For an introduction to this expanding meta-thread see Integral Anti-Capitalism pt I. We continue here because we have, hilariously, exceeded this website's capacity...

LAYMAN PASCAL

I agree that holacracy should be singled out for special investigation. The provocative notion that we are dramatically over-emphasizing the need for "conscious leadership" pertains very pertinently to this discussion. Robertson, like ourselves, is pointing to the fact that business (organizations) which integrally improve the interiors and cultural
spirit of their participants are still predisposed to certain outcomes as a result of their actual structural habits of communication and their specific decision-making protocols.
His notion of a constantly self-correcting dynamic organization drawing upon the capacity of individuals to act as tension-sensors relative to the "evolutionary purpose" of the organization is compelling and admirable.

More important is simply that he is making a stand and making an attempt to construct a protocol (constitution). I am not fully versed in the 4.0 version of the holacracy constitution but we should get deeper into some of these proposals.  

Given the level of your current knowledge of their protocols, what would you want to change or add in order to ethically and functionally empower this approach even more?

THEURJ

First some housekeeping in providing links in part I to comments on holacracy: their website, comment 1, comment 2, comment 3 (and 3 more on p. 7), and the first 7 comments on p. 8

I’m not yet familiar enough with holacracy to know it might need. So for now I’ll ask questions.  From p. 8 there was a blog post on ownership and the model might (but not necessarily) include outside capital investors. I asked:

“One question immediately pops up on outside investors. Are there limits on the amount of outside capital investment? What if their investment is such that without it the company could not financially survive? And/or depends on it for start-up? Then such investment would control the company, like it or not. If you don't do what I say I'm taking my ball and going home. No ball, no ballgame. Not the same as a mortgage or loan company.”

Granted why such investors are included on the Board there are other stake-holders to balance their input. But are there rules about which outside individuals or companies can invest? Do they have to have similar values like triple bottom lines instead of just profit for their investors? Can a Goldman Sachs provide start-up capital? Or Romeny’s ex-firm, Bain? Just wondering, so perhaps it’s time for those out there more familiar with the system to engage us?

LAYMAN PASCAL

I appreciate your inquiry about the potential influence of outside investors in holacratic systems. Perhaps they have a good protocol for that. Or perhaps not. In general, all "smart groups" need to comprehend and anticipate the distortion influence that donors and enablers wield. The psychology of human nature shows that we may believe ourselves to be quite sturdy and impartial while we are really bending in the breeze.

One of the concerns I had while perusing the holacracy constitution was about the voting procedure for filling roles. There are many parts of their approach which impress. In particular I would like to make not of the necessity to place constraints upon discussion. When the mention of a concern is met with the mention of counter-concerns then the intelligence and practical efficacy of discussions drops dramatically. A highly suspicious mind might even supposed that the human hive is encouraged to engage in the constant casual usage of dysfunctional conversation. So their use of controlled phases in both operational and hiring decisions is admirable. However, their actual voting protocol seems (to my naive glance) to be based on a model of transparent majority. A sophisticated "show of hands".

So this may be an area in which holacratic principles can be expanded to include a more thorough use of "secret ballot" and "averaged ranking".

The former often seems like a show of bad faith and an invitation to covert dangers... but these are considerably outweighed by the liberation of individual intelligence from any conscious or unconscious concerns about the social consequences of their input.

The latter evades a primitive "first past the post" approach in which our intelligence is functionally limited to a yes/no determination about each candidate relative to other candidates.

Another thing I admire about holacracy is that it represents a functional procedure and culture in which participants would appear to become better participants by participating. Their capacity and ethical commitment to the good of the organization through its evolving protocols should be an increasing trend. Any smart group needs to be arranged so that even people who try to distort the results will find their capacity and will to do this reducing over time. Replaced by the inspirational efficacy of the group.

This brings me to another issue relative to voting, both in political and economic groups. That is the relative absence of specific instructions about how to translated ones feelings into a vote-mark. This is almost completely unaddressed in terms of popular elections. To discuss it even seems insidious to some people who fear coercion (and/or wish to maintain the current material power structures).

