CONCLUSION

As we have seen, to create a peer-based organization from a rank-based one requires four conditions. First, the individuals in the organization must reject the myth of leadership and make peer-based thinking the common culture. Second, the organization must promote peer-based thinking through its design of peer-based leadership councils where senior executives adopt the role of mentors and internal consultants . Third, the changes must not be too disruptive ”using the Strategy Diamond model in preserving the old management structures while implementing peer-based thinking. Fourth, management must allow the peer councils to make the decisions in the seven key functions of leadership mentioned earlier (see p. 103).

A peer-based organization by my definition is one where participants have rejected the myth of leadership, practice peer-based thinking, and manage through peer-based leadership councils. There is no single best way to organize a peer-based company, and there will be as many different designs as there are for rank-based companies. No matter how it is ultimately organized, a peer-based organization will acquire competitive advantage over its rank-based rivals. In chapter 7, I discuss the strategy of peer-based thinking that makes this possible.