Sociocracy
Encyclopedia
Sociocracy is a system of governance, using consent-based decision making among equivalent individuals and an organizational structure based on cybernetic principles. The most recent implementation of sociocracy by Gerard Endenburg
, also known as Circular Organizing, was developed as a new tool for governance of private enterprise, but has been adopted in many different kinds of organizations including public, private, non-profit and community organizations as well as professional associations.
and Greek
words socius (companion) and kratein (to govern). It is English for the word sociocratie, coined in 1851 by Auguste Comte
, a French
positivist philosopher (who also derived the word sociology
from social physics) and later used by the U.S.
sociologist Lester Frank Ward
in a paper he wrote for the Penn Monthly in 1881 and later still by Dutchman
Kees Boeke
, who applied the concept to education. Sociocracy was the scheme of the proletariat in Comte's Positivist religion, while sociolatry was the women's, and sociology was that of the class of priests. The sociocracy was divided into the proletariat, who worked in the industry, and the patriciate, who directed the industry. The highest strata in the industry was the triumvirate of bankers. According to Comte, all of the proletariat would eventually merge with either the patriciate or the triumvirate. In a wider sense, sociocracy means the rule by the "socios," people who have a social relationship with each other - as opposed to democracy: rule by the "demos," the general mass of people.
Ward later expanded on the concept in his books Dynamic Sociology (1883) and The Psychic Factors of Civilization (1892). Ward, although rarely studied today, was very influential in his time and had a worldwide reputation as a groundbreaking sociologist. He believed that a highly educated public was essential if a country was to be governed effectively, and he foresaw a time when the emotional and partisan nature of present day politics would yield to a much more effective, dispassionate and scientifically-based discussion of issues and problems. Democracy would thus eventually evolve into a more advanced form of government, sociocracy.
updated and greatly expanded Ward's ideas in the mid-20th century by implementing the first sociocratic organizational structure in a school in Bilthoven, Netherlands which exists to this day: the Children's Community Workshop(Werkplaats Kindergemeenschap). Boeke saw sociocracy (in Dutch
: Sociocratie) as a form of governance
or management
that presumes equality of individuals and is based on consent. This equality is not expressed with the 'one man, one vote' law of democracy
but rather by a group of individuals reasoning together until a decision is reached that is satisfactory to each one of them.
To make sociocratic ideals operational, Boeke used a system of circles to organise decision-making within a large organisation. Members of each circle were responsible for decisions within their domain. Rather than using ever larger circles to make decisions affecting more than one domain, each circle elected representatives to a "higher" circle. Use of representatives maintained the efficiency of a hierarchy while maintaining basic equivalence of the members of the organization.
, a former student of Boeke, further developed and applied Boeke's principles in the electrical engineering company he took over from his parents. As an engineer, Endenburg added the understandings of physics, cybernetics, and systems thinking to the social, political, and educational theories of Comte, Ward, and Boeke. This resulted in a formal organizational method, named the "Sociocratische Kringorganisatie Methode" (Sociocratic Circular Organizing Method).
Challenged by Boeke, Gerard Endenburg first applied Boeke's principles and over the period of a decade, developed governance principles designed for a business. Later he extended these principles toward applications in all kinds of organizations. Sociocratic governance principles apply to policy decisions within an organization, those that pertain to the allocation of resources and the constraints of operational decisions. The circle determines how the day-to-day operational decisions will be made. The operational leader is then responsible for applying these policies in managing the functioning of the department or group.
Endenburg's policy decision-making method is composed of four key design principles:
Decision Making on Policy Issues by Consent. Decisions are made when there are no remaining "paramount objections", that is, when there is informed consent
from all participants. Objections must be reasoned and argued and based on the ability of the objector to work productively toward the goals of the organization. All policy decisions are made by consent although the group may by consent decide to use another decision-making method. Within these policies, day-to-day operational decisions are normally made in the traditional manner.
