[hiddencost]

Okay. I hate management more than your average person, but actually I think there's some truth here.

There's a certain organization size at which coordination costs dwarf everything else.

Suppose the following toy model:

New Engineer is the Nth employee.

They add Value of 2, and coordination costs of N^.06.

There will come a point (around 100k employees) where each additional employee reduces productivity.

Better to have 10 organizations of 10k people, than one of 100k, imo.

[akmarinov]

Didn’t Microsoft disprove that practically with all their divisions warring amongst themselves to the point it cost them the mobile trend?

[throw310822]

More than this- people you employ will generate work for themselves. In the process, they will probably also generate work for everyone else, diminishing the total capacity of the company (and possibly, in turn, requiring even more hires).