Airbnb, a global lodging platform, has successfully kept bureaucracy at bay. The company’s secret lies in its unique organisational structure called “The Matrix.” This structure is a combination of two traditional models: the functional model and the general management model. In the functional model, employees report to a function head, while in the general management model, they report to a product or market manager. Airbnb’s Matrix structure allows employees to report to both, ensuring clear accountability and fostering cross-functional collaboration.
To maintain this structure, Airbnb uses several strategies. Firstly, they have “mission” and “function” meetings, where employees discuss their work with both their functional and mission leaders. Secondly, they use a system called Objectives and Key Results (OKRs) to set and monitor goals. This system ensures that everyone understands their roles and responsibilities. Lastly, Airbnb uses a tool called the “Decision Maker,” which helps clarify who is responsible for each decision, avoiding confusion and delays.
Airbnb’s innovative approach to organisation demonstrates that bureaucracy is not inevitable. By combining traditional models and implementing clear communication strategies, companies can foster a more collaborative and efficient work environment.
Go to source article: http://firstround.com/review/bureaucracy-isnt-inevitable-heres-how-airbnb-beat-it/