Hacking HR to Build an Adaptability Advantage

Sarah - Darn you, just when I was going to get some productive work done you posted this irresistible comment. I agree with you that centralized control can, and often does, block adaptability. At the same time, centralization can enhance adaptability (political ideals aside, just look at what China has been able to accomplish by way of adapting its economy through centralized decision making). We all know the metaphor "herding cats." Centralized control is often used as a solution to get the parts of the organization moving in the same direction, which can be essential to adaptation.

Is centralization, perse', the enemy?

Centralization is an enemy when it is seen as the end, itself, rather than a means to the desired end. When centralization is used as a means to achieve good process (decision making is a process), then it is beneficial. However, when processes are compromised to achieve centralization, then it is detrimental.

The problem is that we still see centralization through industrial-age glasses rather than digital-age glasses. During the industrial age centralization was inherently beneficial. In the digital age centralization must be viewed, first and foremost, as a process enabler.

Sarah - is it possible that the 'enemy' here is centralisation where this means that authority to act and authority to iterate central strategy locally? I find your emphasis on decision-making really helpful because this points to structures full of bottle necks and blockers. At the same time SOME centralised - or at least, common - elements are useful and I'd argue, necessary - for example, a clear articulation of purpose and direction to help us judge how best to apply our efforts and which at minimum probably needs some central synthesis and guardianship?