Christopher Ho Profile picture
Jun 24 17 tweets 5 min read Read on X
A $5 billion company has operated for 65 years with ZERO managers.

Employees hire their own colleagues, rank each other for compensation, and choose their own projects.

This company has never had a loss-making year since 1958.

Thread Image
W.L. Gore is a material science company with 13,000+ employees holding 1,000+ patents.

Your Gore-Tex jacket, medical implants, and guitar strings? All made by workers who report to no one.

And they have achieved that with ZERO management layers.

The question is how? Image
The foundation of Gore's system is the "Lattice Organization."

Every January, workers don't get assignments—they negotiate commitments with teammates who depend on their work.

These aren't suggestions. They're sacred promises between peers. Image
Their structure contains zero management layers between the CEO and front-line workers.

A chemical engineer's commitment might read:

"I will deliver 3 new polymer prototypes by Q3, tested to 10,000-cycle durability."

All 11,000 workers' commitments are visible company-wide. Image
Performance accountability happens through peer review from 20-30 colleagues who actually know your work.

No place to hide poor performance and no manager needed to enforce standards.

Your teammates—who depend on your output—apply the pressure directly.
When a medical device engineer needs equipment, they don't submit a requisition form.

They buy it.

When production needs a $2M machine?
Same thing. No VP signature required.
Even hiring has no central authority.

Teams who feel overburdened simply decide to recruit someone. The entire group interviews candidates.

New hires are selected by unanimous agreement of people who'll actually work with them.

There is no HR department giving orders. Image
Their conflict resolution process is explicit:

• Direct conversation between associates
• Peer mediation
• Panel of respected colleagues
• CEO as final arbiter

The CEO is called in so rarely that most employees have never seen it happen.
Compensation works through a genuinely radical system:

Associates are ranked by 20-30 peers who evaluate each person's contribution.

Your worth is determined by colleagues who've worked directly with you.
No boss decides your raise. Image
But why don't more companies copy this?

Most executives simply aren't willing to give up what Bill Gore called "the command-and-control addiction."

Most have careers built on climbing the hierarchy, not eliminating it. Image
W.L. Gore has NEVER had a losing year since 1958.

While paying above industry wages and eliminating the "management tax" that burdens competitors with 7-9 hierarchy layers.

Their secret? The famous "Rule of 150."
During every major expansion, Gore split facilities at 150 people maximum.

Bill Gore's method: "Put 150 parking spaces in the lot. When people start parking on grass, build a new plant."

This keeps peer networks tight enough for natural accountability. Image
Gore's system expose a delgeation system.

When you give people complete freedom with peer accountability, they don't become chaotic—they become more disciplined.

In their system, one broken commitment impacts teammates directly, creating natural regulation.
Two crucial elements make their system possible:

Radical transparency, where all business data flows freely between associates.

And a culture where "commitments are sacred" is treated as non-negotiable.

These create natural regulation that replaces supervisor oversight.
So what's the lesson here?

Effective delegation doesn't mean assigning tasks to people.

It means giving them authority, resources, and decision rights, then building peer accountability systems that turn hierarchy into mutual commitments.

This is level 5 of delegation. Image
That's why Athena has built everything you'd ever need for delegation.

Instead of just giving you an EA, we help you with every step of the process.

You can check us out here:
athena.com/?utm_source=tw…
If you found this thread valuable:

1. Follow me @chr1stopherHo for more threads on entrepreneurship and delegation.

2. RT the linked tweet to spread the word.

• • •

Missing some Tweet in this thread? You can try to force a refresh
 

Keep Current with Christopher Ho

Christopher Ho Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @Chr1stopherHo

Jun 17
For the first time in history, the US is facing a scientist brain drain.

After Trump decided to cut 56% of the NSF budget, China launched a $500B science program to "steal" scientists.

How China is silently replacing US in the science war: 🧵 Image
Let's go back to WWII.

Vannevar Bush (Roosevelt's advisor) convinced him that wars would be won by advanced tech, not just weapons.

Bush proposed that instead of having government labs build the weapons, they should give universities massive amounts of money to figure it out. Image
Image
Bush convinced 10,000 scientists to work in university labs instead of getting drafted.

