Organizations are complex social systems. Redesign requires significant changes to structure, decision-making processes and senior roles.
But this work can get messy—fast. It needs to be rigorous and disciplined.
Who does a design? The CEO is responsible. But, with boundary conditions, you can minimize politics and reduce staff anxiety by involving senior leaders.
CEOs and their executive teams turn to organization redesign when their strategies require new levels of performance, such as:
These changes are often transformational, involving more than simply changing boxes and lines.
of change management initiatives met initial objectives, and only 25% yielded gains that were sustained over time.
of the time back-office costs are back to prior levels 4 years after a cost-cutting program.
of respondents state that not enough focus is placed on managing change in critical projects.
Avoid “Ready, Fire, Aim” – Diagnose First
Let Strategy Drive Structure, then Staff to Win
Don’t Go it Alone – Engage Your Leaders
Don’t “Wing It” – Use Proven Tools
Organization Design Process
We use a structured process for a design team(s) to take the results of an organization diagnostic and reconfigure the basic structure. It involves considering functional, market, geographic and business unit configurations and deciding which methods best support the strategic direction. It also involves designing the right processes and methods for linking parts of the organization together, beyond simply instituting a matrix structure.
Operating Governance Design
This process designs the right grouping of leadership teams needed to execute management processes (strategy development, operational reviews, talent reviews, budgeting, etc.). The result is an integrated governance model composed of distinct leadership teams that get work done effectively and efficiently.
Executive Role Redesign
With a new structure and operating governance system there is often need for one or more newly designed leadership roles, for example Chief Operating Officer, Chief Administrative Officer, Chief Innovation Officer, etc. This requires carefully configuring roles with the right responsibilities, accountabilities and appropriate scope. The result is clear job descriptions at the executive level that clearly enable clear decision making and collaboration among executives.
|Back of the Napkin||Amateur Hour||Engagement 101||Change Leadership||Strategy Driven Design||Strategy, Structure and Talent|