Dysfunction in organisations

I came across this post from Harold Jarche picking up on comment here on the dysfunction of organisations in clear and unambiguous terms:

The real problem is that the firm – the corporation, as the fundamental institution of production – is deeply and irrevocably broken. It’s DNA is in shock. The corporation we’ve created is a monster; a form of organization growing more pathological by the day.

and in particular, this quote summed it up for me: The virus is rotting the system from inside. The hypercapitalist economy we’ve built isn’t about deep, sustainable value creation. It’s become about simply shifting value from one party to another. But organisational rot affects us all – customer, communities, employees and (at least in the longer term) owners.

While: The need for fundamental, systemic reinvention has never been greater and more pressing. Tomorrow’s revolutionaries are going to face the task of reinventing the institutions of production – and they will unleash tidal waves of new value by doing so is hard to argue with, the models of reinvented institutions of production are far from clear. Harold points to micro-credit, natural enterprises, community-supported agriculture as previews of a new organisational future. I think we can also point to <open business models and <authentic business

Part of the problem is that corporations seem to often find it very hard to adapt to rapid changes in the market – that control and change don’t mix. Here we can point to ‘messy’ organisational forms such as at gore and oticon as at least pointing us in a ‘better’ direction.

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