Digital organizations are like the living systems that can self-adapt and self-renew in thriving as the high-performance business.
Digital makes a significant impact on every aspect of the business from people, process to technology, both horizontally and vertically. Digital becomes the very fabric of high performing business, being outside-in and customer-centric is the new mantra for forward-looking and high mature digital organizations today. From an organizational structure perspective, how can you fine-tune the digital dimensions of your organizational development to harness innovation?
Designing Thinking and Organizational Tuning
Leverage Design Thinking to Strategic Alignment and Organizational Structural Tuning Compared to the mechanical nature of the industrial organization, digital organizations are like the living systems that can self-adapt and self-renew in thriving as the high-performance business. Traditional organizations are process-driven, but digital organizations are people-centric; they are complex enough to act intelligently and nimble enough to adapt to changes promptly. Design Thinking needs to be a discipline for enforcing strategic alignment and tuning organizational structure in order to improve organizational maturity from functioning to delight.The Structural Elegance of Digital Organization Digital makes a profound impact from the specific function to the business as a whole and the entire digital ecosystem. Digital transformation is the scalable expansion toward multiple directions. Digital transformation is to optimize the whole, not the separate silos. Digital is the gigantic puzzle with many misplaced pieces, you have to put them all in the right places to discover the true meaning and unleash its full potential. The structural elegance of digital organization can further enforce its strategic responsiveness, operational excellence, and organizational maturity.
How to Design Organizations to Maintain Viability? Digital organizations are a complex ecosystem with the blurring line between functions, organizations and geographic locations. How to design organizations to maintain viability and deliver tactical actions for strategic effect, given weak, noisy and evolving feedback signals due to systemic adaptive complexity in its environment? What would be an inclusive set of theories to accommodate a complex system? How would such a set be integrated? How would be an organization experiencing that type of feedback know it's viable? How would it or its parts know it needs to change itself? How would it or its parts know what to change?
The Organizational Structure Innovation Digital transformation is the scalable expansion toward multiple directions. The organization should keep tuning its structure and process to become more adaptable. There are different theories of organizational structure innovation and the format of the future of the organization etc. The whole point is how to build a more creative and productive working environment in which the employees’ potential can be unleashed, and business as a whole is superior to the sum of pieces.
Three Considerations in Reinventing IT Organizational Structure Many IT organizations or enterprise as a whole intend to reinvent their “stale” working environment with 20th culture such as bureaucracy, the inertia to change, reward mediocrity, homogeneous leadership & talent team, over-complex business processes, inefficient communication pipelines, etc. However, reinventing organizational structure is not an easy task, it takes both strategic planning and operational alignment to make it work and improve organizational maturity. Below is some collective insight on how to reinvent IT organizational structure and build a highly creative and productive working environment.
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