No one ever did anything awesome or great just because they were told to!

Before we get into a debate on whether hierarchy is good or bad, it is important to know what it is supposed to mean and the history behind it. Hierarchy (originating from the Greek word hierarchia) is an arrangement of items (objects, names, values, categories, etc.) in which the items are represented as being "above", "below", or "at the same level as" one another. In simple terms, it is a system in which members of an organization or society are ranked according to relative status or authority. 

Even today, you will find hierarchy in organizations where authority and power drives decisions as in the armed forces, government institutions, and many organizations. Often, it is also a function of cultures and geographies. Certain cultures are more hierarchical than others. It is also important to understand that hierarchies are contextual and evolutionary. Now that we know the history, let’s look at the evolution of organizational hierarchies. The world has moved away from the first industrial revolution and is now driven by what we know as the technology revolution. The traditional power structures in business are changing and companies are becoming more dynamic and less hierarchical. However, it’s naïve to believe that hierarchies are passé. Office power dynamics are still very much a part of an organization’s DNA. 

Nevertheless, there is a positive lining in many industries/organizations where hierarchies are evolving into frameworks to bring in more efficiency and accountability, rather than being used to define authority or power. 

As per a Human capital trends survey conducted in 2017, 96 percent of companies believe they need to redesign their organization to succeed in the digital age. Established organizations are rethinking their business models by adopting novel agile-management practices. Future organizations are going to be learning organizations that will strive to learn and adapt continually and where talent experience is seamless. The approach to talent engagement is changing at a rapid pace thanks to technology. Communication has become multi-way channels. As the number of millennials joining the workforce is only going up, they are equal partners in formulating the culture of the organization. Careers for talent are evolving over time where they can move in any direction and not just vertically. Traditional uni-dimensional performance management practices are giving way to agile methodologies of on-the-go feedback, peer and 360-degree feedback. Companies are adopting differentiated rewards strategies to engage and retain talent, based on the skills brought to the table rather than just experience. Old ways of working are getting shelved while new areas of work are getting created by the hour. Trivia: People are getting paid to go on a vacation and share the experience. 

If you want to hire great people and have them stay, you have to be run by ideas, not hierarchy. The best ideas have to win – Steve Jobs

Ideas are the oil connecting different orders and structures within an organization like roles, personalities, generations, genders and backgrounds, to work towards a common goal or vision. Collaboration is the catalyst. Teams are shedding inhibitions regarding differences and leveraging commonalities. A culture of free flow of ideas is being built to keep innovating in this competitive world. We see millennials working directly with top executives on strategic projects, sometimes even reverse mentoring them. 

If you look at examples from another world like sports, you’ll see that a captain is not necessarily the senior most player in the team and has a team of experts within to guide him/her to make the right decision. 

Crowdsourcing is another strategy leveraged by organizations to embrace difference of opinion, by providing a common and equal platform to contribute. At Infosys, we started a revolutionary concept of Murmuration which was one of the first engagement initiatives to include employees in the strategy building exercise of the company. Over 2 weeks, around one-third of the organization participated and shared 2650 ideas. The ideas were evaluated, shortlisted and then put up for voting. Employees voted on those ideas which they felt were most relevant to the initiative and 10 ideas have now been shortlisted for execution. 

Innovation plays an important role today more than ever and is driving businesses and the society. The best innovative ideas come from the farthest corners of the organization. It’s got nothing to do with the power equations at play, at work or with the social orders outside. It is a culture which breaks ranks and the output is an idea which is beneficial at large. 

Fostering a culture of innovation is a core part of our work, and we do this through the Zero Distance program. Every employee is encouraged to apply design thinking principles to get closer to client, value and code. Empathy is at the center of all that we do. A large percentage of our employees are a part of this grass roots innovation movement.

At one of the large multinational technology companies, there was a small team where no one necessarily knew who the leader was on any given day, but all felt the continuous pull of leadership throughout the team. At one of the new-age design companies, all meetings are chaired only by experts and not managers, shedding the barriers of hierarchy.

In an empowered culture, where leadership can arise from anywhere at any time, leaders exist everywhere.

People are drawn into leadership roles based on need, will, passion, capabilities, and relationship. This is another competitive and strategic advantage for organizations bold enough to trust fall into freedom. At Infosys, we have an influencers network who are culture catalysts who cut across ranks. 

If you look around, you’ll see things that are changing beyond the realms of organizations. Design principles of relationships are evolving. Gone are the days when parents use to decide for children. Today, the voice of children helps decision-making for the collective.  Even in our individual lives, we are driven by our preferences that create a pecking order naturally in our minds. 

Therefore, hierarchy is neither good nor bad. However, it is important to contextualize it. Pecking order is important. Experience is priceless and should be leveraged. Hierarchy helps put a method to madness.

It helps navigate in a large company with many moving parts. With changing leadership styles, authority is being transferred across levels and information flow is now free-flowing and multi-directional. MS Dhoni (arguably India’s best captain) once highlighted how the doors of his room are always open for youngsters, it helps him to know what’s going in their minds which further helps him to leverage their capabilities better. 

One pitfall of hierarchy to watch out for is how hierarchies can blind the person sitting at the top from ground reality. It reminds me of a famous story about Abraham Lincoln. In March 1863 the famed Confederate battalion known as Mosby’s Rangers raided Fairfax, Virginia and captured a Union brigadier general, two captains and number of soldiers and horses.  Upon learning the news, the president supposedly commented: “Well, I am sorry for the horses.”  He then explained: “I can make a brigadier general in five minutes, but it is not easy to replace a hundred and ten horses.”

So the next time someone stuck in the barriers of hierarchy comes and puts you off, remember to tell them that it’s not easy to replace horses. 

(The article draws on various sources of inspiration and data from the public realm. All views in the article are personal)