Transformation of traditional management model

Abstract

The article deals with the transformation management model in the Brazilian company Semco. It describes the transition from a militarist model used for participatory management model and analyses organizational implications that the transformation brought. Theoretical background gives and insight into new paradigms of management, management dilemmas and management innovations. The main part of the paper is based on case methodology. Empirical stud includes a brief history of the company, the arrival of new leader, organizational diversity, radical changes in corporate governance and new principles and values such as sharing of information, profit sharing and freedom. The article concludes with the finding that adapting the work environment to people makes to feel a strong sense of belonging to the company and at the same time it eliminates dilemmas of management that the traditional management model is facing.