Can A Big Old Hierarchical Bureaucracy Become A 21st Century Network? | Business Coaching |

One of the most difficult management challenges is taking a big old hierarchical bureaucracy, and turning it into a nimble 21st Century networked organization that can cope with the challenge of today’s dynamic marketplace and compete with younger organizations that have been networked from the outset.


These big old hierarchical bureaucracies have deeply engrained cultures with a tradition of individuals reporting to bosses and coordinating processes made up of roles, rules, plans and reports; the reports flow up and down the hierarchy. These processes ensure order but they restrain innovation and creativity - a critical handicap in the emerging Creative Economy. In these big old firms, the careers of those who have risen to the top are built on the principles of hierarchical bureaucracy. Inside these firms, the thought that a firm could be run in any other way can be discomforting, if not hallucinatory.


Via Kenneth Mikkelsen