In my recent journey through the pages of "Teams of Teams," authored by a former U.S. General, I found myself captivated by the profound insights it offers into the ever-changing battlefield and the striking parallels it draws between military adaptability and the dynamics of modern organizations. This book serves as a compelling guide for organizations seeking transformation to thrive in today's dynamic world.

Historically, our unwavering focus has been on efficiency. Consider the 20th century when colossal integrated factories like Ford's revolutionized production. Later, companies such as Apple outsourced manufacturing but retained their design control. However, a critical vulnerability persisted—the fragility of narrow supply chains. This vulnerability was starkly evident during the COVID-19 pandemic when disruptions in the supply chain left us with surplus produce but bare store shelves.

Similarly, the traditional model of warfare underwent a seismic shift in the Afghan war. Instead of titanic armies clashing on conventional battlefields, the enemy assumed the form of a decentralized network. They demonstrated the power of adaptability, rendering the U.S. Army's customary strategies less effective.

The challenge of adaptability is not exclusive to the military but extends its reach into the contemporary business landscape. Decentralized Autonomous Organizations (DAOs) have emerged as a potential solution to this challenge. Although they may not always be the epitome of efficiency, DAOs possess a unique capacity for adaptability.

The pivotal factor here is "autonomy." If DAOs can embrace greater autonomy, empowering individuals to act in the best interests of the DAO without prescriptive directives, they can truly become the most flexible and adaptable organizational structures.

Presently, many DAOs resemble sprawling communities with ponderous decision-making processes. To prosper, we must champion autonomy over inflexible rules. Empower individuals, foster collaboration within small teams, and encourage them to act independently in the organization's best interests.

But why is this relevant to DAOs specifically? Well, DAOs, as onchain organizations, are seamlessly integrated into the global financial and capital markets, enabling them to pivot swiftly as markets evolve. Additionally, DAOs, with their digital governance mechanisms, can update their organizational structure, ownership, or decision-making processes by simply pushing code, eliminating the need for reams of paperwork and bureaucratic hurdles.

This flexibility empowers entrepreneurs to focus on what truly matters—product development and user satisfaction—while mitigating the common administrative pitfalls. Even in the face of mistakes, digital governance's agility allows for rapid correction.

In conclusion, "Teams of Teams" offers invaluable lessons on adaptability and autonomy. Its insights are not confined to the military but extend as a blueprint for businesses and DAOs alike. Organizations can thrive and excel in an ever-changing world by embracing autonomy, emphasizing adaptability, and harnessing the advantages of digital governance.

Note from the author: PEERUP is helping with onchain startup creation and incorporation in Wyoming; in other jurisdictions, this “digital governance flexibility’ might be limited at this point, but we truly hope that the regulation evolves and this flexibility will be enabled anywhere in the world.