Thursday, June 10, 2021

Organizational Structure Design

Being connectwise means to discern the trends from fads, seek business goals before taking initiatives, build up a positive emotional climate, and foster strong relationships. 

Oganization design is the vehicle through which businesses can reduce the organizational culture friction and improve business agility and maturity. It’s really about how to build the best mixture of business elements that enable the organizational interdependence and harness adaptability through less hierarchy, optimized processes, and hyperconnected business dynamics. 

A fine-tuned digital organization should lead the way to lift one foot and shift the organizational structure more into participative models that respond to change promptly and improve people-centricity.

The “hybrid structures” with a good mix of formal structure and informal structure: Abundant knowledge makes today’s business professionals more informative than the previous generations, and modern digital technologies provide both organizations and employees an alternative to access working related information with their fingertips remotely. The real-time digital enterprise gets “wired” without wire, creating multiple pathways for digital flow. The digital organizational structure should be solid enough to give some sort of forms for enforcing accountability, and open enough to its environment and allow the movement of information, ideas and people frictionlessly.

Highly responsive digital organizations shape the “hybrid structures” with a good mix of formal structure and informal structure to enforce business alignment, integration and innovation. They have a higher level of decision effectiveness because information can flow to the right people and allow them to make the right decisions for achieving high performance. They also leverage emergent digital platforms and collaboration tools to enable cross functional communication and collaboration, enforce real-time collaboration via active listening, two-way trust in the wisdom of the team, giving proper credit where it is due and constant experimentation.

The process dimension is enjoying a powerful tailwind: Structure knits process; process underpins capability, capability enables strategy management. In fact, with the business change as the new normal, the process, structure, behavior, and self-interest of individuals and groups, all these factors interact in a dynamic. Thus, digital leaders should have a process-oriented perspective, seize the opportunity to take a fresh look at the processes, evaluate an organizational management approach and how process oriented it is, enabling the business management to make continuous improvement.

The function ties to organizational structure and process. Process is more often not popular, because many people either do not understand the value of process, or they believe processes do not directly contribute to their own functional needs. Thus, process thinking needs to be more holistic, cohesive, and balancing to overcome issues caused by hierarchical control. New generations of digital collaboration tools are enabling not only the structured processes of the past, but also the unstructured processes of hyper structural enterprise. A hyper-structure with process intelligence mechanism harnesses cross-functional communication and collaboration and enjoys a powerful tailwind to support business strategy execution.

Connected to the ever-growing ecosystems, lattice or otherwise: Organizations today are like the organic systems that keep expanding, increasingly, enterprises find themselves enmeshed in "ecosystems," Hyperconnectivity is one of the most critical characteristics of the digital business. Instead of being rigidly grouped around a specific function, business, or geographical locations, digital ecosystems draw together mutually supportive partners across industries that collectively seek to create differentiated ideas and capture multidimensional business value. It’s about people brainstorming together to reinvent a programmable business through collective creativity and effort with organizational hierarchy, relationship structure, and virtual collaboration platforms wrapping around to ensure accountability and amplify innovative problem-solving competency.

From an innovation management perspective, it's important to digitally connect key resources and assets in their vicinity or context to the resource-rich innovation hubs and clusters across the business ecosystem. With hyper-structure, intelligent process and creative talent, the business management can be rejuvenated by practicing high organizational justice (trust); developing a participatory management style, enforcing strong organizational communications, and developing an open working environment to inspire change and creativity,

Being connectwise means to discern the trends from fads, seek business goals before taking initiatives, build up a positive emotional climate, and foster strong relationships. Fine-tuning organizational structure design is, in fact, a strategic movement to ensure smooth communication, information and interaction flow in every direction, and enforce trust by bonding people around clear and benevolent intentions, and drive collective progress effortlessly.


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