From Our Village Toolkit: Sociocracy

What is Sociocracy and how does VillageCo apply it?

In a world where collaboration and shared responsibility are increasingly valued, many organizations are searching for governance models that foster inclusivity and transparency. VillageCo has found its answer in sociocracy, a governance system designed to empower individuals and enhance decision-making. But what exactly is sociocracy, and how does VillageCo bring it to life?

Sociocracy, also known as Dynamic Governance, is a method of organizing people and making decisions that ensures every voice is heard. Instead of relying on hierarchical structures or simple majority votes, sociocracy emphasizes consent-based decision-making, self-organizing teams called circles, and double-linking communication. This approach creates an environment of collaboration, where every team member has a say and accountability is shared.

VillageCo adopted sociocracy to align with its mission of fostering collaboration and collective growth. Here’s how they’ve implemented its core principles:

1. Consent-Based Decision-Making in Action: Imagine VillageCo’s Communications Circle deciding on a new outreach strategy for one of their social media channels. Instead of voting, members discuss a proposal until all major objections are resolved. This ensures that decisions are collectively supported and improved over time, reflecting diverse perspectives.

2. Organized Through Circles: VillageCo structures its operations through ten specialized teams, or circles, such as the Evaluation Circle, the Fundraising Circle, and the Mission Circle. These circles each focus on distinct areas like member satisfaction and impact assessment. By operating autonomously within their respective domains, each circle empowers its members to leverage their strengths and assume full ownership of their roles.

3. Double-Linking for Seamless Collaboration: To keep circles aligned, VillageCo uses double-linking—a system where two members from each circle participate in broader discussions. For example, a liaison from the Communications Circle might also sit in the General Circle, ensuring that both teams share insights and stay coordinated.

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Since adopting sociocracy, VillageCo has reported higher member satisfaction and a stronger sense of purpose within its community. While challenges like adapting to new communication structures arose, they’ve been addressed through regular feedback and continuous improvement.

Sociocracy has not only been used by VillageCo—it’s transforming organizations across industries:

1. Education: High Mowing School (New Hampshire, USA) This private high school adopted sociocracy to involve students and teachers in governance. By giving everyone a voice in decision-making, the school fostered a stronger sense of community and improved its ability to adapt to challenges.

2. Nonprofits: Youth Power Coalition (New York City, USA) Focused on empowering young leaders, this coalition uses sociocracy to create inclusive governance. Circles of youth and adult allies ensure that all voices are respected, enabling the coalition to tackle issues with fresh perspectives and shared leadership.

3. Business: Outlandish (London, UK) This worker-owned tech cooperative faced inefficiencies under its traditional structure. By switching to sociocracy, Outlandish improved communication, streamlined decision-making, and created a workplace where members felt more engaged and responsible for the co-op’s success. Hylo, another tech company, based in Oakland, California, embraces sociocratic principles of distributed authority and collective stewardship, giving users a voice in shaping the platform. This approach aligns with Hylo’s mission to empower purpose-driven communities and drive meaningful social change.

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At its heart, sociocracy is about ensuring that every team member feels valued and empowered. For VillageCo, this has meant creating a culture where collaboration and transparency thrive. Across industries, organizations are finding that sociocracy not only improves efficiency but also fosters creativity, innovation, and resilience.

By adopting sociocracy, organizations like VillageCo are paving the way for more inclusive and effective governance. As the challenges of the future demand adaptability and shared leadership, sociocracy offers a proven path forward.

Next month in our Village Toolkit issue, we will be exploring how VillageCo uses Airtable as a core tool to maintain and maximise the benefits of sociocracy within the organization.

Food for thought:

1. How could the use of sociocracy influence conflict resolution within organizations, and what mechanisms within sociocracy help manage conflicts?

2. Considering the rapid pace of change in the technology sector, how might sociocracy help tech companies remain agile and innovative while ensuring all voices are heard?

We’d love to hear your thoughts on Sociocracy! Share your perspective in the comments and join the conversation.

If you want a more thorough introduction to VillageCo and how it works, check out our AI deep-dive podcast below 🎙️