MIT, Harvard, Johns Hopkins, Caltech - they all became weapons factories.

And the results were revolutionary...
Read 17 tweets
Jun 5
A Swedish bank lets branch managers approve million-dollar loans without asking anyone.

They've had ZERO bailouts in 150 years, crushed every competitor for 52 years, and employees own more shares than any other investor.

This shouldn't work, but it does 🧵 Image
But first, let's go back to 1970...

Handelsbanken was on the verge of dying.

The CEO had just resigned over a foreign exchange scandal, and a tiny regional bank was stealing customers left and right. Image
So they hired Jan Wallander - a complete outsider.

Wallander came up with a bizarre plan: Remove headquarters control entirely

He wanted to give every branch the power to run like an independent bank.

This was unlike anything anyone had heard... Image
Read 20 tweets
May 29
Brian Chesky credits Airbnb's success to what Peter Thiel said after investing $150 M.

Chesky became so obsessed with Thiel's advice that today employees hire their own teammates at Airbnb.

Every entrepreneur needs to understand how & why it works: 👇 Image
Brian Chesky had this crazy approach. He interviewed the first 400 people himself.

His question was crazy: "If you had a year left to live, would you still take this job?"

Most candidates thought he'd lost his mind. But it worked - he only hired people who'd die for the mission
But by 2012, Chesky had become the bottleneck.

Every single hire needed his approval while the company was exploding. Teams were stuck waiting weeks just to fill basic roles.

Then Thiel invested $150 million and said something that changed everything. Image
Read 17 tweets
May 15
A video game company made $2 billion in 1982.

Its employees used to drink beer in the office, hold meetings in hot tubs, and did coke with girls.

Even Steve Jobs was part of it once.

But within just 2 years, the company had to bury millions of games in a desert. Thread 🧵 Image
Image
Atari wasn't just any company.

Founded in 1972, it created the entire video game industry from scratch.

Engineers tested games in local bars to see how players responded.

Their first hit, Pong, caused such a sensation that the coin box literally overflowed with quarters. Image
Pong's success was unprecedented, and Atari sold thousands of machines.

The wild success prompted them to bring games home.

Their 1975 Home Pong console sold 150,000 units that Christmas alone. Image
Read 17 tweets
May 9
LEGO was 4 weeks away from bankruptcy in 2003:

• Losing $1 Million per day
• $800 Million in debt
• Negative profit margin (-30%)

But then something happened, and by 2010, they started growing faster than Apple. How? 🧵 Image
The situation was so dire that Lego's CEO had to send a memo:

"We're running out of cash and likely won't survive."

The 72-year-old company had never posted a loss until 1998.

By 2003, it lost $300M and projected a $400M loss in 2004. Image
LEGO wasn't failing because kids were abandoning toys.

They failed because the management listened to high-paid consultants.

These consultants warned that "the brick was becoming obsolete" and urged them to diversify like Mattel.
Read 15 tweets
May 8
Toyota lets 19-year-olds stop $2.5M/hour production lines.

Netflix's engineers spend company money with ZERO approval.

Amazon gives full independence to "2-pizza" teams.

Why the most profitable companies give extreme control to employees, and how it can save your business: 👇 Image
The average lifespan of an S&P 500 company is just 15 years, and McKinsey predicts 75% of them will disappear by 2027.

One of the reasons companies die is that they are built on a hierarchical basis.

Even in the fast-paced world, most decisions require 5+ approvals. Image
But some companies found something counterintuitive:

Giving more power to frontline people makes them faster, more innovative, and more profitable.

Walmart's CEO calls bureaucracy "a villain".

Even Charlie Munger has similar views 👇
Read 14 tweets

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Don't want to be a Premium member but still want to support us?

Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal

Or Donate anonymously using crypto!

Ethereum

0xfe58350B80634f60Fa6Dc149a72b4DFbc17D341E copy

Bitcoin

3ATGMxNzCUFzxpMCHL5sWSt4DVtS8UqXpi copy

Thank you for your support!

Follow Us!

:(