Empire building is the pinnacle and most extreme level of the pyramid of bureaucracy. It occurs when one group attempts to regain or enhance its self-sufficiency by encroachment or by expanding its span of control even when that is not in the best interest of the organization. There are several signs that empire building has begun: Departments compete for IT initiatives. Recruiting may become backlogged. Leaders either directly or indirectly control other independent groups by “speaking for them”; by claiming the right to prioritize time or resources for different departments; or in empire building’s most severe form, by creating duplicate functions of their own.

Empire building cannot exist without parochialism and territorialism. The preconditions for empire building are endemic fear, different views of success, tight control over resources, and lack of shared accountabilities—the bricks and mortar of parochialism and territorialism. When faced with parochial and territorial colleagues and the barriers they build, managers might feel that they have no other choice but to build empires.

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