Beyond Bureaucracy – The Technology Revolution

Beyond Bureaucracy – The Technology Revolution

“The Internet will change the relationship between consumers and producers in ways more profound than you can yet imagine. The Internet is not just another marketing channel; it’s not just another advertising medium. The Internet is the foundation for a new industrial order.” – Gary Hamel | Fortune Magazines first cover story on the Internet | 1998

Though an ambitious outlook back in 1998, Gary Hamel’s co-authored article for fortune magazine accurately anticipated the huge impact the Internet would have on the way businesses construct their operating and business models.

Constant IT advances have left one system relatively untouched however – the enduring models of management. The processes and structures our organisations use to hire, reward, measure, coordinate, prioritise and allocate have been long enduring and resistant to the changes occurring in other areas of business.

It is these ‘modern’ management models that Gary Hamel predicts will be overhauled in the next wave of IT-enabled progression.

The basic architecture of large-scale human coordination, the same top-down pyramid structure familiar to all organisations, solved the problem of efficiency at scale. In his recent article, The Next Tech Revolution: Busting Bureaucracy, Gary Hamel challenges if aiming for high efficiency is enough anymore?

Today organisations need to focus on innovation, adaptability, encouraging the potential of employees – In this modern creative economy, the traditional management models, developed to establish control and promote efficiency are “an almost insurmountable impediment”.

“The fact is, the biggest drag on performance in most companies isn’t a sclerotic supply chain or an insufficiently webby business model. Rather, it’s a management model that empowers the few while disempowering the many; one that favors efficiency over every other business goal and conformity over every other virtue; one that makes organizations less adaptable, innovative, and inspiring than they could be and, increasingly, will need to be.” – Gary Hamel

Read Gary Hamel’s Fortune article here  – A thought-provoking article that confronts how we are preparing our organisations to cope with the challenges of the future.