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Holacracy, a new structure, a new management

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claire pucheu

on 24 August 2015

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Transcript of Holacracy, a new structure, a new management

A new structure, a new management
I. Traditional types of organizational structures
II. What is Holacracy?
III. Pros and challenges of Holacracy

I. Traditional types of organizational structures
Organizational structure
Organizational structure
is a system of arrangement of jobs and responsibilities within an organization
Organizational structure
provides effective coordination and control over all the activities and operations of the organization.
Linear Organizational structure
Each subordinates has one superior
Common in army and other military organizations
Functional Organizational Structure
Consists of a number of different departments reporting to a top management
Each department specializes in one aspect of the organizational activity

Divisional Organizational Structure
Organization is split up into semi-independent units called division
All divisions control their day-to-day activities and operations but still are responsible to report to a central authority.

Matrix Organizational Structure
A combination of functional and divisional structures

II. What is Holacracy?
III. The pros and challenges of the Holacracy
The pros
Beneficial for small to medium sized companies
Brings employees and managers work together
Sustains a higher level of commitment
Avoid mistakes
Increases transparency and prevents the risks of conflicts
Opportunity to have access to other knowledges

Improvement of the efficiency, the productivity, and competitiveness of the company
The challenges
Less applicable for large companies
Cultural diversity might lead to conflict, miscommunication
How this model react to an economic turn down?
So, is the holocratic culture inclusive enough to accept diversity?
Can Holacracy work within the hospitality industry?
Main objectives:
Enable a decision-making : Faster, clearer

No more hierarchy...
... But holarchy
Google.ch, (2015). holarchy schema - Google-Suche.

No manager’s approuval : each circle can self-manage, carrying out an internal vote
Every employee has the same voice
Decisions of each circle must comply with its super-circle guidelines
Idea, A. (2012). Holocracy - Org at the Leading Edge. [online] Issuu.

Company does not necessarily have to find people to hold usual posts
Company first considers the different roles needed
Second, it tries to find people able to fulfill these roles, mainly on a potential criteria
Recruiters focus on the ability to make decision autonomously within a team, without seeking manager’s confirmation.

Thus, besides operational skills, employees need :
-Analysis skills
-Natural leadership

Mission Statement: “making people feel at home anywhere in the world!”
…with its customers AND
Bosses should “get obstacles out of people’s way, not tell them what to do”
-Mike Curtis, Airbnb’s Vice President of Engineering

So what do managers do in a culture like that of Airbnb?
Help employees see “the bigger picture”

And what DON’T they do?
Give orders
Set goals
Define processes
A self-governing team of engineers (the Airbnb brains)
Freedom to introduce ideas
Team-building philosophy
Tap into one’s creative talents
Solve problems by collaboration
A hospitable way of doing business

“Unlike a big hotel chain Airbnb can't dictate how its hosts set up bedrooms or welcome guests. That
quirky individuality
is part of the charm of staying at an Airbnb. And
it's become a part of the way the company does business, too.”
-Stephanie Chan, Reporter

Google.ch, (2015). holarchy schema - Google-Suche.

Idea, A. (2012). Holocracy - Org at the Leading Edge. [online] Issuu.

YouTube,. (2015). What is Holacracy?. Retrieved 23 August 2015, from

YouTube,. (2015). Business Studies - Organisation Structure: Business Exam Tips. Retrieved 23 August 2015, from

YouTube,. (2015). How Zappos will run with no job titles. Retrieved 23 August 2015, from

ManagementMania.com,. (2015). Linear Organizational Structure. Retrieved 24 August 2015, from https://managementmania.com/en/linear-organizational-structure

Salau, O., & Salau, O. (2015). FUNCTIONAL ORGANISATIONS STRUCTURE AND PROJECTS | SALAU ADENIYI OLAYINKA' S BLOG. Cehnigeria.com. Retrieved 24 August 2015, from http://cehnigeria.com/functional-organizational-structure/

Management, S., & Design, S. (2015). SU 4:� Organizational Structure and Design - Business 101 with Phua at Singapore Insititute of Management - StudyBlue. StudyBlue. Retrieved 24 August 2015, from https://www.studyblue.com/notes/note/n/su-4-organizational-structure-and-design/deck/3000620

2012books.lardbucket.org,. (2015). Organizing. Retrieved 24 August 2015, from http://2012books.lardbucket.org/books/an-introduction-to-business-v2.0/s10-03-organizing.html
Organizational structure (YouTube, 2015)
Holacracy (YouTube, 2015)
Zappos (YouTube, 2015)
To get back to the theory to understand what Holacracy is?
To understand the advantages and the challenges of Holacracy
To make your own opinion of this new concept thanks to the debate
(ManagementMania.com, 2015)
(Salau & Salau, 2015)
Management & Design, 2015)
(2012books.lardbucket.org, 2015)
Full transcript