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Copyright All Reserved. DIAMOND MEDIA Co., Ltd. DIAMOND MEDIA Co.,Ltd. President Kozo Takei Website : http://www.diamondmedia.co.jp Blog : http://kozotakei.tumblr.com 1 3 Steps to Implement Holacracy in Your Company Since 2007, we’ve followed Holacracy. We built an Holacratic model by ourselves.
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3 steps to implement holacracy in your company

Jan 18, 2017

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Kozo Takei
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Page 1: 3 steps to implement holacracy in your company

Copyright All Reserved. DIAMOND MEDIA Co., Ltd.

DIAMOND MEDIA Co.,Ltd.President Kozo Takei

Website : http://www.diamondmedia.co.jpBlog : http://kozotakei.tumblr.com

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3 Steps toImplement Holacracy

in Your CompanySince 2007, we’ve followed Holacracy.

We built an Holacratic model by ourselves.

Page 2: 3 steps to implement holacracy in your company

Index

About us: DIAMOND MEDIA

About me: Kozo Takei

The Limits of Hierarchy

Introducing Holacracy

Holacracy Companies

Our Policy

Why Holacracy Now?

3 Steps to Implement Holacracy

Quantitative Data Management

Communication Channels

Release Information and Power

Our Best Practices

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Page 3: 3 steps to implement holacracy in your company

At first

Share Freely!!

Post on your FB, TW.

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Page 4: 3 steps to implement holacracy in your company

About us: DIAMOND MEDIA

DIAMOND MEDIA Co., Ltd.

Is a Real Estate tech company established in 2007.

We mainly provide enterprise Real Estate software.

Our Services:

- DIAMONDTAIL - SEM / CRM software for RE agents

- Centrl - RE circulation cloud platform for enterprise

- Centrl LMS - Leasing Management System for PMs

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Page 5: 3 steps to implement holacracy in your company

About us: DIAMOND MEDIA

DIAMONDTAIL http://www.diamondtail.jp

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Page 6: 3 steps to implement holacracy in your company

About us: DIAMOND MEDIA

Centrl / Centrl LMS http://centrl.cc

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Page 9: 3 steps to implement holacracy in your company

About me: Kozo Takei

I was born in 1983 in Yokohama, Japan.

I really wanted to become a musician.

During High School, I received awards and

prizes at some music contests.

In 2003, I went to L.A. to study music.

In 2005, I came back to Japan and started

my first business: Fashion Blog Media. It

closed down after a year, with large debts.

The next year, I started DIAMOND MEDIA.

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Page 10: 3 steps to implement holacracy in your company

About me: Kozo Takei

Favorite books (Japanese)

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Page 11: 3 steps to implement holacracy in your company

DepartmentDepartment

The Limits of Hierarchy

Structure of Hierarchical Organizations

Employees

Management

ExecutivesCEO,CFO,

COO

Manager

Staff Staff

Manager

Staff

→ Divisions

Levels

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The Limits of Hierarchy

What results from levels and divisions?

- Organizational flexibility is limited

- Organization and individuals are separated

- Innovation opportunities are reduced

Hard to adapt to the changes of external situations.

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Page 13: 3 steps to implement holacracy in your company

Introducing Holacracy

What is Holacracy?

1. No levels and flat organization

2. No titles, no positions and no top-down orders

3. Unique decision-making process

More flexible and autonomous organization.

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Page 14: 3 steps to implement holacracy in your company

Introducing Holacracy

Holacracy organizational chart

Hierarchy Holacracy

© HolacracyOne LLC. http://www.holacracy.org

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Page 15: 3 steps to implement holacracy in your company

Introducing Holacracy

Differences

Hierarchy Holacracy

Leadership Power, Position Servant, Personality

Decision-making Top Case by case

Relationship Levels Flat

Information Controlled Open

Roles Descripted Flexible

Management Command, Control Self-management

Rewards Money, Fame Satisfaction, Happiness

Thinking Analysis Synthesis

Business projection Predictable Unpredictable

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Page 16: 3 steps to implement holacracy in your company

Introducing Holacracy

Example of Holacracy at Diamond Media

HR / Organization Accounting / Salary Work-style

No title, No boss

Perfectly flat

Decide your job by

yourself.

Elected president

Unwritten Philosophy

Accounting info is open.

All Info is accessible.

No incentives

Non result-oriented

No approval docs

Time, place, vacation,

all free.

No command

Independent

Second job is

recommended.

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Page 17: 3 steps to implement holacracy in your company

Redefined corporation

Ownership Management Labor

Integrate those three rights

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Our policy

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Our policy

Our stances

1. Combine “Economy” and “Emotion”

2. Establish a practical corporate “operating system”

3. Show our business success as our message

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Long term success through Holacracy

and our core business.

Page 19: 3 steps to implement holacracy in your company

Why Holacracy now?

Social changes

© Return on Company http://picc.or.jp

Human side

Economic

sideSocial side

© Peter Drucker “Next Society”

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Compan

y

Earth

Custom

er

Partners

Owners

Employ

ees

Society

Employees

Company

Customer

Page 20: 3 steps to implement holacracy in your company

Why Holacracy now?

What organizations need today

- Accelerate decision-making

- Enhance individual potentials

- Collect various talents

- Combine profitability and social cause

- Integrate sustainability and long-term thinking

Holacracy could be the answer for all of the above.

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Page 21: 3 steps to implement holacracy in your company

3 Steps to Implement Holacracy

Implementation procedure

1. Quantitative Data Management

2. Communication Channels

3. Release Information and Power

Holacracy is a three-dimensional organization.

