Is the Self-Managed Organisation Essential in the Age of Artificial Intelligence?

Purpose
This paper investigates whether self-managed organisations (SMOs) − characterised by minimal hierarchy and distributed authority − can become a dominant or widely adopted model in the artificial intelligence (AI) era. This study aims to understand how advances in AI reshape organisational coordination, decision-making and control, and to determine the extent to which self-management enables firms to thrive amid these changes.

Design/methodology/approach
This paper adopts a literature review approach, drawing on existing research on self-management and organisational theory.

Findings
This paper finds that AI enhances some of the conditions that favour self-management, particularly in knowledge-intensive and adaptive work environments. However, it also introduces challenges that limit universal applicability. SMOs offer notable advantages in flexibility and responsiveness but are unlikely to replace traditional hierarchies entirely. Hybrid, context-specific models are projected to prevail.

Originality/value
This paper offers an original and timely contribution by linking self-managed organisational theory with the transformative effects of AI. Its value lies in bridging two research domains − AI-driven organisational change and decentralised management − highlighting how AI challenges traditional hierarchies and supports distributed decision-making. Rather than advocating a universal model, it provides a nuanced framework for when and why self-management becomes advantageous.