Organizing in Circles. The sociocratic organization is composed of a hierarchy of semiautonomous circles. This hierarchy, however, does not constitute a power structure as autocratic hierarchies do. Each circle has the responsibility to execute, measure, and control its own processes in achieving its goals. It governs a specific domain of responsibility within the policies of the larger organization. Circles are also responsible for their own development and for each member's development. Often called "integral education," the circle and its members are expected to determine what they need to know to remain competitive in their field and to reach the goals of their circle.
Double-Linking. Circles are connected to the next higher circle by a double link composed of the operational leader and a circle representative. These two linkages function as full members in the decision-making of both their circle and the next higher circle. The operational leader of a circle is selected by the next higher circle and represents the larger organization in the circle's decision-making. A representative is selected by the circle to represent the circle interests in the next higher circle.
At the highest level of the organization, there is a “top circle”, similar to a Board of Directors, that connects the organization to its environment. Typically these members include representatives with expertise in law, government, finance (including investors), community, and the organization's mission. The top circle also includes the CEO and at least one representative of the general management circle. Each of these circle members participate fully in decision-making in the top circle.
Elections by Consent. Individuals are elected to roles and responsibilities in open discussion using the same consent criteria used for other policy decisions. Members of the circle nominate themselves or other members of the circle and present reasons for their choice. After discussion, people can (and often do) change their nominations, and the discussion leader will suggest the election of the person for whom there are the strongest arguments. Circle members may object and there is further discussion. For a role that many people might fill, this discussion may continue for a few rounds. For others, this process is short when fewer people are qualified for the task. The circle may also decide to choose someone who is not a current member of the circle.
These four principles are requirements for an organization to function sociocratically, because they are interdependent, each one supporting the successful application of the others.
In addition to these four principles, sociocratic organizations apply the circular feedback process of directing-doing-measuring to the design of work processes, and in business organizations, compensation is based on a market rate salary plus long-term and short-term payments based on the success of the circle. With the exception of proprietary knowledge, all financial transactions and policy decisions are transparent to members of the organization and to their clients.
Sociocratic Center. Endenburg founded the Sociocratisch Centrum in Rotterdam, The Netherlands to promote the growth of sociocracy. Today, the Centrum provides certification to sociocratic practitioners and heads an international consulting organization with offices in Europe, North America, and Australia.
(at Maastricht University respectively Eindhoven University of Technology); see for example: Romme & Endenburg (2006).
Sociocratic principles are now applied around the world. These include corporations, small businesses, nursing homes, colleges, ecovillage
s and cohousing
communities, private schools, and international professional and educational membership organizations. Examples of this variety are organizations such as the Boeddhistische Omroep Stichting, the Buddhist Broadcasting Foundation, (BOS) in the Netherlands; Living Well - an award winning long-term health care center in Vermont; the Eco-Village of Loudoun County in Virginia - a cohousing community; Creative Urethanes - a manufacturer of skateboard wheels and urethane parts in Winchester, Virginia. Sociocratic principles have also been applied in higher education
, for exampe, the School of Media, Culture, and Design of Woodbury University, Burbank, California; Institute Francais, University of Regina, Saskatchewan, Canada,Yukon College in Whitehorse, and others.
Gerard Endenburg
Gerard Endenburg is a Dutch entrepreneur, who developed a governance model for organizations that draws on equivalence and cybernetics. This model is inspired by the idea of sociocracy of Kees Boeke.-Biography:...
, also known as Circular Organizing, was developed as a new tool for governance of private enterprise, but has been adopted in many different kinds of organizations including public, private, non-profit and community organizations as well as professional associations.