Protocols should have at least a clear suggestion about how to locate both "gut" and "intellectual" data within ourselves and convert that into a numerical value which can be contributed to a group decision. A lack of clarification at this critical junction may act as an invisible source of drag upon an otherwise very functional group organism.

It might even be possible to define an "integral-level organizational set up" for business or politics by simply compiling a list of areas in which intelligence and capacity are distorted. We might recall that most of Wilber's philosophy has emerged in levels correlated to his discovery of "fallacies" or "basic errors". Integral proposals about business and society could be all over the map unless there is a reasonable set of constraints that make sure they fall in the most lucrative zone.

So other than the potential influence of outside "helpers" and "donors" what other sources of distortion or inhibition do you see going mostly unaddressed in otherwise progressive groups?

THEURJ

My next question of holacracy is who came up with it? It seems to be the pet project of Brian Robertson, his own brainchild. I'm wondering if that is so of if it was a community or P2P project? I mean, the structure of holacracy itself calls for distributed decision-making but was the creation of holacracy itself derived from this process or mostly dictated by Robertson? I've yet to find an answer at the site so I posed this question to them via contact info. I'll provide the response if/when received. I think the answer is pivotal in determining if this thing called holacracy arose from its own medicine.

LAYMAN PASCAL

I look forward that answer if it is forthcoming. The notion of self-arising systems is something which haunts the periphery of these discussions. My fantasy is that we can devise a group protocol which so reliably and simply exceeds the cognitive capacity of the individual participants that it would be foolish to predetermine the purpose and nature of the group. Collectively we could a better job of determining what kind of a collective we should be. "Smartgroups" of this kind could then spread through the world in a very radical social uprising. How possible that is remains uncertain...

As I understand holacracy, the different companies making use of it are assumed to engage in their own mutational modifications of the "constitution". So even if Brian wrote the whole thing out in his bathtub it still retains an open source quality. The answer to whether its current forms are or are not the result of distributed decision-making is almost certainly: sort of.

One of the reasons the holacracy approach is so amenable to business organization is that it seems to depend upon the functional axis of a specified purpose. The aim is somewhat pregiven -- our job is to sell widgets or maximize share-holder profit, etc. His use of the metaphor of the sensors on an airplane derives from a mechanism that is assumed to be designed for a well-known purpose.

My question would be whether or not this "aim" is a necessarily functional element in generating enhanced organizational capacity? Or whether it is simply an artifact of the need to make these systems serve a relatively conventional marketplace task?

THEURJ

Your suggestion of a smart group that arises creatively from a continually evolving set of parameters seems to be the intent and practice of holacracy. As to the organizational purpose of Holacracy One, it seems to have multiple bottom lines including but not limited to profit. For example, see this post in the comments where I noted that the top to bottom pay ratio is 3 to 1, and quoted some of those multiple purposes:

"With Holacracy at play, the game is entirely different: with the decentralization of authoritythe separation of people and role, and the dynamic evolution of those roles, we end up with a situation that looks more like free agents going about their work with no central planning. There might not even be a single person who knows about everything you do."

This sounds much more like the sort of emerging P2P organizational structure discussed throughout this thread. And also of significance in the post following this article where The Integral Center of Boulder has "voluntarily relinquished their rights to control their company as owners. Instead, they have ceded authority to a purpose-centered governance process called Holacracy, a model that distributes authority across the organization and gives primary power to the organization itself."

These are indeed advances over the kind of conscious capitalism promoted and AQALly packaged for sale at I-I.

LAYMAN PASCAL

(comment pending)

This is an interesting moment. Apparently Amazon.com is experimenting with a version of holacracy as well. It clearly represents a theoretical advance over the typical kind of conscious capitalism which combines advanced sentiments with a potentially dangerous and uninspected ideological allegiance to more primitive routines of social organization and wealth production. Yet we cannot know the results of the experiment in advance.

