This document discusses implementing Holacracy in companies. It provides an overview of Holacracy and its key differences from traditional hierarchies. The 3 steps to implement Holacracy are outlined as quantitative data management, establishing communication channels, and releasing information and power by removing titles and positions. Best practices at Diamond Media are also shared, such as using a career matrix, salary systems without incentives, and brain trusts for counseling.

1. Copyright All Reserved. DIAMOND MEDIA Co., Ltd.
DIAMOND MEDIA Co.,Ltd.
President Kozo Takei
Website : http://www.diamondmedia.co.jp
Blog : http://kozotakei.tumblr.com
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3 Steps to
Implement Holacracy
in Your Company
Since 2007, we’ve followed Holacracy.
We built an Holacratic model by ourselves.

2. Index
About us: DIAMOND MEDIA
About me: Kozo Takei
The Limits of Hierarchy
Introducing Holacracy
Holacracy Companies
Our Policy
Why Holacracy Now?
3 Steps to Implement Holacracy
Quantitative Data Management
Communication Channels
Release Information and Power
Our Best Practices
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3. At first
Share Freely!!
Post on your FB, TW.
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4. About us: DIAMOND MEDIA
DIAMOND MEDIA Co., Ltd.
Is a Real Estate tech company established in 2007.
We mainly provide enterprise Real Estate software.
Our Services:
- DIAMONDTAIL - SEM / CRM software for RE agents
- Centrl - RE circulation cloud platform for enterprise
- Centrl LMS - Leasing Management System for PMs
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5. About us: DIAMOND MEDIA
DIAMONDTAIL http://www.diamondtail.jp
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6. About us: DIAMOND MEDIA
Centrl / Centrl LMS http://centrl.cc
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7. About us: DIAMOND MEDIA
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8. About us: DIAMOND MEDIA
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9. About me: Kozo Takei
I was born in 1983 in Yokohama, Japan.
I really wanted to become a musician.
During High School, I received awards and
prizes at some music contests.
In 2003, I went to L.A. to study music.
In 2005, I came back to Japan and started
my first business: Fashion Blog Media. It
closed down after a year, with large debts.
The next year, I started DIAMOND MEDIA.
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10. About me: Kozo Takei
Favorite books (Japanese)
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11. DepartmentDepartment
The Limits of Hierarchy
Structure of Hierarchical Organizations
Employees
Management
Executives
CEO,CFO,
COO
Manager
Staff Staff
Manager
Staff
→ Divisions
Levels←
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12. The Limits of Hierarchy
What results from levels and divisions?
- Organizational flexibility is limited
- Organization and individuals are separated
- Innovation opportunities are reduced
Hard to adapt to the changes of external situations.
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13. Introducing Holacracy
What is Holacracy?
1. No levels and flat organization
2. No titles, no positions and no top-down orders
3. Unique decision-making process
More flexible and autonomous organization.
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14. Introducing Holacracy
Holacracy organizational chart
Hierarchy Holacracy
© HolacracyOne LLC. http://www.holacracy.org
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15. Introducing Holacracy
Differences
Hierarchy Holacracy
Leadership Power, Position Servant, Personality
Decision-making Top Case by case
Relationship Levels Flat
Information Controlled Open
Roles Descripted Flexible
Management Command, Control Self-management
Rewards Money, Fame Satisfaction, Happiness
Thinking Analysis Synthesis
Business projection Predictable Unpredictable
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16. Introducing Holacracy
Example of Holacracy at Diamond Media
HR / Organization Accounting / Salary Work-style
No title, No boss
Perfectly flat
Decide your job by
yourself.
Elected president
Unwritten Philosophy
Accounting info is open.
All Info is accessible.
No incentives
Non result-oriented
No approval docs
Time, place, vacation,
all free.
No command
Independent
Second job is
recommended.
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17. Redefined corporation
Ownership Management Labor
Integrate those three rights
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Our policy

18. Our policy
Our stances
1. Combine “Economy” and “Emotion”
2. Establish a practical corporate “operating system”
3. Show our business success as our message
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Long term success through Holacracy
and our core business.

19. Why Holacracy now?
Social changes
© Return on Company http://picc.or.jp
Human side
Economic
side
Social side
© Peter Drucker “Next Society”
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Compan
y
Earth
Custom
er
Partners
Owners
Employ
ees
Society
Employees
Company
Customer

