Friday, July 21, 2023


Organizations need to continually fine-tune a successful structure for improving people-centricity, performance, and unleash its full potential constantly.

Re-imaging the future of business is exciting, but investigating the different path for unleashing business potential needs to take a structured approach and develop it into a more solid form.

 The bigger the organizations or enterprises, the more they have “change inertia. Fine-tuning the organizational design and structure to achieve a high level of autonomy is the journey of business transformation.

It’s critical to organize around the vision and create a new context for it: The current vision needs to be the principal guide to strategic decision-making and resource allocation. Organizational leaders should set the tone to “baking in” the vision into business structures, processes, cultures, A clarified vision articulates the destination the organization intends to get and informs the Change Agenda and requires across-functional management disciplines.

The implication of reorganization is that the model of the context could be useful in developing the perspective of business design and change. Another way to see the power of context is in the ways you can change the factors that create a context. Context needs to be split into different dimensions in terms of understanding the scope of change. The problem is freedom versus control. Both are exploited, people are given too much freedom to exploit it, people controlled are exploited by those given the power. The point is how to balance well for improving business performance.

It’s important to organize around core principles, shared purposes and strategic goals: Guiding principles as statements of belief that reflect the values, culture and real-world concerns of the organization, should cover people, process, performance, and quality. Design and organize around organizations to maintain viability and deliver tactical actions for strategic effect, influence the emergent properties of the environment and enable emergent change in its own behavior, function, and structure.

Organization design is the vehicle through which the business strategy is executed. When organizations can self-organize around core digital principle either for decision-making or problem-solving, the business life cycle could be viewed as resulting in emergent means of autonomous, self-adjusting, and self-renewing by focusing on solving top prioritized issues, balancing resources, and directing people to understand the whole, in terms of its inner processes, its interactions with external systems,

It’s excellent to organize around people - to delight customers, engage employees, generate multifaceted value to varying stakeholders: Many organizations across the geographical or industrial boundaries have come to the realization that in order to be successful, they have to focus their efforts on building people-centric business. So lean on customers, engage employees, and focus on creating value for people in every step, improve employee engagement, customer delight, stakeholders’ satisfaction.

Reorganization needs to enforce effective cross-hierarchical business alignment and accountability. One of the key principles of assigning responsibilities is to reduce as far as possible the number of people who have to be involved in each task, since all the additional communication/consensus seeking dramatically increases the time required to get even simple tasks done. So there needs to be the real delegation of responsibility with well-defined boundaries and clear accountability.

Digital blurs the functional, organizational, and even industrial borders nowadays. Traditional hierarchical lines will phase out. Organizations need to continually fine-tune a successful structure for improving people-centricity, performance, and unleash its full potential constantly.


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