Holacracy Driving Sustainable Future Winners
02/03/2022
How can businesses respond faster, better, more effectively and efficiently to the challenges of our times? The ones who are successful, those winners of the future, will make sustainability productive for the world and their businesses. At the heart of this are people who think in terms of solutions, collaboration, respect for others and the world. They create organisations that focus on continuous improvement. Holacracy, a form of self-organising, is a powerful way to facilitate this.
Companies employing a holacratic approach have seen growth and prosperity. Fast-growing companies like Bol.com, car manufacturer Lightyear, learning and development platform Springest, mortgage consultant Viisi, and solar panel manufacturer Enie.nl empower their employees by allowing them to explore, develop and use their extensive talents to contribute to common objectives. Listening, not knowing, is at their core. This is reflected in the organisation of their thought and decision-making processes. In so doing, they have created “an environment where colleagues can work on the best version of themselves, work together based on their strengths and help each other – that leads to peak performance.”
Holacracy creates an environment in which individuals can thrive, form relationships, and contribute to joint success. It organises human interaction in such a way that individuals contribute to the objectives of their team and the company by bringing their knowledge, experience, and enthusiasm to the workplace.
Simply put, holacracy is a form of organising without managers. But, how does this work in practice? In a white paper resulting from the collaboration between Maastricht University and Consulting firm, Deloitte, Harry Hummels, Professor of Ethics, Organisations and Society at the School of Business and Economics at Maastricht University led the team of researchers who investigated some of the pioneering companies putting holacracy into practice. The report looks at how the companies organised their decision-making and to what extent it contributed to their success.
Whilst the report reflects the enthusiasm of the employees towards the holacratic approach, they see room for improvement. Holacracy is certainly not ‘the holy grail’ for every organisation, says Hummels. Although he does want to emphasise the many positive aspects that his research has shown in practice. “If holacracy makes one thing clear, it is that companies are bursting with talent”, he concludes. “But that talent is not used if employees have to operate within the lines of the traditional hierarchy. When managers decide for them, they become executors of plans devised elsewhere. Holacracy distances itself from that. This system therefore does not distance itself from structure, but rather ensures that this structure is at the service of employees.”
Recognising the need for cooperation in order to survive and succeed in a dynamic world is a step in the right direction for society, businesses and individuals. Small and often innovative companies, as well as larger organisations, are beginning to pay attention to sustainable economic practices with the explicit aim of contributing to the preservation of the community and the planet.
Holacracy as a decision-making system seems to express the spirit of our times. It facilitates employees to use their knowledge, experience, ambitions, and goals in life, while working to create the best result for their circle and the organisation as a whole.
Learn more about holacracy and about the ways in which companies like Lightyear, Bol.com, Viisi, Enie.nl, and Springest mobilise and apply the talents of their staff and create company growth and prosperity. This white paper is the result from the collaboration between Maastricht University and Deloitte Private.
If you feel our expertise on Organisation Design and Sustainable Development can help you and your organisation get ahead, please get in touch and let’s start creating an impact together!
Become a member of UMIO Prime if you want access to content that goes beyond the collection we are showing here. It is simple, fast and free of charge!
Become a member of UMIO Prime if you want access to content that goes beyond the collection we are showing here. It is simple, fast and free of charge!