Ferrari Reduces Its “Bureaucratic Mass Index”

A new CEO accelerated change by flattening the hierarchy and connecting employees to what it means to drive a Ferrari

When Benedetto Vigna became CEO of Ferrari in 2021, he realized the company was being weighed down by its “bureaucratic mass index.” To speed up the legendary car manufacturer, he made changes like:

  • Getting first-hand feedback from employees. Upon joining the company, he conducted a listening tour of 300 employees, who were frustrated by silos and the distance between them and the CEO.
  • Restructuring and flattening the hierarchy to speed up decision making. Test drivers, for instance, were originally separated from the CEO by six layers; now it’s down to three.
  • Providing more meaning to individual roles. He formed smaller teams so that individuals felt their contributions were more valuable, and invited employees to drive Ferraris themselves on a racetrack—which showed them the impact of their work.

Since Vigna joined, the workforce has expanded and stock prices have doubled, making it the most valuable car company in the world. Read more about this incredible transformation.

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Ferrari Reduces Its “Bureaucratic Mass Index”
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