I have tremendous optimism about emergent p2p organizational structures. Experimentation is utterly necessary and should be strongly encouraged. I am also very hopeful that advances can be made in terms of quantification. This is very central in my thinking lately.

It seems that experimental protocols for advances social organization systems suffer from the lack of a quantifiable evaluation of their respective degrees of "collective intelligence". Most people are drawn to such possibilities by ethical and aesthetic criteria which do no necessarily persuade the world. So I would love to see experimentation supplemented by the attempt to devise a metric for estimating the intelligence of a social organization protocol.

Along similar lines, my "tetrabucks" type notions represent the possibility/necessity to structure our currency at a level that correlates to advanced P2P organizational structures and post-pluralistic consciousness.

The potential of an evil holacracy has hardly been broached. If it works -- it works. Other than simply the tendency of less complex people not to use more complex systems, and the tendency of more complex systems to complexify their participants, there needs to be some inter-organizational structures which incline all organizations int he direction of broad human well-being. It is my assertion that as long as primary areas of value remain outside monetization the actions of groups trying to utilize official social credits will constantly become unstable.

So I am imagining a line leading from pathological capitalism to standard capitalism to conscious capitalism to trans-capitalist network organizations to such organizations bound together by a integrated set of metrics for determining the intelligence of groups and splicing together (at least) four broad domains of human value.

Along these lines -- how will we decide whether holacratic integral business is working better?

THEURJ

As to how we determine whether alternative economic paradigms are 'working,' I'd suggest that even by the standards of typical business democratic workplaces like co-ops are successful. If by that we mean the organization runs smoothly, has low employee turnover, high employee satisfaction, makes a profit or surplus over operating costs, and other such typical measures. Plus they fulfill their stated purposes as expressed in theRochdale principles, like community education, cooperation, democratic control, etc.

I'd say the same applies to holacracy. They also have to accomplish the usual business parameters like above but also meet stated principles like in their constitution. Given Robertson's business acumen I'm sure at the site he has precise and measurable indices to track such progress, though I didn't try to find them as yet.

LAYMAN PASCAL

(comment pending)

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A blog from Otto Scharmer on collective mindfulness and economic evolution.

I really like the Otto Scharmer post, thanks for the link!

See my post in the Scharmer thread. As to enlightened leadership I disagree.

I posted this Sam Harris blog at FB concerning the greedy rich. Here are a few excerpts of his follow-up post:

"It is difficult to ignore the responsibility that Ayn Rand bears for all of this. [...] As someone who has written and spoken at length about how we might develop a truly 'objective' morality, I am often told by followers of Rand that their beloved guru accomplished this task long ago. The result was Objectivism—a view that makes a religious fetish of selfishness and disposes of altruism and compassion as character flaws. If nothing else, this approach to ethics was a triumph of marketing, as Objectivism is basically autism rebranded."

"And I say this as someone who considers himself, in large part, a 'libertarian'—and who has, therefore, embraced more or less everything that was serviceable in Rand’s politics. The problem with pure libertarianism, however, has long been obvious: We are not ready for it. Judging from my recent correspondence, I feel this more strongly than ever. There is simply no question that an obsession with limited government produces impressive failures of wisdom and compassion in otherwise intelligent people."

"There is a stunning lack of insight into the unfolding of human events that passes for moral and economic wisdom in some circles. And it is pernicious. Followers of Rand, in particular, believe that only a blind reliance on market forces and the narrowest conception of self interest can steer us collectively toward the best civilization possible and that any attempt to impose wisdom or compassion from the top—no matter who is at the top and no matter what the need—is necessarily corrupting of the whole enterprise. This conviction is, at the very least, unproven. And there are many reasons to believe that it is dangerously wrong."

Well, in this particular case, Sam has almost redeemed himself from his terrible analysis of Islam ( yes, a religion with many serious problems). I share his criticism of objectivism and share his own proclivity to salvaging some of the more sane aspects of that philosophy ( what I might call soft libertarianism). I might point out that America is not the example of a country that has multiple Jesus' and Buddha's at the financial helm. The Randian elites are deluded. That is NOT what a society of highly liberated people looks like. 

