Silo-Busting: Overcoming the Greatest Threat to Organizational Performance

Most organizations are set up to operate in some form of silos, such as vertical divisions or horizontal functions. At best, silos offer a practical way for organizations to operate efficiently. At worst, they create a silo mentality where departments do not want to exchange knowledge or information, hindering internal collaboration and organizational learning, thus preventing achievement of high performance and organizational sustainability. The silo mentality issue has been recognized for a long time as a real tangible problem that has to be dealt with. On the basis of a questionnaire containing statements on organizational strength, collaboration, and silo-busting techniques applied, which was distributed to a sample of mainly large companies, we found that there are five factors that are important for breaking down silos and increasing the quality of cooperation.