Flat and Holacratic Models: The Story of a Cooperative Future, Managing Crisis (2020+)

What is happening in today’s business environment is the same as we would observe with a sea full of sailboats in a shifting wind. And it is shifting [2020]. That old paradigm is crumbling before us. Agile teams and orgs can maneuver and go flat. Behemoths who are slow to adjust and turn will suffer. 

Consider the old linear or top-down model as being linear vertically for an analogy. Imagine a skyscraper. Leadership is at the power pinnacle, and everything below is in descending order until you reach the lowly doorman at the bottom (who's sole job is opening and closing a door...for people who are too important to).

The flat model can be likened to a team of skydivers who contribute, cooperate, and support the structure and it’s function. If there is a mission-critical element to a team member’s success, it is opening their chute. That is not dependent on a lowly chute-opener, or a senior manager on high. 

Before detractors cast the model as social, or radical, or socially radical, it might be asked; which more closely resembles “independence” and “rugged individualism”? An ecology of contributors sandwiched between a layer over-lords and big-daddy bosses on the top, and then subservient, lowly, underling, elevator button-pushers and door-openers on the bottom? Or an autonomous team with no room or need for either? 

Scandinavian businesses offer an effective model of flattened business structures, and globally the model is being adopted. People relate as equals regardless of titles and decisions are discussed in forums where all employees have an equal say.

In Denmark there is a long-standing tradition where focus at a workplace is geared towards teamwork and team collaboration. This means that as an employee, you are part of a team which includes group evaluations and team discussions. At the same time, you can achieve your responsibilities independently, in the most efficient way. ~Southern Denmark University.

 At a further end of the flat-model spectrum is holacracy. A holarchy looks like a series of nested circles. Each circle (i.e. team) is made up of a set of roles, grouped together around a specific function—whether it be a specific project team, a department, a support function, or a business line. Some circles will contain sub-circles, and all are contained within the largest super-circle, usually called the “General Company Circle.” ~ Holacracy.org

A holarchy looks like a series of nested circles. Each circle (i.e. team) is made up of a set of roles, grouped together around a specific function—whether it be a specific project team, a department, a support function, or a business line. Some circles will contain sub-circles, and all are contained within the largest super-circle, usually called the “General Company Circle.” ~ Holacracy.org

Sweden’s Volvo and U.S. bases Zappos (now owned by Amazon, -and reportedly backing away from the no-job-title model ) are two prominent names associated with the emerging business model, but there is a surprisingly long list of corporations and organizations who have adopted and espoused the model, for an eye-opening preview, follow the link to process facilitation firm Structure & Process for a recent list, or Holaracy.org who keeps a running spreadsheet of nearly 200 companies around the world.

I’ve recently spoken with a Denmark-based Edtech start-up who was founded on the model. So now, as small, nimble, agile start-ups are actually entering the world with a “progressive” and competitive business model, it is leaving larger, linear organization to actually play catch up and retool for tomorrow’s business environment. 

“Holacracy is intentionally disruptive.”

As Holacracy.org points out. “Holacracy is intentionally disruptive.”

They offer guidance to companies who realize the need to head in this direction, and they hasten that: Adopting Holacracy will require CEOs, managers, and workers to radically change behaviors that they automatically, and unconsciously, enacted in a traditional management hierarchy.

Adopting Holacracy will require CEOs, managers, and workers to radically change behaviors that they automatically, and unconsciously, enacted in a traditional management hierarchy.

This leads to a final idea that collectively, especially in the U.S., our subconscious is not wired to this model. Our stories, folklore, metaphors, and archetypes…our world-view is…well…American. That is our culture. 

It is absolutely right to aspire to climb the linear corporate ladder to the pent-house office at the top. It is not only permissible but encouraged to believe “I am going to claw my way to the top, and I don’t care how many people I need to crush to get there.” This is an archetypical heroes’ mantra. 

This is where the “behaviors that are automatically, and unconsciously, enacted” need to change. This is where the subconscious Story needs to change if there is hope of shifting the individual and our organizations. As we cling to the self-centered belief that “Only the Strong Survive” we can start to reimagine what “strength” is. Through our NEW stories.

The slogans of 'America First' (or Brittan or Germany), sound great, and are easily chiseled on the collective subconscious, especially when perceived out-side threats are high. But 'first' at what? First at helping our fellow man, first at rushing to the aid of the weak or those in need? This is where the stories need to change. 

This is why Human Resources [HR] is adopting 'story design', and storytelling to drive organizational behavior and change from a automatic an unconscious level. While storytelling has traditionally been the domain of marketing and branding, to influence subconscious preference, The Future of Work, can now not be separated from story design, and the urgent need to master storytelling at the HR and Organizational Development Level to perpetuate new subconscious behaviors from within. Regardless of the business model.

Coded, and skillfully designed storytelling is the key to influencing behaviors that are automatically, and unconsciously, enacted. Whether flattening teams, divisions or business units is on the roadmap, or if implementing a level of Holacratic processes is in the plans, the requisite tools for change management include storytelling by design. 

“The storytellers of the new millennium need to be open-minded to new models, as media, audience and consequently, storytelling itself evolve.” According to Klaus Sommer Paulson of Denmark, one of the world’s preeminent story design experts.  

In concluding, as we, as individuals, and organizations navigate the current and future environment adopting a crisis-management mindset, it’s smart to assume that moment by moment we need to be mindful of, and responsive to, the sudden call to “hit the deck”. Hitting the deck means thrusting to the ground and spreading out flat until the threat is passed or has become manageable. Whether it’s the shifting boom from a sail in the winds of change, or the hurricane force of the winds themselves, those who can not get flat, are left at a disadvantage of those who can’t.  

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About Chuck Wolf

Chuck is an international consultant for New Business Development in Enterprise and SaaS Software, Digital, Social and Traditional Marketing Solutions, Content Distribution, Branding, Integrated Storytelling, Crisis Management, PR, Thought Leaderhip ,#InfluencerMarketing Automation and more…

Residing between Copenhagen Denmark and Los Angeles, California he has opened the US markets for SaaS, Social and Marketing-tech companies from Belgium, Prague, Budapest, Madrid, Aarhus and #Copenhagen, Denmark.

He is a Business to Business [B2B] consultant for services ranging from #HR/#Organizational Development to #Marketing/PR and #Leadership Development. 

He is the author of Ranch Day, Leadership development based on the model of horses in nature, and facilitator of Ranch Day Retreat and Equine Facilitated Learning [EFL] programs. 

Interest include: Sustainable Business Practices, Preservation of the Marine Environment and Plastic Pollution Awareness, Dog Rescue, Horses, and Fine Art (4X Gallerist 20 year Private Dealer & Curator) 

Recently named "Top 50 Global Thought Leaders and Influencers on EdTech" (September 2020) by Thinkers360

He earned his degree in Psychology at Indiana University, Bloomington [#IU]

 Connect on LinkedIn https://www.dhirubhai.net/in/chuckwolf/

#Scandinavia #Copenhagen #Denmark #Sweden #Holacracy #Edtech #StartUp #SaaS #B2B #Storytelling #ScandinavianBusinesses #BusinessDevelopment #marketing #branding #influence #Holacracy #crisisManagement #PR #TheFutureofWork #Founders #Leadership

If you want to fall in love with Holacracy, or just need a resource to explain it to your team (please share this article) check out the 5 minute video below. Why Holacracy. (nonaffiliated)