Running head: FINAL RESEARCH PAPER 1 Final Research Paper Submitted by: Gerson Cabrera, Anthony Hill, Andrew Pena, Michael Zingale (Team D) MGMT617 D002 Win 19 Prof: Dr. Janet Cox
Research Paper: Holacracy Abstract The companies that implement the Holacracy concept believe the structure is optimal for fostering communication, flexibility, and employee empowerment. The paper aims to discuss what is Holacracy, provide comparison to other traditional models, the evolution of the concept and its origins, and the advantages and disadvantages to implementing such a radical change. Based on current research, Holacracy is ideal for small to medium businesses and is not a structure that is ideal for every business. Further, the successful implementation of Holacracy rests solely on current leadership’s ability to properly introduce the structure and make everyone comfortable with while setting the right vision. Once all aspects of the organization are operating under Holacracy principles, it’s important for the organization to constantly reevaluate what they are doing and ensure that operations are within the guidelines of the Holacratic structure. Key words: Holacracy, Leadership, Organizational Structure 2
Research Paper: Holacracy Introduction The concept of Holacracy is far from the traditional structure that most companies are accustom to. Various companies such as Zappos, AirBnB and Uber have experienced both success and failure in the implementation of Holacracy. The companies that implement the Holacracy concept believe that this organizational structure is optimal for fostering communication, flexibility, and employee empowerment. The paper aims to discuss what is Holacracy, provide comparison to other traditional models, the evolution of the concept and its origins, and the advantages and disadvantages to implementing such a radical change. Additionally, examples of companies that have implemented Holacracy will be discussed and the failures and successes of these companies in implementing Holocracy. Finally, the discussion of how to implement the Holarctic concept within your organization and if your organization is the right fit. Holacracy Successes and Failures According to Low (2015), several companies have made efforts to implement a holacratic management system within their organizations. One company that has made significant headway is Zappos. Zappos Chief Executive Officer made the decision to completely change the Zappos organization removing all top down management and making employees leaders and followers at the same time. Low (2015) discussed how Zappos management had to first remove employees who would have a difficult time with making the change. Zappos offered severance packages to employees who decided to leave (Low, 2015). The result was 20 percent of the employees in Zappos departing due to the structural change. Further, Zappos provided significant time for the employees to adapt to the new structure but did not afford opportunity for employees to have a significant voice in the changes that were being conducted.
- Spring '20
- Management, Flat organization, Holacracy