The Biggest Threat To Workplace Consultants? Workplace Democracy.

September 24, 2012

[Editors note: Scott Trumbull is one of The Working World’s loan-agents at our international office in León, Nicaragua. Since starting with TWW just under two years ago, Scott has worked with dozens of worker cooperatives.]

 

Nicaragua officeEarlier this month, Kevin Burns, the “Workplace Expert,” posted a critique on his blog about Why Worker Self-Management Won’t Work.   Having worked with dozens of successful worker-run businesses in Argentina, Nicaragua, and the U.S., we couldn’t help but ask ourselves:  What could be going through this guy’s head?  Then suddenly, it hit me—If more companies became worker-owned and -managed, Burns would probably be out of a job.

 

Here’s why:

1.)   Cooperative workplaces are more efficient.  Their purpose is not just to remove the “boss says so” mentality.  They are also designed to incentivize workers.  Unlike contracted employees, worker-owners actually make what they deserve.  If they produce more and better-quality products, they make more money.  This makes for a harder-working, more productive workplace (with or without a costly motivational speech from The Workplace Expert).

 

2.)   Worker ownership and self-management also significantly reduce the amount of money a company spends on monitoring the workplace and hiring consultants (like Kevin Burns).  This is primarily because workers have real-time access to information about workplace inefficiencies that managers do not.  If something is inhibiting the productive process, worker-owners will resolve it quickly—because their salaries depend on it.

 

3.)   Finally, democratic workplaces foster exactly the type of managerial leadership that Burns describes.  Burns is right on this one.  Workers need a good coach.  Unfortunately, managers in private companies don’t always maintain the most supportive or productive relationships with their workers (just think of your last nightmare boss…).  In self-managed firms, however, managers are elected by the workforce, which means they’ll almost always be relatable to and respected by their fellow employees.

 

So, let’s face it.  Kevin Burns isn’t against worker self-management because “it will fail.”  After all, some of the most productive industrial complexes in Europe are worker-run (i.e. Mondragon in Spain, Emilia-Romagna in Italy, etc.).   He’s against it because democratizing business has the potential to revolutionize the workplace and make his job totally obsolete.  But no hard feelings, Kevin; we wish you the best of luck.  From what we have seen in our seven short years of experience, you’re going to need it.

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