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5 HolacracyisFailing
Reasons
Why
And one BIG REASON why you
might ought to give it some time.
@CakeHR
WhatisHolacracy?
Holacracy is a system of governance
where authority and decision-making
are placed on the shoulders of
self-organizing teams instead of
managers and bosses.
AdoptHolacracy
orLeave.
This is the ultimatum that
Tony Hsieh, Zappos' CEO,
issued when he decided to
adopt Holacracy
in his company.
Aftermorethan2years...
P O W E R E D b y S E R V I C E™
“What has Holacracy done for Zappos today?”
IsHolacracyFailing?
According to the press, it is.
Here’s Why Eliminating Titles and Manager at
Zappos Probably Won’t Work. – Business Insider
Tony Hsieh’s Workplace Dream:
Is Holacracy a Big Failure? – Forbes
Are You Planning to Do Away with Your
Managers? Doubtful. – Fistful of Talent
5Holacracy
Reasons
Why
isFailing
To track the pulse of the HR
world, or follow up on latest
workplace trends, visit our
blog at cake.hr/blog
@CakeHR
YOUR HR. SIMPLIFIED.
1.HolacracyisNotaStepbyStepGuide
Holacracy does not teach you how to run your
company. Instead, it guides you on how to conduct
meetings and other activities that encourage
collaboration and self management.
2.HolacracyReducesControl
There's no corporate hierarchy in Holacracy.
Even CEOs don't have the power to dictate
what the departments should be doing.
3.YouMustGetRidofOldHabits
An “old way” manager has the habit of telling
people what to do. And in micromanagement
cases, how to do it.
In Holacracy, it’s a different story.
4.It'sHardtoGetEveryoneOnboard
Due to distribution of authority, traditional job
title holders may find it hard to change the course
of the team or to make every member of the circle
focus on the same goal.
?
5.ItFocusesonRoles
Each members are expected to voice out their
concerns on the work done, not on the person
who did it. Putting aside personal feelings also
mean doing away with corporate politics.
TheOneBigReason
WhyHolacracy
isWorththeWait
California-based agency
called Phelps
has been practicing
Holacracy since 1981.
PhelpsHasBeenReaping
theBenefits
Great work output because employees no longer worry
about layers of approvals.
Performance-based compensations.
No C-suite director taking credit of others' work.
No corporate title competition.
AdoptingHolacracy?
HereAre4ThingstoFocusOn
1. Personal Responsibility
2. Timely and Honest Collaboration
3. Openness to Feedback
4. Embrace the Core Values of Holacracy
-BrianJ.Robertson
“Holacracy is not a governance process
“of the people, by the people, for the people” –
it’s governance of the organization,
through the people, for the purpose.”
YOUR HR. SIMPLIFIED.
Check out the one-stop HR management suite at cake.hr
@CakeHR
www.cake.hr

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