Lessons From an 'Old' Decentralised Organisation That is Well Placed for AI Success
Some of the best examples of decentralised orgs were the product of their founders' vision, not new technology; what can we learn from the way they did it?
Various tech firms, and more recently DAOs, have struggled to successfully scale de-centralised organisational structures, despite having a wealth of modern digital tools and platforms to assist the coordination of work.
So what can we learn from those older, established firms that continue to operate more human-scale de-centralised management systems?
Last week we talked about autonomous, agile teams within de-centralised structures as an ideal starting point for enterprise AI exploration and development. As
noted:A key differentiator for any organisation looking to do this will be the organisational architecture and culture they start with. Highly siloed, centralised firms will struggle to create connected services and capabilities at lower levels, while those with a degree of decentralisation and autonomous, agile teams will have a distinct advantage.
It is interesting to note that some of the best examples of such ‘cellular’ org structures - Morning Star, Semco, Haier, etc - started with enlightened founders who were committed to a better model of management, and the tools and tech came later.
So we thought it would be a good time to summarise a meta-case-study of a ‘traditional’ de-centralised firm that values self-management and autonomy to encourage leaders and managers who are wrestling with similar challenges today.
WL Gore: An Overview
WL Gore operates in the field of material science and is best known for its invention of the waterproof, breathable fabric membrane Gore-Tex. But the firm stands out not only for its products, but also for its radical organisational model. With over 10,000 employees and a reported annual revenue of $4.5 billion in 2022, it continues to value experimentation and freedom, within clearly identified risk boundaries.
In material science, like pharmaceutical and modern manufacturing sectors, it is worth remembering that smart technologies are already being used in research and production. So there is also potential for the "office" or business side of the organisation to learn from this and apply more "science" to the way they organise business support and growth functions.
WL Gore's flexible, non-hierarchical structure provides a strong foundation for leveraging these transformative technologies. With a long-standing emphasis on innovation, freedom, and personal accountability, Gore's organisational architecture is well positioned to thrive in the age of AI and automation
This readiness can be traced back to its founding principles and history, so let’s explore the story and then (below the line) try to draw some lessons that other leaders could apply.
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