I might point out to Sam though, that it's fairly easy to see why money isn't being spent on renewal within our societies: because all the charts say that the largest percentage of public money is going to blow up muslims. Sam thinks muslims shouldn't have a problem with this although fortunately Dawkins recently conceded that that might be a problem, too!

Can capitalism and democracy co-exist? See Chris Hedges' interview of Sheldon Wolin here. A few Wolin excerpts follow:

"There's been a kind of conjuncture between the way that social and educational institutions have shaped a certain kind of mentality among students, among faculty, and so on, and the media itself, that are in lockstep with the requirements of the kind of political economic order that we have now, and that the basic question, I think, has been that we have seen the kind of absorption of politics and the political order into so many nonpolitical categories--of economics, sociology, even religion--that we sort of lost the whole, it seems to me, unique character of political institutions, which is that they're supposed to embody the kind of substantive hopes of ordinary people, in terms of the kind of present and future that they want. And that's what democracy is supposed to be about."

"Nietzsche was trying to really retrieve a notion of the value, intrinsic value, of political life. And he found it, however, only comprehensible to him in terms of some kind of dichotomy between elite and mass. [...] Nietzsche would inevitably try to turn into vehicles for celebrating or encouraging elite formations. And he simply could not conceive of a society that would be worthwhile in which elites were not given the most prominent and leading role. He just couldn't conceive it. He had the kind of 19th century sort of Hegelian notion that the masses were ignorant, they were intolerant, they were against progress, and all the rest of it. He simply, like so many very good writers in the 19th century, didn't know what to do with the, quote, people."

"The best political movement, I think, which did try to understand them in a significant way, strangely enough, was the American progressive movement, which was very much rooted in American history, in American institutions, but saw quite clearly the dangers that it was getting into and the need for really significant reform that required democratic means, not elitist means, for their solution."

"The Koch brothers purchase[d] [...] the Republican Party. They literally bought it. Literally. And they had a specific amount they paid, and now they've got it. There hasn't been anything like that in American history. To be sure, powerful economic interests have influenced political parties, especially the Republicans, but this kind of gross takeover, in which the party is put in the pocket of two individuals, is without precedent. And that means something serious. It means that, among other things, you no longer have a viable opposition party. And while however much many of us may disagree with the Republicans, there is still an important place for disagreement. And now it seems to me that's all gone. It's now become a personal vehicle of two people. And God only knows what they're going to do with it, but I wouldn't hold my breath if you think constructive results are going to follow."

An extended excerpt here from Naomi Klein's book This Changes Everything: Capitalism versus the Climate. A smidgen:

"I denied climate change for longer than I care to admit. I knew it was happening, sure. Not like Donald Trump and the Tea Partiers going on about how the continued existence of winter proves it’s all a hoax. But I stayed pretty hazy on the details and only skimmed most of the news stories, especially the really scary ones. I told myself the science was too complicated and that the environmentalists were dealing with it. And I continued to behave as if there was nothing wrong with the shiny card in my wallet attesting to my 'elite' frequent flyer status.

"A great many of us engage in this kind of climate change denial. We look for a split second and then we look away. Or we look but then turn it into a joke ('more signs of the Apocalypse!'). Which is another way of looking away.

"Or we look but tell ourselves comforting stories about how humans are clever and will come up with a technological miracle that will safely suck the carbon out of the skies or magically turn down the heat of the sun. Which, I was to discover while researching this book, is yet another way of looking away."

"Or we look but tell ourselves that all we can do is focus on ourselves. Meditate and shop at farmers’ markets and stop driving—but forget trying to actually change the systems that are making the crisis inevitable because that’s too much 'bad energy' and it will never work. And at first it may appear as if we are looking, because many of these lifestyle changes are indeed part of the solution, but we still have one eye tightly shut."

