In this paper, we study the intertwinement of ambiguity and power dynamics in a less hierarchical consulting firm. While former research has suggested that less hierarchical organization may produce paradoxical effects, we lack in-depth empirical studies unpacking the mechanisms through which the absence of formal hierarchy may re-centralize decision and increase normative control. To tackle this issue, we carried on a 5-year autoethnography at a consulting firm which doesn’t apply ranks or formal status to its consultants, has no premises and fosters an entrepreneurial business model in which any employee can promote their own projects. Based on this rich insider data set, we show how the structural void generates ambiguity regarding the locus of authority and appropriate behaviors, which in turn puts consultants in a situation of dependency towards the partners and those who understand the informal rules. We also show the emergence of an informal, and yet coercive, “power constellation” which unfolds around a power core embodied by the partners. Such power constellation illustrates the center-periphery dynamics of organizing, a type of informal structure that is dominant in all kinds of human systems but has not been studied inside organizations.
