ABSTRACT

In 2006, the CEO and Chairman of Yahoo! at the time, Terry Semel, presided over what would prove to be just one of a series of reorganisations. CEOs tend to believe that structure has a significant, perhaps even the most significant impact on organisational decision making, and therefore success. If there are too many decision points, the decisions take too long; not enough, and they may not be made at all. Organisational decisions are rarely made in isolation. Decisions are made by layers of management at each level of the hierarchy, decision nodes. A senior management team, answerable to the board of directors and shareholders, sits at the top of the pyramid. A single set of lines and boxes flowing vertically to communicate reporting lines, seniority, knowledge, authority and decision making responsibilities. The role of the manager in networked decision making is either one of fiscal stewardship or organising for success, rather than posturing for power.