9. The Silicon Valley Model

This chapter presents a complete synthesis of a new management model for today’s rapidly changing business environments. The synthesis draws on all preceding chapters of the book along with research by eminent business scholars. This new model—called the Silicon Valley Model because it has been realized most fully by leading companies in the Valley—is shown to be a highly developed form of the “Adhocracy” approach that was first identified decades ago. The chapter gives a conceptual description of the new model, with graphic illustration. It then compares this new model to a traditional bureaucratic model of big-firm management, showing how the two differ in key respects. Finally, the Silicon Valley Model is shown to be congruent with the “six basic principles” for managing change that were described earlier in the book: the model supports these principles, plus other elements as well.