Blog Post

A New Horizon

Social Media and the Internet have revolutionized the world.  With the deep market penetration of these technologies people can access any information they need to with a few clicks.  A boyfriend can look up ideas on how to propose.  A family member can collaborate and organize a reunion.  A father can check up to ensure his children are acting properly.  A slight paradigm shift to businesses begets the question of if the 20th century model of pyramid leadership is obsolete.  If a worker can look up how to create, plan, and execute a presentation, just as the boyfriend proposing, does he need a boss to help him do so?  If a worker can collaborate with peers for a meeting, like the family reunion, does he need a boss to organize a meeting?  If an executive can look up the progress of his employees, does he need layers of managerial support to do so?

The 20th century created bigger cities with brighter lights, better standard of living, and the largest accumulation of wealth ever witnessed in mankind.  This occurred through centralizing and specifying the workforce to act with specific tasks lead by managers, who were in turn led by floor managers, who in turn were led by presidents, who in turn were overseen by executives.  Effective without mass communication, this pyramid of leadership provided a solid template for workers to communicate problems and concerns, while allowing companies to remain stable for years.  With the emergence of internet technologies, billionaires are created in less than half a decade, rather than decades, as markets shift in months rather than years.  The rapid succession of change begets weakness in the pyramid management scheme, as the framework of leadership must be completely rebuilt from scratch as management must be hired to specify processes to hire workers who can be trained on these explicit tasks.  By the time the whole pyramid is constructed, the market has shifted again, while the company lost billions.  With large coffers, corporations are staying alive through aggressively betting on market changes.  Overextending their ability to tell what the market will produce, most large corporations are unable to compete and are slowly fading from existence.

In order for a company to succeed under such duress – no clear market, not enough time to train workers for specific tasks, or hire management – the 21st century company must defy the precedent set by the pyramid style of leadership and work under two, or even one single layer of leadership?  How would that work? How would agreement be created? Can everyone handle such responsibility?  These are the questions which must be answered.  Please discuss and comment what you believe.

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