Will the Corporation Survive?

The corporation was established approximately in the 1870’s; since that time, until recently, five assumptions were the norm: The Corporation was the master and the employee was the servant. The Corporation was the only means of livelihood for the employee. Lowering transactional costs was of paramount importance; everything in the production process was done under one roof. Customers had little information and the corporation was all-knowledgeable. The customer needed the corporation to make the best decision and brand-loyalty was of key importance. Technology was specific to its individual industry.

Since 1970, things have changed. The means of production is knowledge. The knowledgeable worker is the means to more capital and very valuable to the corporation. The knowledge worker is not seen as a servant or subordinate but as an equal partner and part of the value chain.

Now, instead of employees being totally loyal to the company store, more and more employees wor...