Reinventing Organizations Redux

This one is a bit out there, if only to connect some dots and shake loose new insights. Let’s get that distant look in our eyes and contemplate a possibility that may or may not transpire. Let’s all suppose that the upcoming AI winter is mild, and we settle into the next local maxima of technological progress, surrounded by helpful semi-autonomous agents, powered by large language models. What might that look like?

A teal butterfly sitting on white keyboard, a tribute to Laloux's book cover

I am pretty sure I got the firmness of the performance asymptote wrong last May. The superlinear relationship between quality and cost is here to stay, and will shape a step-ladder-like differentiation of models based on their size. There will be larger models that produce high-quality results for a wide diversity of tasks  – and are also expensive to run. There will be smaller models that are much, much cheaper, but also can only excel at a narrow task. We are likely to see attempts to establish a common scale for model complexity, rather than one model to rule them all.

Given that, we are likely to see more emphasis on the scaffolding that connects the models of varying sizes in addition to the models themselves. For instance, many startups and larger companies are already experimenting with the “inverted matryoshka” scaffolding, where a set of models is arranged so that the smaller, cheaper models are used more frequently for the simpler tasks and the largest models are only progressively reached for more complex (and hopefully, more rare) tasks.

Sure, there will be projects that try to hide that scaffolding under a “universal model”, which upon examination, will reveal a trenchcoat filled with the assortment of models, pretending to be one. 

However, driven by the desire for agency, most will choose to rely on their access to this scaffolding to get better results. The scaffolding will be the secret sauce of success. The way we arrange the models – and how we choose and train the models for particular tasks  – will continue to be the subject of intense experimentation and optimization, even when the pace of model innovation slows down.

This last sentence holds a startling realization. If we consider that each model is a “knowledge worker” of sorts, we can view the aforementioned scaffolding as an organization. If that’s the case, we can now imagine the process of creating and managing a collection of models as organization development. Except in this organization, the majority of workers are large language models.

Already, we see academic papers suggesting waterfall-like approaches to tasks, where multiple models (also known as agents) are lined in an assembly line of sorts, passing their output to the next one. I am also seeing experiments with parallel workstreams, converging together to be ranked. Each of the juncture points in these flows is a “virtual knowledge worker”. Perhaps not in the way Frederic Laloux intended, we are reinventing organizations.

It is quite possible (likely?) that organizations we will work in will include both human and non-human workers in them. These organizations will face the same challenges that any organization will face, and likely more new challenges that we haven’t even considered. There will be levels. Simple tasks performed by armies of lower-nomenclature model-powered workers (we’ll probably call them bots). More complex tasks performed by more expensive models. People will likely be supervising, directing, or tuning knowledge work. There might be an entirely new discipline of virtual organization development that emerges as a way of studying and finding more effective ways to conduct organizations that include model-based agents as part of their workforce.

This may not come to pass. However, what feels right in this picture is that humans will still be there. And because we are unpredictable, volatile humans, who come and go, who change our minds – there will always be a need to maintain a semblance of predictability around the business that owes the organization its existence. And because of that, the relatively more predictable and malleable workers might just serve as the organization development putty: keep adjusting the mixture of non-human workers in the organization to retain its strengths as people leave and join the organization – or change within it.

Perhaps in this future, we will ask not the question of whether or not AI will replace humans – but rather the question of how non-human knowledge workers can scaffold around us  in a way that complements our gifts and gives us space to develop and grow.

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