Organisational Structure - size and shape are important.
Growing businesses change
Success means change, and change affects businesses. One place this is more felt than most is in the organisational structure - the people and the operations. Whether to outsource for flexibility or insource for control and IP, the legal, logistical, financial and emotional impact on the business are all significant, and trying to remain competitive, true to the vision and building a culture that lasts all rely on decisions made around the company structure.
It is people in a business that determine its level of success
The way a company is structured either helps or hinders them
How we design structures as the heart of a business
-
Vision, Values & Culture
WHY? & WHAT?
-
STRATEGY
HOW?
-
STRUCTURE
WHO?
The structure of an organisation is right in the middle of our corporate development model. It is the heart, the engine the spirit and the power of businesses because this is where the business exists; in its people.
-
OPERATIONAL PLANS
WHEN?
-
RESULTS
WHAT DID WE LEARN?
Insourcing vs Outsourcing
Governance & Control
Motivation & Development
Opportunity & Risk
Investment & ROI
Autonomy & Delegation
Key elements that are affected by structure
〰️
Key elements that are affected by structure 〰️
Types of organisational structures
-
HIERACHICAL
+ Clearly defined and simple to understand
- Can slow down innovation and lack ownership
-
FUNCTIONAL
+ Easily scalable & encourage specialism
- Can create silos and hampers communication
-
HORIZONTAL or FLAT
+ Fosters open comms and speeds up new ideas
- Can be confusing and hard to scale
-
DIVISIONAL
+ Helps large Org’s stay flexible & promotes autonomy
- Can lead to duplication and fragmentation
-
MATRIX
+ Flexible, dynamic and scalable
- Potential conflict between managers
-
TEAM-BASED
+ Highly productive & requires minimal management
- Non hierarchical and less clarity over career path
-
NETWORK (outsourcing)
+ Flexible, agile and scalable
- Can be confusing, over complex and costly