Fine-tuning underlying business structure and processes is a critical step and continuous effort for improving business fluidity, flexibility, and overall digital fit.
Organizations are complex, change increases its speed. The reality is that organizations that do not respond to external environmental changes will become irrelevant gradually. As nimbler and more competitive companies catch up and take the leadership position to create the industry momentum. Organizational structure design and reinvention are a cohesive step in catalyzing changes and building business competency to achieve a high level of organizational agility.
Forward-looking organizations experiment with different types of organizational structures to enforce business alignment, communication, collaboration: Organizations, like individuals, need to be in flow to communicate fluently and operate smoothly. To break down silos or overly rigid hierarchy, organizations need to be dynamic to keep up with the speed. Organizations should experiment with a more fluid structure that is smarter and faster than overly rigid hierarchies with blurred boundaries maintained by attractions and repulsions, and behave like organisms.
To envision is to shape the future together, elevate organizational design through architectural thinking which is a way of engaging employees and enchanting customers with the right set of principles and practices to improve people-centricity. It is transformational for business management to “step outside” of the organizational hierarchy for gaining different perspectives and deepening understanding of the business dynamics. They can step up a level (n+1) to capture a big picture, and drill down a level (n-1) to dig into details, keep improving organizational structure flexibility and strategic agility.
Flatter structures will help to speed up organizational response to changing markets: The functional borders are blurred and silo thinking is gradually broken down. If the organizational structure drives corporate behavior and then, the business responsibilities can reflect on the organizational structure and the behavior. Everyone has an invaluable contribution to make at whatever level in the formal hierarchy they happen to be placed, for speeding up organizational responsiveness and effectiveness.
The goal for optimized organizational design is to enhance cross functional collaboration, harness innovation through less hierarchy, streamline business changes. The future of organizational design should be fluid enough to streamline information flow and flexible enough to motivate change and achieve business agility and autonomy.
Fine-tuning underlying business structure and processes is a critical step for improving business fluidity, flexibility, fitness: Ideally, the organizational structure should be designed to influence the emergent properties of the environment, provide a more intensive and effective working environment in which people can work collaboratively, knowledge flow frictionlessly, and enable emergent changes in its own behavior, functions, and structures toward strategic stability.
To make a seamless innovation paradigm shift, organizations today cannot be organized only using the mechanistic paradigm that resulted in bureaucracies. The management should do their best to make sure that their personnel are educated, learning agile, and eventually investing in that change themselves in tackling challenges from all right angles all at onc, and building the differentiated professional competency.
Organizations are all about information savvy, agility, high-performance, and speed. Fine-tuning underlying business structure and processes is a critical step and continuous effort for improving business fluidity, flexibility, and overall digital fit. The challenge for any business is to fine-tune a successful structure that helps to empower people and enforce boundaryless collaboration to unleash collective potential.
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