20. Why Holacracy now?
What organizations need today
- Accelerate decision-making
- Enhance individual potentials
- Collect various talents
- Combine profitability and social cause
- Integrate sustainability and long-term thinking
Holacracy could be the answer for all of the above.
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21. 3 Steps to Implement Holacracy
Implementation procedure
1. Quantitative Data Management
2. Communication Channels
3. Release Information and Power
Holacracy is a three-dimensional organization.
We need to design its processes, not structure.
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22. Quantitative Data Management
Capture your company’s data at three levels
Capture data at three levels:
“Result", "Process” and “Labor”.
Data capture needs to happen
real-time and through a
seamless interface.
Result
Process
Labor*
*Labor = Working time data counted in unit of 30 minutes.
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23. Quantitative Data Management
Build your data model and visualize it
Data Tools
Result
Accounting Balance
P/L, B/S, C/F
Sales, CRM
Cloud Accounting Software
SFA, Kintone
Google Spreadsheet
Process
Sales Process
Developing Process
Work Tasks
SFA, Kintone
BTS, Wrike
Google Spreadsheet
Labor
Working time
Working Categories
Google Spreadsheet
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24. Communication Channels
Holacracy is communication-driven
Exchange
Top
Exchange
Bottom
Holacracy is neither top-
down, nor bottom-up.
Information must flow
freely.
All members participate in
the decision-making
process through this open
communication.
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25. Communication Channels
Digital communication tools
Service Purpose
Chat
Chatwork
Slack
Smooth communication
Real-time sharing
Project-based
Video
meeting
ChatworkLive
Google Hangout
Skype
Meeting
Remote-working
Enterprise
SNS
HoooP
Yammer, Talknote
Wiki, Qiita
Store communication
history
Knowledge Management
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26. Communication Channels
Real-Life communication opportunities
The purpose of this model is
not to “talk”:
Communication is part of
the operating system.
Daily
weekly
Monthly
Quarterly
Half
yearly
Yearly
Progress check
Evening assembly
Good & Bad news
Credo
Self-presentation
Clean-up
Monthly meeting
Brain trust
Quarterly
clean-up
Self salary estimate
Company event
Clean-up
President election
Yearly conference
Company’s operations run
naturally with communication
opportunities, and automatically
rejects foreign elements.
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27. Release Information and Power
After implementing data management and
communication systems:
- Fill information gap
- Remove titles and positions
- Eliminate management: release info and power
This makes you a 100% holacratic organization.
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28. Release Information and Power
Information gap creates virtual hierarchy
- Hierarchy background
Under the hard situation to share information,
organizations needed a quick and straight command line.
- Holacracy background
Internet enables us to spread information easily, rapidly
and without time-lag.
In critical survival situations, the hierarchical organization makes us
more likely to survive.
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29. Release Information and Power
No title and no boss means:
- Executives and managers need to abandon any kinds of
power, privilege and position.
- At the same time, they also need to abandon fame,
contribution and responsibility.
Self-management means no control. You don’t control
anyone, and you are not controlled by anyone.
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30. Release Information and Power
Management system of No Management
Holacracy requires to eliminate hierarchical power and
privileges. In traditional organizations, the biggest sanctuary
is the board of directors. Therefore, holacracy needs a
new and flexible organizational design.
Election of president and directors
* In holacratic organizations, CEO and C-suite titles are also removed.
** DIAMOND MEDIA actually operates with election and meeting. Because election
system may ruin leaderships to come up.
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31. Our Best Practices
Don’t manage people. Manage the organization.
Three dimensional design keeps the organization
flexible, rapid and efficient.
Div. Div. Div.
Development
Sales
Marketing
Operation
Management
Matrix(2D) + Project
Recruit
HR
Event
Website
projects
Study
group
© Diamond Media Co., Ltd.
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Conference

32. Our Best Practices
Career matrix (estimates skills and value)
Value 1
You understand it
Value 2
You do it
Value 3
You deliver it
Value 4
You make it
Senior
associates
Valuable skills
and Knowledges
Cooperation
creator
Leadership,
Operational
management
Business and
organization
designer
Associates
Ordinary skills
and Knowledge
Self-managed
Rookie New member
© Diamond Media Co., Ltd.
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33. Our Best Practices
Salary and fee system
Basic Income Lifestyle Income Self Income
Base
Housing and
Commuting
Seniority Age Kids
Other
allowance
Potential
$1,800 $300 ~$100
Over 25
~$400
~$500 situational $200~
© Diamond Media Co., Ltd.
Besides the above, we also have bonuses twice a year.
Potential salary is not an incentive or reward salary. It is for ability and personality.
Any kinds of position or job changes don’t affect potential salary.
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34. Our Best Practices
Brain trust (team counselling system)
© Diamond Media Co., Ltd.
This “brain trust” is inspired by Edwin Catmull from Pixar.
Each team has 4 members. Each person brings its life plan in different terms and
share with each other.
Company, business
Long term plan
(10 or more
years)
Middle term plan
(1 year)
Short term plan
(a few months)
Careers, financial
Private, relationship
Health
Self-investment
Hobbies
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35. Our Best Practices
Salary Assessment and election process
Examination
Top-down
Examination
Bottom-up
Decision-making process
needs both top and
bottom intensions.
* ”Top” means wholesome leadership.
Empirically, rotating this
twice makes us persuasive
and rational.
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36. Our Best Practices
Consistency of thought, business and functions
Company has to make
business models with
logical functions. And
these must be based on its
thought and philosophy.
Functions
Business
Thought
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37. At last
We’re looking for PHP/Ruby engineers!
Our work style examples
- 3 Days DIAMOND MEDIA, 2Days Freelance.
- Basically work at DIAMOND MEDIA but have his own company.
- Complete remote work; only come to office when he wants.
We’re trying to change the world not only Japan, with Real Estate
platform. Now we’re starting Enterprise Marketing Automation cloud
for Real Estate industry. Join us, and be a Holacracian together.
Feel free to talk to us or me.
E-mail : http://www.diamondmedia.co.jp/contact/ / k.takei@diamondmedia.co.jp
Phone : +81-3-6903-7866
Facebook : https://www.facebook.com/kozotakei/
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38. Thank you!
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