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Human vs. agent organizational constraints
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Traditional management structures address human limitations, not agent ones
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Traditional management structures address human limitations, not agent ones
Mollick argues that much of conventional management—including bonuses, hierarchies, and meeting overhead—exists to mitigate inherently human problems like misaligned incentives, information hoarding, communication costs, and cognitive limits—problems largely absent in AI agents.
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Supporting evidence
Original excerpt
A lot of what we call management exists to solve problems that come from organizations being made of people.
Context
People have their own goals, and those aren’t always the goals of organizations. We call this the principal-agent problem and a lot of the machinery of organizations, from
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