analogies are imperfect but valuable, so don’t seek the one true way of viewing a problem - that’s building your own psychic prison.

So, the next time you find yourself facing a complex product challenge, ask yourself: What’s the right model for this? Which analogy will help my team see things differently? Because the best leaders aren’t just great strategists—they’re master storytellers, shaping the way people think, one mental model at a time.

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