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This role is no longer confined to technical oversight or incremental operational improvements. In parallel, their remit includes guiding organizational mindsets so that each business functionmarketing, sales, operations, human resourcesoperates cohesively under a unified digital vision.
They know when to centralize and decentralize to maintain efficiency without sacrificing effectiveness. Ethics, honesty, and integrity matter all the time. They’re pros at the “science” part of the job, knowing the technical, operational, financial, regulatory, and process components of their job stone cold.
The Rise of Holacracy: The trend towards decentralized leadership—sometimes known as holacracy—challenges the traditional hierarchy of organizations. Building a Moral Framework for Machine Decisions: With AI making more decisions in the business, ethical considerations are becoming crucial. Digital fluency is a must-have.
Berkshire Hathaway is known for its extreme decentralization. The company’s more than 80 operating subsidiaries have complete independence and minimal oversight from headquarters, which requires little else besides regular financial statements and the return of excess cash that is not needed to sustain and grow the business.
Leaders rate the importance of maintaining a sterling reputation in the countries in which they operate 10 times higher than do laggards — the greatest variance we found. Local subsidiaries have to operate in ways acceptable to the parent company. Forgoing Short-Term Profits in Favor of Long-Term Reputation.
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