Have you ever wondered about the difference between hierarchies of competence and control?
And perhaps even more importantly, why does it matter? 💭
Well, let’s delve right into it, shall we? 🕵️
Let me enlighten you with the ins and outs. 🚀
Let’s start with the Hierarchy of Control, which is typically the traditional organisational structure - the pyramid. The deciders and thinkers are the smaller groups at the top, with the larger group at the bottom being the doers. 🧩
Basically, it’s an It’s a system where everyone’s told what to do.
This means decision-making is a long process of escalation, often leading to delayed and possibly inefficient responses. 📚
On the other hand, we have the Hierarchy of Competence, which is a model where leadership changes based on the task at hand and the competence required for it. This is all about flipping the traditional hierarchy on its head.
In this model, leaders emerge based on their understanding or ability within a particular context. It’s a hierarchy created based on competence, allowing for dynamic changes in leadership as per the task at hand.
Leaders under this hierarchy emerge based on their expertise and capability within a particular context. The hierarchy is more flexible and faster, ensuring the most competent individual is leading at any moment. 💡
So, why do these Hierarchies Matter Today?
Hierarchies of control worked well during the Industrial Revolution – where slow and steady won the race. The mantra was straightforward - you make the product, customers buy it. Customers weren’t fickle and markets were more localised. But today, with lightning-fast market changes, this decision-making process is too slow. ⌛
The thing about hierarchies of competence is that they respond to the changing dynamics of the market in real-time. They do not enforce a structure but allow the most competent individuals to take the lead in responding to market triggers.
Today, it’s hierarchies of competence that rule the roost. They are much quicker, dynamic, and better equipped to deal with rapid changes and market demands. 🔥
In hierarchies of control, you often see individuals promoted to their level of incompetence. This creates bloated management structures filled with individuals who may not be equipped to perform their duties efficiently. 🌐
Hierarchies of competence, however, create no such enforced structure. Netflix’s model is an excellent example of this, with their dynamic, ad-hoc approach that enables rapid decision-making and strategy execution. 🎯
We must figure out how to move away from the top-down, terroristic waterfall model towards a more competence-driven hierarchy.
We must get closer to the market and establish faster, shorter feedback loops.
Consider transitioning towards a more competence-based hierarchy if your organisation is entrenched in a top-down, waterfall model. It may require a cultural shift, but the benefits will be worth it - a more engaged workforce, a faster feedback loop, and an organisation more attuned to market changes. 💪
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If you've made it this far, it's worth connecting with our principal consultant and coach, Martin Hinshelwood, for a 30-minute 'ask me anything' call.
We partner with businesses across diverse industries, including finance, insurance, healthcare, pharmaceuticals, technology, engineering, transportation, hospitality, entertainment, legal, government, and military sectors.