Chapter One of Robert McChesney's book on a post-capitalist society is here. An excerpt:

"In the coming decades we are almost certainly going to see a society the likes of which has never existed and can scarcely be imagined. I argue in this book that if that new society is going to be one in which we want to live, it will require fundamental change in the political economy. Capitalism as we know it has got to go."

More:

"As Noam Chomsky put it, if you act like social change for the better is impossible, you guarantee it will be impossible. That is the choice we all have to make when we look into the mirror. Pessimism is self-fulfilling; it is no way to live."

"What do I mean by post-capitalist democracy? I mean a society expressly committed to democratic practices first and foremost, and one that directly addresses the ways that really existing capitalism is inimical to democracy, human freedom, and ecological sustainability. I use the term "really existing capitalism" for a reason. I refer to the capitalism of massive corporations, commercial propaganda, political corruption, obscene inequality, poverty, stagnation, militarism, and endless greed. That capitalism, the one people actually experience, is the main impediment to democracy in the United States today.I am not therefore referring to the classroom fantasy of capitalism as a bunch of heroic little-guy entrepreneurs competing for the betterment of consumers, and creating jobs in the communities they inhabit. This is the 'free market' system of public relations missives and politicians' blarney."

And this is particularly important for those who think we can't do anything about it:

"Many liberals who wish to reform and humanize capitalism are uncomfortable with seemingly radical movements, and often work to distance themselves from them, lest respectable people in power cast a withering eye at them. 'Shhh,' they say to people like me. 'If we antagonize or scare those in power we will lose our seat at the table and not be able to win any reforms.' Yet these same liberal reformers often are dismayed at how they are politically ineffectual. Therein lies a great irony, because to enact significant reforms requires a mass movement (or the credible prospect of a mass movement) that does indeed threaten the powerful. The influence of mild reformers rises greatly when people in power look out the window and see a million people demonstrating. If there is an iron law of politics, this is it.

"People in power certainly know this. Nothing frightens them like popular uprisings they do not and cannot control. For that reason, cynicism and political apathy are generally encouraged in the United States. It is not a fluke that voter turnout in the United States is well below that of nearly every other nation in the world. In the 1970s, on the heels of the popular uprisings of that era, people in power spoke candidly (to each other) about the need to have young people and the dispossessed return to apathy. Much of their work since then has been to achieve that goal. When we tune out politics, when we abandon hope, we aren't being cool or hip or ironic or even realistic—we are being played.

"This elite fear of genuine democracy should encourage all those dedicated to building a more humane and sustainable post-capitalist democracy. Those atop the system know we have the numbers on our side. They know the system is rigged for them, and they want to keep it that way. They know they cannot win a fair fight. Hence billionaires' energy goes to matters like wholesale voter suppression and flooding election campaigns with unlimited secretive spending. They must feed the machinery of pessimism and despair because they know they cannot defeat an aroused citizenry. That tells me that if we do effective organizing it will be like planting a seed in rich Iowa topsoil. Put this way, I like our chances. I like them a lot."

While the N.A. left wet dreams about things like proportional representation and mandatory voter turnout wishfully thinking that implementing these progressive ideas would change the economic system; we already know Australia has these ideas in place and they haven't made a bit of difference in stopping the neoliberal global juggernaut . This shouldn't be surprising. We know that programmers who control the algorithms and parameters of a game can make it so those playing have no chance of playing the game in any other way then how the programmers want it played; in this case global casino capitalism, a system that doesn't understand boundaries, or worse, is contemptuous of them. Here is a very lovely guru talking about neoliberalism in India: 

If neoliberalism were a picture: 

Definitely things to like about her; the thing is though, when she opens her mouth to speak it is that of a six year old. Can we have a relationship? Hell, yes! But this will not end well. 

Which reminds of that old fable of what happens when the neoliberal meets Gautama on the side of the rode: yes, he buries the dead body; then co-opts some of the ideas; privatizes them into intellectual property , and tries to make a profit from them. -

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