Why There is a Gap Between Technology and Organization Evolution

There is a gap between technology development and the way organization change. And this is at the root of the Fourth Revolution: if the gap gets large enough, only a revolution can make organizations evolve to fit with technology. And it is what is happening right now.

martecs_lawI find the illustration by Scott Brinker the best – he call it the Martec’s law: “Technology changes exponentially; organizations change logarithmically“. He applies it to the current digital disruption, but of course it was always the case – the industrial revolution was also created by a progressive mismatch between technology and the institutions and organizations of the previous Age. Organizations can only change at a certain pace, and the larger they are, the slower they can evolve; they generally can’t cope with the increasing rate of technology evolution without undergoing a substantial change.

According to this law, a revolution is inevitable that will rebaseline the organizational setup to the current state of technology development. And this will be highly disruptive to existing organizations – unless they find a way to overcome the curse of only being able to evolve slowly.

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