Positive, challenging, or impossible self-managing organizations? Exploring radical decentralization at an addiction rehabilitation center

Self-management has been explored in research for more than half a century and is said to be linked to several positive effects ranging from a more egalitarian and democratic structure to enhanced productivity, improved quality of work and greater adaptability. More recently, the self-managing organization (SMO) has emerged as a novel organizational structure that departs from managerial hierarchy through radical decentralization. However, only a few empirical scientific studies have explored how radically decentralized structures of SMOs create new dynamics for organizations and the people in them. In this paper, we present the case of a public sector addiction rehabilitation center that had developed into an SMO through radical decentralization of managerial authority to staff. We use narrative theory as an enriching theoretical perspective to examine critically staff and managers’ subjective experiences of working in the SMO, finding that work was experienced as not only positive and challenging but also impossible. While positive experiences included increased collective responsibility, well-being, and efficiency within teams, conflict and disidentification emerged between teams, challenging the decentralized structure and, in some instances, making work within that context impossible. By drawing on these findings, we extend our understanding of SMOs.