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The top-down management hierarchy is over
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The top-down management hierarchy is over

By Watershed MomentSeptember 21, 2022No Comments

Home » The top-down management hierarchy is over

The top-down, traditional hierarchy operating model that has been around for decades is now antiquated. It officially died during the pandemic. Organizations using this model have become “compartmentalized” into silos and “complexified” to massive inefficiency. Large corporations desperately want to go back to this decades-old model post-pandemic because that’s all they know how to execute. But the new employee landscape has flatly rejected this model. It no longer retains creative, self-expressed employees who want to make a difference and contribute to the company they commit their passions to.

Many organizations tried creating a “bottom-up” operating model in the years leading up to the pandemic. The focus was on the customers’ needs, and employees gathered feedback on the front lines, often the lowest in a traditional management hierarchy. This model has shown its drawbacks. Managers and social leaders who have the ear of executives filter the information with their narrative before it reaches the top.

”We are now in a Collective, decentralized operating model where Every Voice Matters.

Where are we headed? We’re already here. Employees have demanded the model, and leaders are scrambling to make it happen. We are in a Collective, decentralized operating model where Every Voice Matters. Yes, everyone in the company has a customer-facing role and a position, so there is no confusion about who to go to for what. However, behind the curtain, work groups are curated meticulously from all hierarchies to develop the company strategy, execute projects, tackle challenges, and ensure effective day-to-day operations. Through assembling cross-sections of employees based on their skill sets, future growth opportunities, and passions, numerous advantages are realized for revenue, innovation, and employee retention.

Building a Collective operating model must be done authentically, with great care and commitment to ensuring the company wants a future-focused mission versus returning to its past. We are in a new era, and companies leading today have championed this all-inclusive employee community culture. Companies still figuring it out are looking for their Watershed Moment.

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