HR Software
Exponential organization for personnel management
Discover and learn all the features and definitions related to exponential organization and start applying it in your business.
HR Software
Discover and learn all the features and definitions related to exponential organization and start applying it in your business.
Isabel García
HR Consultant
17 of February, 2025
A few years ago, companies like Facebook, Uber, Google, and Airbnb started with just a few employees and are now a part of our lives. With that said, it appears a new way of doing business has emerged, referred to by many as the ‘fourth industrial revolution’.
However, at their core, are examples of the increasingly popular exponential organization. In this post, we will discuss this term that is gaining more fame as the days go by. Continue reading.
An exponential organization is one that has a far greater output or impact, compared to its peers. This is due to new organizational techniques which leverage accelerating technologies. In short, it’s a company that grows faster, bigger, and more cost-effective than its competition, thanks to its massive transformative purpose that’s as fast as technology itself.
The purpose of Massive Transformation, is a higher and more aspirational purpose. It’s essentially about thinking big constantly. Examples like Google and TED show us the true ambition of these organizations, which face enormous challenges.
Currently, we often witness companies and organizations like Facebook, Airbnb, or Google being capable of increasing their workforce, up to a point of having hundreds of thousands of workers around the world while recording profits in the billions. Apart from that, these organizations can transform entire industries and completely change the rules of the current market.
Up to now, technologies have been developed that consistently improve year after year. The challenge we face today is to develop companies that in the same way, exponentially increase their income and benefits. As well as knowing how they can predict and adapt to environmental changes. These changes are derived from exponential technologies, also known as ‘accelerating technologies’.
If we take the time to analyze all of these attributes one by one, we will notice that the majority of organizations with a history of more than 10 years do not meet these conditions. Therefore, even if we think of larger businesses that have been constantly growing, they now face the risk of reducing their market share. They might even disappear completely in the medium or long term. Every company needs to anticipate and adapt to the changes that the industry will experience due to the high impact of accelerated technologies.
This phrase is difficult to address because, for many, dreaming of human resources being exponential sounds like a vain illusion. Though it’s not impossible, it’s important that we be critical of the role this area plays in companies. An approach that can help us is the one developed by Peter Diamandis, a founder of a university in Silicon Valley. This approach allows us to understand some aspects that question how people’s management should be transformed.