Generative Organizational Behavior Simulation using Large Language Model based Autonomous Agents: A Holacracy Perspective

Holacracy is an innovative management model proposed by Brian Robertson, the founder of the software company. It is a democratic and open organizational structure with shared governance for all, aiming at the decentralized management of an organization by breaking the authoritarianism of the leadership through the assumption of work by roles[1]. Such a management model is better to give employees the freedom to be more creative; however, at the same time, it also creates conflicts between roles and teams, resulting in many organizational practices ending in failure [2]. Although some static influence mechanisms have been explored in the past [3, 4], the dynamic operation of the system, like autority delegation, is not well understood. In this paper, based on the simulation capacity of Large Language Model (LLM) [5, 6], we built CareerAgent, an organizational behavior simulation framework based on LLM Agents, as shown in Figure 1, to simulate the operation of organizations under the holacracy framework, and found some interesting phenomena. One of the characteristics of the holacracy is that the leaders delegate their authority to the employees at the lower level.