org chart

Following up from last month’s post, here’s the other half of why I founded Cloud Dine Systems.

I did it to create the change I want to see in the world and to make a place I would love working at.

Most business organizations today are hierarchical. I call them Taylor organizations since Frederick Winslow Taylor pioneered their workings around the turn of the century in “The Principles of Scientific Management”. They focus on specialization, top down communication, and foremost, efficiency. Unfortunately, they are characterized by slow reactions, turf wars, unempowered employees, and poor communication. It’s very difficult for these types of organizations to innovate.

The world is changing more quickly than ever and Industrial Age, Taylor organizations cannot keep up. The Information Age requires a new type of organization.

I believe this new type of organization will be:

  • Networked and flat instead of hierarchical. (Like this).
  • Directed by data driven self-organizing teams instead of top down commands.
  • A learning enterprise employing the feedback loops of Lean Startup and Innovation Accounting instead of the rigid, fear-based, command by fiat.
  • An innovative powerhouse operated by cross-functional agile teams without department silos.
  • Financially transparent through open book accounting with every partner sharing in the profits and held accountable by their peers.

This type of organization is much more nimble, empowering, and ultimately, I believe, more profitable than traditional Taylor organizations. Part of the reason I founded Cloud Dine Systems is to prove this and create a place I love to work at.

Thaddeus

Photo credits: IBM/Tabulating Machine Co. organization chart by Marcin Wichary Creative Commons Attribution 2.0 Generic License

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