Anytime an organization considers a shift in their basic management concept structure they should be considerate of the impact it could have on the organization as a whole, including the direct impact it will play on every level of operations. A change in structure can often impact the worker level employee more directly than it would impact those in much higher tiers of the organization. While modern organizations may think it is beneficial to jump on the most current trends to keep up with the times, it is critical that both the positive and negative possible outcomes of this type of change be closely scrutinized, prior to implementing any change. The variables should be studied before making a decision on if a restructure of this magnitude
…show more content…
He compared employees to cells. Cells which, such as in the body, are designed to perform specific functions. He concluded that these employees, are more apt to know what is going on at the basic level of the organization because they are in the work, at the task level. These employees have the advantage over their management counterparts because managers are more wrapped up in the big picture, are prone to missing details and do not understand exactly what is going on in day to day operations (Mochari, 2015).
It would therefore be advantageous to give employees a higher degree of responsibility, which holacracy does create. Proponents of holacracy state that employees are prone to being more committed when they are empowered and responsible for their own decisions at their own level. Denning presented, that over the years some companies like Davita, Buurtzorg and Precision Nutrition have proven highly profitable, and have in fact seen less turnover because their employees not reporting to managers, so these employees feel they are not being micromanaged …show more content…
Historically there have been cases where holacracy didn’t last more than a couple of months. Sustainability and pushing through the growing pains of this type of transition can be very difficult, even more so if the decision to change to this management style came from the top down and did not involve the inputs of the task level employees. Russo wrote, “As human beings, we tend not to have the necessary discipline required to manage ourselves, which invalidates the self-management effort at the base of the holacratic revolution” (2014, para. 7). Also to be examined would be how the company would be impacted by an economic down turn and if the holacratic concept would work for getting the company through that scenario.
The advantages and disadvantages of holacracy should be weighed carefully before an organization decides to implement such a drastic management concept shift from the traditional hierarchy structure. Examining trend analysis and past cases of other organizations’ experiences with this form of management can assist leadership in making this decision. Even with study and preparation a business cannot know for certain whether any major change in management concept will be successful long term, or if it will making any real impact at
He compared employees to cells. Cells which, such as in the body, are designed to perform specific functions. He concluded that these employees, are more apt to know what is going on at the basic level of the organization because they are in the work, at the task level. These employees have the advantage over their management counterparts because managers are more wrapped up in the big picture, are prone to missing details and do not understand exactly what is going on in day to day operations (Mochari, 2015).
It would therefore be advantageous to give employees a higher degree of responsibility, which holacracy does create. Proponents of holacracy state that employees are prone to being more committed when they are empowered and responsible for their own decisions at their own level. Denning presented, that over the years some companies like Davita, Buurtzorg and Precision Nutrition have proven highly profitable, and have in fact seen less turnover because their employees not reporting to managers, so these employees feel they are not being micromanaged …show more content…
Historically there have been cases where holacracy didn’t last more than a couple of months. Sustainability and pushing through the growing pains of this type of transition can be very difficult, even more so if the decision to change to this management style came from the top down and did not involve the inputs of the task level employees. Russo wrote, “As human beings, we tend not to have the necessary discipline required to manage ourselves, which invalidates the self-management effort at the base of the holacratic revolution” (2014, para. 7). Also to be examined would be how the company would be impacted by an economic down turn and if the holacratic concept would work for getting the company through that scenario.
The advantages and disadvantages of holacracy should be weighed carefully before an organization decides to implement such a drastic management concept shift from the traditional hierarchy structure. Examining trend analysis and past cases of other organizations’ experiences with this form of management can assist leadership in making this decision. Even with study and preparation a business cannot know for certain whether any major change in management concept will be successful long term, or if it will making any real impact at