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HR Fails of 2015: Zappos and the Holacracy


In 2013, Zappos announced its plan for self-management. It would eliminate all managerial positions and let each employee dictate their activities. The tremendous backlash, both from the media and employees, left the company reeling. 14 percent of employees left and accepted the 3 months severance pay offered.

The best commentary was provided by a regular poster, Robert P. Holmes III, to Business Insider: “Can I go work there? This place sounds like heaven for a lazy person like me. I can see it now, “Rob, did you forget to put a coversheet on your TPS report again?” Me: “Yep, and I don’t care because you’re not my boss! Nobody is! Bahahahaha!”

Sources:

Business Insider: 210 Zappos employees — 14% of the staff — take buyouts after CEO ultimatum to embrace self-management or leave

Zappos Insights: A Memo from Tony Hsieh

Zappos Insights: Zappos Journey to Self-Management: We don’t have it all figured out

Forbes: Tony Hsieh’s Workplace Dream: Is Holacracy a Big Failure?

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