The Order of the Phoenix introduces a new face of evil: Dolores Umbridge. Ms.Umbridge was sent to Hogwarts (Wizard School) by the Minister of Magic to monitor the staff and students, out of fear that they are engaging in activities contrary to the wishes of Management (capital M, as in the Ministry of Magic.) One of her first acts is to encourage students to come to her if they have any concerns about non-authorized activities at Hogwarts. (Obviously unsophisticated in the arts of corporate compliance, author J.K. Rowling neglects to set up an anonymous reporting channel.)

As the story unfolds, Ms. Umbridge is troubled by events at the school. So she deploys a couple of weapons. One is discipline—a particularly ugly form of discipline that I won’t go into. The other is rules—this Compliance Officer from Corporate Headquarters issues one “Educational Decree” after another in response to a perceived problem. (My favorite Decree is #27: “Any student found in possession of the magazine ‘The Quibbler’ will be expelled.” The result of this is that every student reads the previously obscure periodical.)

The consequences of the “High Inquisitor’s” overzealous and narrow approach are predictable. One, of course, is a tremendous decline in school spirit. What we would call the ethical culture of the school has eroded. And the other is that Umbridge’s efforts, and the response they provoke by students and staff, prevent all from focusing on the true risk they face—the return of Voldemort and the evil he represents.

Look, I know it is just a story. But stories like this are popular because they resonate with readers and viewers young and old. And The Order of the Phoenix resonates because it taps our common distaste for bureaucracy and blind compliance. Let’s face it – our favorite heroes are non-compliant. . And sure enough, in every book Harry has been in trouble for breaking a rule (or two or . . .). He believes he is doing so in pursuit of a larger purpose—and he is largely right in this judgment.

Compliance does not sell in corporations either. People will be compliant—but only when doing so is consistent with the individual’s values—and hopefully those of the company.

I am not suggesting that companies banish compliance from their vocabularies or organizational structures. But they must understand its limits, and must place compliance in a context that employees will embrace—like ethics or integrity (movie buffs love ethics and integrity – just look at Mr. Smith in Washington and George Bailey in "It’s a Wonderful Life,” to focus simply on the Capra/Stewart genre). Great organizations throughout history have allowed room for people to innovate and create, while staying true to a set of shared values. And these stories – whether fact or fiction – generally have the happiest endings.

So ask yourself, what would Harry Potter (or his cohorts from the Millenial generation) say about your company? Would they have room to fly?