October 16, 2017

Importance of the Design of an Organization

To be a leader, the characteristics have to exists.

To be able to transform the structure has to support the newer self.

The transformation end state of any organization is directed by the vision of its leaders but at the same time the success is highly dependent upon the culture of its operations.

The culture on the other hand is formed based on the organization design, the competencies, the business model and the thought process of the directors.

Since this article is about organization design let’s understand some key aspects.

Every individuals behavior is driven by the reward and penalties they get (or not get) for the act they follow.

Most of the rewards and importantly the penalties are subjected by the authorization of managers.

The loyalty factor is created by the competitive nature and level of competition promoted internally through showcase of performance numbers and extrapolated by the deliberate granular structuring of departments.

The organization structure is designed such as for tackling the attrition and maturity issues, delivering customer experience, driving performance, driving office dynamics, operating multiple service companies, driving management personal agenda, enabling acquisition and selling and other governance strategies. Not to mention the above is not a limited list.

Identifying the strengths, capabilites and opportunities of each department, executors and managers is key to achieving success of the organizations mission by aligning them intricately.

This restructuring has to be done every time there is a newer factor impacting the speed, agility, ability and performance of meeting strategies.

When such restructuring happens along with processes (culture)  and technology changes, it is called Transformation

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