Origins
The word sociocracy is derived from the LatinLatin
Latin is an Italic language originally spoken in Latium and Ancient Rome. It, along with most European languages, is a descendant of the ancient Proto-Indo-European language. Although it is considered a dead language, a number of scholars and members of the Christian clergy speak it fluently, and...
and Greek
Greek language
Greek is an independent branch of the Indo-European family of languages. Native to the southern Balkans, it has the longest documented history of any Indo-European language, spanning 34 centuries of written records. Its writing system has been the Greek alphabet for the majority of its history;...
words socius (companion) and kratein (to govern). It is English for the word sociocratie, coined in 1851 by Auguste Comte
Auguste Comte
Isidore Auguste Marie François Xavier Comte , better known as Auguste Comte , was a French philosopher, a founder of the discipline of sociology and of the doctrine of positivism...
, a French
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
positivist philosopher (who also derived the word sociology
Sociology
Sociology is the study of society. It is a social science—a term with which it is sometimes synonymous—which uses various methods of empirical investigation and critical analysis to develop a body of knowledge about human social activity...
from social physics) and later used by the U.S.
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
sociologist Lester Frank Ward
Lester Frank Ward
Lester F. Ward was an American botanist, paleontologist, and sociologist. He served as the first president of the American Sociological Association.-Biography:...
in a paper he wrote for the Penn Monthly in 1881 and later still by Dutchman
Netherlands
The Netherlands is a constituent country of the Kingdom of the Netherlands, located mainly in North-West Europe and with several islands in the Caribbean. Mainland Netherlands borders the North Sea to the north and west, Belgium to the south, and Germany to the east, and shares maritime borders...
Kees Boeke
Kees Boeke
Cornelis Boeke was a Dutch reformist educator, Quaker missionary and pacifist. He is best known for his popular essay/book Cosmic View which presents a seminal view of the universe, from the galactic to the microscopic scale, and inspired several films.Boeke tried to renovate education by letting...
, who applied the concept to education. Sociocracy was the scheme of the proletariat in Comte's Positivist religion, while sociolatry was the women's, and sociology was that of the class of priests. The sociocracy was divided into the proletariat, who worked in the industry, and the patriciate, who directed the industry. The highest strata in the industry was the triumvirate of bankers. According to Comte, all of the proletariat would eventually merge with either the patriciate or the triumvirate. In a wider sense, sociocracy means the rule by the "socios," people who have a social relationship with each other - as opposed to democracy: rule by the "demos," the general mass of people.
Ward later expanded on the concept in his books Dynamic Sociology (1883) and The Psychic Factors of Civilization (1892). Ward, although rarely studied today, was very influential in his time and had a worldwide reputation as a groundbreaking sociologist. He believed that a highly educated public was essential if a country was to be governed effectively, and he foresaw a time when the emotional and partisan nature of present day politics would yield to a much more effective, dispassionate and scientifically-based discussion of issues and problems. Democracy would thus eventually evolve into a more advanced form of government, sociocracy.
20th century
The Dutch pacifist, educator, and peace worker, Kees BoekeKees Boeke
Cornelis Boeke was a Dutch reformist educator, Quaker missionary and pacifist. He is best known for his popular essay/book Cosmic View which presents a seminal view of the universe, from the galactic to the microscopic scale, and inspired several films.Boeke tried to renovate education by letting...
updated and greatly expanded Ward's ideas in the mid-20th century by implementing the first sociocratic organizational structure in a school in Bilthoven, Netherlands which exists to this day: the Children's Community Workshop(Werkplaats Kindergemeenschap). Boeke saw sociocracy (in Dutch
Dutch language
Dutch is a West Germanic language and the native language of the majority of the population of the Netherlands, Belgium, and Suriname, the three member states of the Dutch Language Union. Most speakers live in the European Union, where it is a first language for about 23 million and a second...
: Sociocratie) as a form of governance
Governance
Governance is the act of governing. It relates to decisions that define expectations, grant power, or verify performance. It consists of either a separate process or part of management or leadership processes...
or management
Management
Management in all business and organizational activities is the act of getting people together to accomplish desired goals and objectives using available resources efficiently and effectively...
that presumes equality of individuals and is based on consent. This equality is not expressed with the 'one man, one vote' law of democracy
Democracy
Democracy is generally defined as a form of government in which all adult citizens have an equal say in the decisions that affect their lives. Ideally, this includes equal participation in the proposal, development and passage of legislation into law...
but rather by a group of individuals reasoning together until a decision is reached that is satisfactory to each one of them.
