How do most organizations structure themselves?
They follow a system called the Management Hierarchy.
The Management Hierarchy is not an ineffective system. In fact, it’s a great system that allows for a clear chain of command, clarity on whom to go for decisions, who’s responsible for what, and more.
However, in a complex world that’s rapidly changing, the management hierarchy is not a system that can keep up with the change and still get these benefits.
This is why we need to explore alternative ways of structuring organizations that have the advantages of the management hierarchy, and at the same time can thrive in complex and changing environments.
Holacracy is one alternative. These images illustrate some of the key differences between Holacracy & Management Hierarchy.
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