We need to design its processes, not structure.

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Quantitative Data Management

Capture your company’s data at three levels

Capture data at three levels:

“Result", "Process” and “Labor”.

Data capture needs to happen

real-time and through a

seamless interface.

Result

Process

Labor*

*Labor = Working time data counted in unit of 30 minutes.

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Quantitative Data Management

Build your data model and visualize it

Data Tools

ResultAccounting Balance

P/L, B/S, C/FSales, CRM

Cloud Accounting SoftwareSFA, Kintone

Google Spreadsheet

ProcessSales Process

Developing ProcessWork Tasks

SFA, KintoneBTS, Wrike

Google Spreadsheet

LaborWorking time

Working CategoriesGoogle Spreadsheet

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Communication Channels

Holacracy is communication-driven

Exchange

Top

Exchange

Bottom

Holacracy is neither top-

down, nor bottom-up.

Information must flow

freely.

All members participate in the decision-making process through this open communication.

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Communication Channels

Digital communication tools

Service Purpose

ChatChatwork

Slack

Smooth communicationReal-time sharing

Project-based

Video meeting

ChatworkLiveGoogle Hangout

Skype

MeetingRemote-working

Enterprise SNS

HoooPYammer, Talknote

Wiki, Qiita

Store communication history

Knowledge Management

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Communication Channels

Real-Life communication opportunities

The purpose of this model is

not to “talk”:

Communication is part of

the operating system.

Daily

weekly

Monthly

Quarterly

Halfyearly

YearlyProgress check

Evening assemblyGood & Bad news

CredoSelf-presentation

Clean-up

Monthly meetingBrain trust

Quarterly clean-up

Self salary estimateCompany event

Clean-upPresident electionYearly conference

Company’s operations run naturally with communication opportunities, and automatically rejects foreign elements.

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Release Information and Power

After implementing data management and

communication systems:

- Fill information gap

- Remove titles and positions

- Eliminate management: release info and power

This makes you a 100% holacratic organization.

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Release Information and Power

Information gap creates virtual hierarchy

- Hierarchy background

Under the hard situation to share information,

organizations needed a quick and straight command line.

- Holacracy background

Internet enables us to spread information easily, rapidly

and without time-lag.

In critical survival situations, the hierarchical organization makes us

more likely to survive.

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Release Information and Power

No title and no boss means:

- Executives and managers need to abandon any kinds of

power, privilege and position.

- At the same time, they also need to abandon fame,

contribution and responsibility.

Self-management means no control. You don’t control

anyone, and you are not controlled by anyone.

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Release Information and Power

Management system of No Management

Holacracy requires to eliminate hierarchical power and

privileges. In traditional organizations, the biggest sanctuary

is the board of directors. Therefore, holacracy needs a

new and flexible organizational design.

Election of president and directors

* In holacratic organizations, CEO and C-suite titles are also removed.** DIAMOND MEDIA actually operates with election and meeting. Because election system may ruin leaderships to come up.

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Our Best Practices

Don’t manage people. Manage the organization.

Three dimensional design keeps the organization

flexible, rapid and efficient.

Div. Div. Div.

Development

Sales Marketing

Operation

Management

Matrix(2D) + Project

Recruit

HR

Event

Website

projects

Study

group

© Diamond Media Co., Ltd.

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Conference

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Our Best Practices

Career matrix (estimates skills and value)

Value 1You understand it

Value 2You do it

Value 3You deliver it

Value 4You make it

Senior associates

Valuable skills and Knowledges

Cooperation creator

Leadership,Operational

management

Business and organization

designer

AssociatesOrdinary skills and Knowledge

Self-managed

Rookie New member

© Diamond Media Co., Ltd.

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Our Best Practices

Salary and fee system

Basic Income Lifestyle Income Self Income

BaseHousing andCommuting

Seniority Age KidsOther

allowancePotential

$1,800 $300 ~$100Over 25~$400

~$500 situational $200~

© Diamond Media Co., Ltd.

Besides the above, we also have bonuses twice a year.Potential salary is not an incentive or reward salary. It is for ability and personality.Any kinds of position or job changes don’t affect potential salary.

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Our Best Practices

Brain trust (team counselling system)

© Diamond Media Co., Ltd.

This “brain trust” is inspired by Edwin Catmull from Pixar.Each team has 4 members. Each person brings its life plan in different terms and share with each other.

Company, business

Long term plan(10 or more

years)

Middle term plan(1 year)

Short term plan(a few months)

Careers, financial

Private, relationship

Health

Self-investment

Hobbies

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Our Best Practices

Salary Assessment and election process

Examination

Top-down

Examination

Bottom-up

Decision-making process

needs both top and

bottom intensions.

* ”Top” means wholesome leadership.

Empirically, rotating this twice makes us persuasive and rational.

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Our Best Practices

Consistency of thought, business and functions

Company has to make

business models with

logical functions. And

these must be based on its

thought and philosophy.

Functions

Business

Thought

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At last

We’re looking for PHP/Ruby engineers!

Our work style examples

- 3 Days DIAMOND MEDIA, 2Days Freelance.

- Basically work at DIAMOND MEDIA but have his own company.

- Complete remote work; only come to office when he wants.

We’re trying to change the world not only Japan, with Real Estate

platform. Now we’re starting Enterprise Marketing Automation cloud

for Real Estate industry. Join us, and be a Holacracian together.

Feel free to talk to us or me.

E-mail : http://www.diamondmedia.co.jp/contact/ / [email protected]

Phone : +81-3-6903-7866

Facebook : https://www.facebook.com/kozotakei/

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