Valve Corporation, a technology company known for its PC game development and publishing ventures, has without question the most unique organizational structure for a multi-billion dollar company to date. Putting to shame mighty multinationals such as Google and 3M with 20% and 15% policies, Valves corporate policy is that there’s is no hierarchical structure, employees dedicate 100% of their time to whatever project they see fit. Valve has an astounding amount of trust in their employees and it’s paid off in profit, new markets development and high employee satisfaction.
Valve’s approach to business is notable in many regard, their model solves numerous issues with other models in the industry such as employee retention, creativity and productivity. Silicon Valley is known for its high turnover rates with the average tenure at less than 2 years, it’s understandable given the competitive nature of the industry’s hiring practices, with so much demand and virtually limitless cash on each side, companies differentiate with more than financial compensation to keep their human capital. Valve began by becoming independent, although not originally owning all its material and requiring outside financing, Valve is now entirely self-sufficient utilising vast amounts of stockpiled earnings and buying back its licensed games. Once Valve became independent, the organizational structure became linear, the technically CEO Gabe Newell is essential the only one not on par with everyone else.
After a new employee is hired they are given a handbook (which invites the entire company to add to, revise, edit the handbook as they see fit) which states “Why does your desk have wheels? Think of those wheels as a symbolic reminder that you should always be considering where you could move