ORGANISATIONS
Hierarchy and hierarchical organisations - the (almost) eternal beast
Before I focused on society and societal issues, for many years I researched organisations – the organisations as we know them (orthodox, hierarchical organisations) and alternative types of organisations (I call them ‘democratic organisations’).
Hierarchical organisations – hierarchy in general – are no good; hierarchy is in direct opposition to some of the best ideas humanity has produced, for example: democracy, equality, fairness, and justice. Hierarchy directly and ferociously flies in the face of these values. It allocates privileges, prerogatives, resources, and opportunities in ways that are undemocratic, unequal, unfair, and unjust. It divides people into small groups of privileged leaders and members of various power elites on the one hand, and the masses (themselves divided into several strata) on the other. It defines many —too many — social situations as unequal relationships between superiors and subordinates. Hierarchy primarily means the creation and maintenance of unequal social relationships between people at dyadic, group, organisational, and societal levels. Hierarchy systematically enables and guarantees unequal distribution of and access to institutions and resources, power differentials and opportunities, privileges and prerogatives, and tasks and duties. It represents institutionalised differences in power, resources and opportunities; some people are privileged and others are discriminated against. Hierarchy is antidemocratic, unfair, and unjust. It means advantages and enrichment for the few, and disadvantages and limitations for the many; every form of hierarchy, whether dictatorial or democratic, has such principles of social inequality, oppression, and exploitation incorporated into its blueprint. Hierarchy – and hierarchical organisations – empowers the few and oppresses, exploits, and infantilises the many. Highly intelligent and capable adult human beings are turned into, and treated like, toddlers. Hierarchy benefits superiors and disadvantages subordinates systematically and with necessity. As a consequence, people are not only treated differently but also have different life chances, even life expectancies. Because of hierarchy, people have different pasts, presents, and futures.
Better organisations - democratic organisations
Knowing about all the shortcomings and fundamental flaws of hierarchy and orthodox / hierarchical organisations, for many years I had been looking for alternatives, alternative types of organisation – and they do exist; for example, cooperatives, partnerships, associations, worker- or employee-owned firms, collectivist organisations, utopian communities, participative organisations, democratic corporations, social enterprises, civil society organisations, heterarchies, network-like organisations, or organisations of the Social and Solidarity Economy (SSE).
All these types of organisation, as different and diverse as they may be, have some features in common that differentiate them fundamentally from the orthodox organisation. These features, when identified properly and put together coherently, establish not only an alternative but also a better type of organisation. I call this type ‘democratic organisation’. The democratic organisation can be defined as a non-hierarchical organisation that pursues and serves multi-dimensional (social, political, legal, economic, and/or environmental) purposes in considerate, balanced, and sustainable ways and that is owned, managed, and controlled individually, collectively, and democratically by all of its members, who have equal rights, and are equally empowered, to participate fully in the governance and management of the organisation, organisational affairs, and activities.
Democratic organisations have various things in common, or key criteria that define them as democratic organisations, in particular:
- A libertarian constitution appreciates and protects all members’ inalienable rights of self-ownership as well as private ownership. All members own the organisation, have ownership status and corresponding equal rights, responsibilities and legal entitlements (e.g. property rights, rights of information, participation in decision-making, management and control of the organisation, profit-sharing).
- Democratic governance and decision-making (based on legitimate authority, separation of powers, subsidiarity, transparency, accountability, and ‘good governance’): All members have equal formal rights as well as actual opportunities to participate in strategic and operational decision-making (either directly or via democratically elected representatives), and to decide the policies and direction of the organisation (‘shared governance’ or ‘workplace democracy’).
- Democratic management (in form of self-management, representative management, and participative management) enables all members of the organisation to manage their work and the conditions of their work themselves, and to manage organisational affairs and the organisation either individually or collectively. There is no hierarchy in the sense of top-down ‘order and control’, no superior–subordinate relationships, but heterarchical relationships between formal positions and people. Managers are democratically elected and controlled representatives, management is provided individually or collectively as transparent, interactive and collective processes and shared activities.
- Equalising empowerment: All members of the organisation are equally empowered, i.e. they have the same formal rights as well as factual opportunities to decide their work and the conditions of their work, are formally, psychologically, and socially empowered to participate equally in decision-making, to pursue their legitimate individual and collective interests, and to further their personal development.
- Considerate conduct of business: The democratic organisation and its members provide goods and services, and conduct their activities both within the organisation and towards others and the environment in ways that are moderate, balanced, decent, ethical, fair, and just, and that are consistent with a (pro)social orientation, pro-environmental behaviour, and sustainable economic performance (‘people, planet, profit’).
The democratic organisation is a good organisation. It is inherently good because of its libertarian constitution, democratic governance, democratic management, equalising empowerment, and considerate conduct of business. All of these elements are built on, are consistent with, and work according to the universal principles of freedom, democracy, equality, justice and sustainability which are perceived as good in every legitimate culture and society. Democratic organisations are designed and function according to libertarian and democratic principles and provide the broadest possible range of equal (legal, civil, and human) rights and opportunities to all their members. They are based on and committed to the values of freedom (self-ownership), democracy (democratic governance and democratic management), equality (equal rights and responsibilities of all members), justice (good governance and profit-sharing), and sustainability (considerate conduct of business).
The democratic organisation is the only type of organisation that provides and guarantees freedom, democracy, equality, and justice for all its members. It is the only type of organisation that has the institutions and organisational context to enable individuals to maintain and pursue their fundamental freedoms and inalienable rights. And it is the only type of organisation that at the same time is consistent with the fundamental principles and values of a fully-fledged democratic and modern society, acknowledges the requirements of the natural environment, and is capable of achieving multi-dimensional socio-economic outcomes in a balanced and sustainable manner. We need such organisations.
Books, journal and working papers published:
Journal and working papers: