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When I read the comment, I thought about companies like Boeing, Airbus, Intel, ARM, Bayer... They sound very capital intensive but I think they could still be m
by jondubois 8y ago
When I read the comment, I thought about companies like Boeing, Airbus, Intel, ARM, Bayer... They sound very capital intensive but I think they could still be more efficient if they were broken up.
If you were to analyse these companies, they are already in fact be broken up into hundreds or thousands of small teams. The difference is that these small teams are not separate businesses; they are often not held directly accountable for their work and they do not reap the rewards of their own work (incentive is missing) and so the company has to spend a huge amount of resources to implement checks and balances to make sure that everyone stays in line and this slows everything down to a crawl.
Most people who work for big companies are focused on office politics instead of value production.
People who work for corporations are subjected to coercion (and managed through fear) on a daily basis under the pretext that it's more efficient in terms of value production... But in reality, corporate coercion is only useful as a mechanism for capturing value, not to produce it. The real goal of corporate structures is to channel existing output value into a small number of shareholder hands but it causes a reduction in the total output value and greatly reduces workers' ability to capture the value that they produce.