Why Management is Dispensable and Organizations Will Become Agile
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This document discusses why management is becoming dispensable and how organizations will become more agile and decentralized. It argues that under the right conditions, people enjoy and are motivated by work, seek responsibility, and have creativity that is underused. Traditional hierarchical management structures are described as mechanical and dividing work from thinking. Alternative structures are proposed that integrate thinking and doing, are alive, and work with an outside-in perspective. The document advocates reinventing work for the current century by establishing principles like freedom to act, responsibility through connected cells rather than departments, leadership instead of management, and purpose-driven resource usage over status-oriented practices.
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Why Management is Dispensable and Organizations Will Become Agile
- 1. Bye-bye Management! Why Management is dispensable. How our organizations will become agile, radically decentralized, and networked. Sooner than you think. Agile Tour Lithuania 2013 - Vilnius Niels Pfläging @NielsPflaeging nielspflaeging.com betacodex.org
- 3. Do we really understand the challenge?
- 10. Thinking Doing
- 15. Theory X Theory Y Attitude Direction Responsibility Creativity Motivation People need to work and want to take an interest in it. Under right conditions, they enjoy it People will direct themselves towards a target that they accept People will seek and accept responsibility, under the right conditions Under the right conditions, people are motivated by the desire to realize their own potential Creativity and ingenuity are widely distributed and grossly underused People dislike work, find it boring, and will avoid it if they can People must be forced or bribed to make the right effort People would rather be directed than accept responsibility, (which they avoid) People are motivated mainly by money and fears about their job security Most people have little creativity - except when it comes to getting round rules
- 18. Structure 1
- 19. Structure 2
- 22. 1 Formal Structure 2 Informal Structure 3 Value Creation Structure
- 23. Alive Systemic Integrated/integrating Work the work Outside-In Led Dead Mechanical Divided, individualizing Work the people Top-down Managed
- 24. Vortrag: Niels Pfläging 24 ”Meritocracy“ Horários de desconfiança Control of work hours Job Descriptions Competencies Management Incentives Individual targets Performance Appraisal/360° Salary ranges Training budgets Personnel Development Org charts Target negotiation Holiday applications ”Personnel Expenses“ Suggestion boxes Assessment Centers Knowledge Management Pay for Performance Paid extra hours Bonuses Quotas Dress codes Job titles HR
- 26. Management: *1911, ✝ca. 1970
- 35. Industry Retail Services Governments & NGOs It is possible
- 36. We have a choice.
- 44. Beta Alpha Fixed, individual targets Management by Objectives Budgets and Plans Performance Appraisal Hierarchical Pressure Pay by Position and/or Performance Incentives and Bonuses … Transparency & Improvement Comparisons between peers Comparisons with previous periods Dialog and Dissent Social and group pressure Pay by market value Results Sharing … Alpha
- 45. Law Beta Alpha §1 Freedom to act Connectedness not Dependency §2 Responsibility Cells not Departments §3 Governance Leadership not Management §4 Performance climate Result culture not Duty fulfillment §5 Success Fit not Maximization §6 Transparency Intelligence flow not Power accumulation §7 Orientation Relative Targets not Top-down prescription §8 Recognition Sharing not Incentives §9 Mental presence Preparedness not Planning §10 Decision-making Consequence not Bureaucracy §11 Resource usage Purpose-driven not Status-oriented §12 Coordination Market dynamics not Commands
- 46. How about reinventing work entirely – for this century? @NielsPflaeging nielspflaeging.com betacodex.org Slides: on SlideShare Free white papers: Also. Many.