At http://www.haier.net/, each unit regards itself,
and is evaluated, as an independent business
earning a profit or loss.
Managers are there only to make sure
that the [self managed] units get what
they need. If managers do not help the
self managed units well, people can
vote managers out.
Instead of working in separate departments, like
most large corporations, the 80,000 employees
working for http://www.haier.net/ work in about
2000 fluid teams.
Any employee can propose an idea and if it is voted
a winner then that person becomes the team
leader. The team manages itself and is responsible
for the profit or loss of the project.
Small teams at http://www.lifung.com/
At http://www.buurtzorgnederland.com/, there is no
management structure and no hierarchy.
Teams of nurses are responsible for patients and have
the autonomy to deliver the best possible care.
Define 1 product or 1 service.
Then create a multidisciplinary team of about 7 people.
This team will have total control of everything they do. It is
completely autonomous and self sufficient. There is zero
interruption and interference from the remaining company.
The team works like a start-up.
The goal of the team is to create a winning product / a
winning service. The team is responsible for its results.
Increasingly, high performing staff will
demand greater autonomy - not for selfish
reasons, but to get things done quickly.
Zappos is made up of different circles.
People can have any number of roles
within those circles.
Hewlett-Packard’s laser-printer division in Boise, Idaho, was
hugely successful, enjoying high margins and a reputation for
superior product quality. Unfortunately, its ink-jet project,
which represented a disruptive innovation, languished inside
the mainstream HP printer business. Although the processes
for developing the two types of printers were basically the
same, there was a difference in values.
It was not until HP’s managers decided to transfer the unit to a
separate division in Vancouver, British Columbia, with the goal
of competing head-to-head with its own laser business, that
the ink-jet business finally became successful.
Once the acquisition’s managers are forced to adopt
the buyer’s way of doing business, its capabilities will
A better strategy is to let the [acquired] business
stand alone and to infuse the parent’s resources into
the acquired company’s processes and values. This
approach truly constitutes the acquisition of new
www.pg.com and www.samsung.com
both established innovation funds.
Investments in development of ideas, that
anyone has, are made independently of
the traditional budget cycle.
Increasingly, coordination will come from lateral
communication and social networks where peers
across the organization can discover for themselves
where coordination needs to happen, where we
need to be working together and then solve those