The Holacratic organisational structure provides employees with the freedom and flexibility to take ownership of various tasks and switch freely between teams and functions in the workplace.
It is a modern reform of the traditional workplace hierarchy which is growing in popularity, empowering employees to make decisions with autonomy and treating the business as if it was their own when making decisions.
The Holacratic workplace structure was developed by Brian Robertson when he experimented with the organisational structure for his company (Ternary Software) which was founded in 2001 with the aim of ‘building the healthiest possible system where people thrive’.
After many years and various approaches, Brian Robertson's’ approach proved so successful that he founded a new business named ‘Holacracy One’ in 2007, a consultancy based business set up to support and advise other businesses to adopt the Holacratic organisational structure.
Essentially, within the Holacratic organisational structure, employees are grouped together into ‘circles’, which can be formed and adapted very quickly, supporting the business to rapidly adapt to change.
These workplace circles are formed by employees who have similar interests, ideas, and capabilities within the business’ environment e.g. this could be interests, ideas, or capabilities based on the business’ products, functions, or processes etc.
These circles of employees work collectively to make continuous improvements in the business, essentially working on projects before submitting a proposal which is reviewed through a series of rounds. If the proposal is accepted, the circle will implement their proposal into the business.
Whilst there are senior employees and an owner of the business who naturally have more authority and decision making power within organisation, the Holacratic organisational structure is fairly flat in nature with very little hierarchy and relies heavily on trust and communication between its employees.
Therefore, the Holacratic structure is usually more effective in businesses with highly skilled and committed professionals with high levels of initiative.