To make sociocratic ideals operational, Boeke used a system of circles to organise decision-making within a large organisation. Members of each circle were responsible for decisions within their domain. Rather than using ever larger circles to make decisions affecting more than one domain, each circle elected representatives to a "higher" circle. Use of representatives maintained the efficiency of a hierarchy while maintaining basic equivalence of the members of the organization.
In Contemporary Practice
In the 1970s, Gerard EndenburgGerard Endenburg
Gerard Endenburg is a Dutch entrepreneur, who developed a governance model for organizations that draws on equivalence and cybernetics. This model is inspired by the idea of sociocracy of Kees Boeke.-Biography:...
, a former student of Boeke, further developed and applied Boeke's principles in the electrical engineering company he took over from his parents. As an engineer, Endenburg added the understandings of physics, cybernetics, and systems thinking to the social, political, and educational theories of Comte, Ward, and Boeke. This resulted in a formal organizational method, named the "Sociocratische Kringorganisatie Methode" (Sociocratic Circular Organizing Method).
Challenged by Boeke, Gerard Endenburg first applied Boeke's principles and over the period of a decade, developed governance principles designed for a business. Later he extended these principles toward applications in all kinds of organizations. Sociocratic governance principles apply to policy decisions within an organization, those that pertain to the allocation of resources and the constraints of operational decisions. The circle determines how the day-to-day operational decisions will be made. The operational leader is then responsible for applying these policies in managing the functioning of the department or group.
Endenburg's policy decision-making method is composed of four key design principles:
Decision Making on Policy Issues by Consent. Decisions are made when there are no remaining "paramount objections", that is, when there is informed consent
Informed consent
Informed consent is a phrase often used in law to indicate that the consent a person gives meets certain minimum standards. As a literal matter, in the absence of fraud, it is redundant. An informed consent can be said to have been given based upon a clear appreciation and understanding of the...
from all participants. Objections must be reasoned and argued and based on the ability of the objector to work productively toward the goals of the organization. All policy decisions are made by consent although the group may by consent decide to use another decision-making method. Within these policies, day-to-day operational decisions are normally made in the traditional manner.
Organizing in Circles. The sociocratic organization is composed of a hierarchy of semiautonomous circles. This hierarchy, however, does not constitute a power structure as autocratic hierarchies do. Each circle has the responsibility to execute, measure, and control its own processes in achieving its goals. It governs a specific domain of responsibility within the policies of the larger organization. Circles are also responsible for their own development and for each member's development. Often called "integral education," the circle and its members are expected to determine what they need to know to remain competitive in their field and to reach the goals of their circle.
Double-Linking. Circles are connected to the next higher circle by a double link composed of the operational leader and a circle representative. These two linkages function as full members in the decision-making of both their circle and the next higher circle. The operational leader of a circle is selected by the next higher circle and represents the larger organization in the circle's decision-making. A representative is selected by the circle to represent the circle interests in the next higher circle.
At the highest level of the organization, there is a “top circle”, similar to a Board of Directors, that connects the organization to its environment. Typically these members include representatives with expertise in law, government, finance (including investors), community, and the organization's mission. The top circle also includes the CEO and at least one representative of the general management circle. Each of these circle members participate fully in decision-making in the top circle.
Elections by Consent. Individuals are elected to roles and responsibilities in open discussion using the same consent criteria used for other policy decisions. Members of the circle nominate themselves or other members of the circle and present reasons for their choice. After discussion, people can (and often do) change their nominations, and the discussion leader will suggest the election of the person for whom there are the strongest arguments. Circle members may object and there is further discussion. For a role that many people might fill, this discussion may continue for a few rounds. For others, this process is short when fewer people are qualified for the task. The circle may also decide to choose someone who is not a current member of the circle.
