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The assumption that hierarchical organizations are inevitable blinds us to more effective ways of organizing. When we look at companies today, their feudal-like
by mempko 2y ago
The assumption that hierarchical organizations are inevitable blinds us to more effective ways of organizing. When we look at companies today, their feudal-like structure means CEO decisions naturally have outsized impact - but this is a product of the system, not inherent necessity.
Take Meta's acquisitions of Instagram and WhatsApp under Zuckerberg. While these proved strategically valuable, framing them as evidence of unique CEO insight misses a crucial point: Many others in the organization likely would have made similar choices given the same position and information. The success stems more from the concentrated decision-making power than from individual brilliance.
What's fascinating is how we conflate organizational structure with individual capability. When good outcomes emerge from hierarchical systems, we rush to credit the person at the top rather than examining how the structure itself shapes and amplifies their decisions. This creates a self-reinforcing cycle: hierarchical success is used to justify more hierarchy.
But imagine if we distributed decision-making power more broadly, tapping into the collective intelligence and diverse perspectives of entire organizations. Research on collective intelligence and successful worker cooperatives suggests groups often make better decisions than individuals, especially on complex issues. Companies like Valve and Morning Star have demonstrated that flat organizations can be both innovative and profitable.
The real opportunity lies in reimagining organizational structures that harness our full human potential - not just that of a select few at the top. By questioning our assumptions about hierarchy, we open ourselves to discovering more dynamic, equitable, and effective ways of working together.
- pc86 2y agoThis is a common refrain I've seen on HN when this topic has come up before, but there's a problem with it. The is a huge difference between (1) "flat organizations can work" and (2) "groups make better decisions than individuals, and this disparity is even larger on complex issues." If #2 is true shouldn't an organization like Valve run circles around every single competitor it has since they're all dinosaurs with hierarchies and Valve isn't?
- jdlshore 2y agoValve does run circles around every competitor it has.