I’m rather taken with this new notion of Holacracy first coined by Brian J Robertson, so in my earlier post I just provided an overview. After a bit more research I am able to provide you with a more in depth view of how it works which is described below.
Further information can be got from www.holacracy.org
To say there’s no hierarchy in a holacracy is inaccurate. There is, but it’s much less rigid than a traditional structure. Its constitution is made up of semi-autonomous circles, with each circle having its own goals and responsibilities. Every circle has a ‘lead link’ that designates people certain roles. Each circle exists within the context of a higher-level circle, but no circle is fully autonomous.
With holacracy, governance meetings structure how the work gets done, making it clear who is responsible for what and with how much authority. Each employee has complete control over the roles they’ve been assigned or elected to. However, they are still accountable, so if there’s a problem or they have an issue with a colleague, it’s their responsibility to sort it out.
Hiring and firing
In a typical top-down management structure, the power to hire and fire is usually in the hands of managers. With holacracy, it’s less personal, making it more about who is the best fit for each role. But because there are no managers, who actually does the hiring and firing you might ask?
As with any business, employees can be removed, but the process needs to be decided upon by governance, a committee sometimes referred to as an anchor circle. A circle’s lead link can remove someone from a role and find a better fit from the talent pool available if necessary. An employee may also be removed if they can’t find enough roles to do within the company.
Is holacracy right for you?
A company without managers might sound like a recipe for chaos, but supporters of holacracy say it actually has the opposite effect because a workplace free from office politics results in fewer tensions and empowers employees. Ultimately, it gives everyone a voice, which fuels more ideas and opportunities, and is extremely flexible, which is paramount for success in a modern workforce.
However, it isn’t for everyone, and shouldn’t be undertaken without due consideration. Without any one person truly in charge, it’s not always clear where the buck stops when it comes to issues such as company under performance and finance. Also, because staff aren’t promoted or given a clear career path, they may be tempted by more lucrative offers elsewhere. It might also be difficult for current managers to relinquish power.