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This paper discusses the importance of installing holacracy practices in the organizations’ core values instead of hierarchy. Since the organizational structures of holacracy and hierarchy are different, the current study aims to compare the functions of both concepts in terms of the management system. Holacracy suggests a more decentralized structure, while hierarchy stands on a centralized one. In holacracy concept, power moves from leaders to processes in an organization as a whole. Further, holacracy also provides a concrete framework for encoding autonomy, agility, and purpose-alignment into the organization’s DNA. Somehow holacracy replaces the conventional management hierarchy with a new structure. In holacracy, instead of operating top-down, power is distributed throughout the organization – giving individuals and teams freedom while staying aligned to the organization’s purpose. This concept has recently been accepted & implemented in some organizations worldly. In this case, the current study aims to concentrate on the main values of holacracy and finds out that what it can really bring for the organizations.

Holacracy and Hierarchy Concepts: Which One is More Effective in an Organizational Leadership and Management System?