These four principles are requirements for an organization to function sociocratically, because they are interdependent, each one supporting the successful application of the others.
In addition to these four principles, sociocratic organizations apply the circular feedback process of directing-doing-measuring to the design of work processes, and in business organizations, compensation is based on a market rate salary plus long-term and short-term payments based on the success of the circle. With the exception of proprietary knowledge, all financial transactions and policy decisions are transparent to members of the organization and to their clients.
Sociocratic Center. Endenburg founded the Sociocratisch Centrum in Rotterdam, The Netherlands to promote the growth of sociocracy. Today, the Centrum provides certification to sociocratic practitioners and heads an international consulting organization with offices in Europe, North America, and Australia.
Advantages
Consent as defined and practiced in sociocratic organizations is a more efficient and effective decision-making method than autocratic decision-making, because it builds trust and understanding. The process educates the participants about the needs of the other members in doing their work effectively as well as their psychological and social needs as human beings. In addition to reducing friction, the well-defined, information-based, and highly disciplined process helps the group stay focused and move swiftly through examining an issue and actual decision-making. The main advantages of adopting the sociocratic approach have been extensively studied, especially in collaboration with professor Georges RommeGeorges Romme
A. Georges L. Romme is a Dutch organizational theorist and professor of entrepreneurship and innovation at the Eindhoven University of Technology.- Biography :...
(at Maastricht University respectively Eindhoven University of Technology); see for example: Romme & Endenburg (2006).
Sociocratic principles are now applied around the world. These include corporations, small businesses, nursing homes, colleges, ecovillage
Ecovillage
Ecovillages are intentional communities with the goal of becoming more socially, economically and ecologically sustainable. Some aim for a population of 50–150 individuals. Larger ecovillages of up to 2,000 individuals exist as networks of smaller subcommunities to create an ecovillage model that...
s and cohousing
Cohousing
A cohousing community is a type of intentional community composed of private homes supplemented by shared facilities. The community is planned, owned and managed by the residents – who also share activities which may include cooking, dining, child care, gardening, and governance of the...
communities, private schools, and international professional and educational membership organizations. Examples of this variety are organizations such as the Boeddhistische Omroep Stichting, the Buddhist Broadcasting Foundation, (BOS) in the Netherlands; Living Well - an award winning long-term health care center in Vermont; the Eco-Village of Loudoun County in Virginia - a cohousing community; Creative Urethanes - a manufacturer of skateboard wheels and urethane parts in Winchester, Virginia. Sociocratic principles have also been applied in higher education
Thesis circle
A thesis circle involves a number of students and at least one professor, lecturer or instructor who collaborate in supervising and coaching final projects...
, for exampe, the School of Media, Culture, and Design of Woodbury University, Burbank, California; Institute Francais, University of Regina, Saskatchewan, Canada,Yukon College in Whitehorse, and others.
External resources
- "The Creative Forces of Self-Organization" by John Buck and Gerard Endenburg, 20 pages, free .pdf download.
- RommeGeorges RommeA. Georges L. Romme is a Dutch organizational theorist and professor of entrepreneurship and innovation at the Eindhoven University of Technology.- Biography :...
, A.G.L., and G. Endenburg (2006). "Construction Principles and Design Rules in the Case of Circular Design." Organization Science, vol. 17 (2): 287-297.
- Romme, A.G.L., "Domination, self-determination and circular organizing." Organization Studies, vol. 20 (1999): 801-832.
- Romme, A.G.L. (1997). "Work, Authority, and Participation: The Scenario of Circular Organizing." Journal of Organizational Change Management, vol. 10 (2): 156-166.
- Romme, A.G.L. & A. van Witteloostuijn (1999). "Circular organizing and triple loop learning." Journal of Organizational Change Management, vol. 12 (5): 439-453.