Abstract
Many startups today have adopted a “self-directed” model, which includes flat organizational structures, minimal hierarchy, self-management, and an emphasis on empowerment. When these companies are small, this model confers all sorts of advantages. But it’s hard for companies to stick to that model when they grow and scale. Some companies have successfully managed it, however — a set of pioneering self-directed companies based in the greater Helsinki area, in Finland. The authors have studied those companies and here distill what they learned about their secrets to success.