OpenBeam as a For-Purpose Enterprise

This is a living document to describe potential adoption of holacracy as a framework of collaboration.

It’s hoped by having OpenBeam using Holacracy other DMC projects/organizations may have the ah-ha moment to give it a try as well.

Table of Contents

Table of Contents        1

Purpose                2

Key benefits of a For-Purpose Enterprise        3

Implementation Steps        4


Collaboration Tools        6

Questions        7


Many social/economical development initiatives suffer from vertical organizational structures that have their origin in the industrial age of emphasizing command and control. Vertical structures are silo in nature and do not facilitate cross structural information sharing and individual accountability. They inadvertently create distrust and thwart innovation.

This project attempts to "beam" up an entity for Open Beam to demonstrate how a “PowerShifted” dynamic organization works. The result is that OpenBeam’s way of doing work becomes a proof point that we should let go of the traditional organizational model and adopt a holacratic framework to mobilize team effort.  

There is also a belief that this way of work can pave the way for applying Holacracy to public, private initiatives such as the one being organically conducted in Rochester, MN. These initiatives are well intentioned but lack effective frameworks of engagement and therefore incurring wastages of financial and human-resources investments. Not to mention, frustration on the part of good-will participants.

As Open Beam evolves, we hope to use its progression as a catalyst for others to follow.

Purpose Discovery

        -True Purpose Institute components of the purpose statement

  1. Essence - pure being (openbeam is……).  It’s a noun or thing.  It’s a state of being.  The enterprise saying “I am….”
  2. Blessing - transformational process that openbeam does to other people/entities i.e. “showing the way”
  3. Mission - the earth is different based on openbeam making the difference.  How things are different, “hunger has ended”, mission complete
  4. Message - If openbeam had a megaphone, what it would say.  What is the most purposeful thing it could say

Al and Erik met 1-24-2019 and discussed these components of OpenBeam’s purpose -

EJL’s personal trusted source output


Key benefits of a For-Purpose Enterprise

  1. Anchors Management and Control system (Holacracy) in the entity's legal structure.
  2. Imbeds self-organizing principles in the legal, financial and social systems
  3. Creates new financial and investment vehicles to capitalize the Enterprise
  1. Dynamic Equity, A Units
  2. Deferred Interests, D Units
  3. Profit Interests, P Units
  4. Capital Interests, C Units
  1. Removes redundancies that can drain resources and cause confusion when operating under two different authority systems.
  2. Eliminates the administrative and regulatory burden of managing employees by creating an all-Member/Partner Enterprise.
  3. Allows for outside perspectives (“Contexts”) to be integrated directly into the Enterprise’s governance process, specifically: the Investor Context and the Association Context.
  4. Maximizes and leverages resources of all types and varieties in pursuit of Enterprise’s purpose.

Implementation Steps

Startup based on encode model

  1. Organizational Purpose - needs to be defined for the new FPE
  2. Identify minimum viable product (MVP) -
  1. Community Beam Website and derivatives
  2. Back Offices Software - Microsoft, Google, Quickbooks, etc.
  3. Consulting Services-Strategy, Business Process Improvement
  4. Shared Services Model - Accounting, HR, etc.
  5. HR Consulting
  6. Governance Consulting
  1. Identify Founding members and possible early contributors
  2. Identify funding needs and sources
  1. Funding Needs
  1. Initial incorporation expenses
  2. FPE consulting
  3. Software subscriptions - G Suite, Quickbooks, Glassfrog, Slack, Expensify, Zoom
  4. Holacracy Coaching


Community Beam



OpenBeam Governance

Collaboration Tools

OpenBeam Slack 



LinkedIN Beam Group





How is Holacracy different from Collective Impact model?

How is this different from Open Source Software Development like Angular, React, Vue.js, etc.  

Why does a For-Purpose-Enterprise require a distinct legal incorporation structure?

The For-Purpose Enterprise is a completely new type of power structure in an organization and requires a shift from a shareholder/Board of Directors Model to a purpose centric model.  In a traditional organization, the Fiduciary is the Board to the Shareholders, whereas in a FPE the Fiduciary is the organization to the purpose.  This PowerShift requires a new operating agreement for the organization.  EJL