Wednesday, 8 September 2010

Organization of the Future

Organization of the Future 

by Mati

We hear plenty these days about the dawning age of Generation Y, that generation that has grown up knowing nothing but the availability of social networking, online gaming, ubiquitous computing, and the incredible freedom of choice and information that the internet gives them.

In recent years however, attention has turned to how this generation will cope once it gets into the workforce, and the corollary of that, how the workforce needs to change to meet the expectations of the “digital natives”.  Themes like democratization, horizontilization, and flexibility are going to be needed to meet the challenges for the organization of the future.

It seems organizations are in a state of perpetual fear that they’ll fail to attract good employees in the future unless they give prospects almost unlimited freedom over their work environment. At the same time, this new generation of employees could be accused of ignoring the real pressures that organizations are under with regards to the regulatory environment – some of the new tools that employees demand are a real barrier to full disclosure requirements.

So how do we find a middle ground? A position where employees can use the sorts of tools that allow them to get their job done in  more effective manner, while at the same time allaying the fears of the organization about security breaches and lack of transparency?

Before we look at the tools, processes, and cultural elements that will be needed for tomorrow’s employees and organizations, it’s worthwhile taking a quick look at what the organization of the future will actually look like. I have a somewhat contentious theory that we’ll rapidly see the end of the giant corporation. While it is true that multi-nationals are growing, most multi-nationals are starting to see the value of running their separate business units as just that – separate and independent.

Mega-corps may be one organization for accounting purposes – but from every other aspect – systems, processes, and culture, they’ll start to appear like a rough aggregation of discrete businesses. It’s a trend that is indicative of what I call the “organic business”. And the way the organic business works will be fundamental to the tools and processes used by the people within it, and indeed the skills people will need to perform their job.
 
So how does the organic business work? And what will it look like?
The organic business is a changing, shifting thing. Rather than having set bounds and structures, it will move and change depending on conditions. Discrete teams will be brought together for their specialist knowledge and to work on a particular project. Upon completion of that project individuals will move on to other projects, or other teams, or even other businesses.

The organic business will more heavily use contractors who come and go depending on situations. It’s a concept discussed in length in the book “Maverick” by Ricardo Semler, a Brazilian business man who had a revolutionary approach towards business:
Semler let his employees set their own hours, design their workplace, choose their own IT, share all information, and have no secrets… Semco [Semler’s business] doesn’t have receptionists, secretaries, or personal assistants, regarding them as unnecessary… Each business unit is small enough so that those involved understand everything that is going on and can influence the outcomes.
So how does this democratization of work democratize work processes? How are people changing the way they work and the tools they use to achieve their goals? What happens when new tools are forced on people, and how does this change across a workplace with many different types of people in it.

Related topics:
- Times for IT are changing
- Six digital trends to watch

Re.M.I.


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