PROCESS-DRIVEN ORGANIZATION DESIGN
Granted, the people at AIT are, by nature, process focused, but we strongly believe organization design should be process driven. And although some may argue, organizations enable process, not the reverse.
So to extract financial hard benefits or other soft benefits from a reorgranization effort, the processes the organization is responsible for must be better enabled in some way by the new organization design. With Organization Design work, therefore, special care must be taken to drive changes with a net benefit. For example, moving people to better focus on lacking process capabilities often can cause a decline in focus on other sister process areas. The net benefit should be positive for the organization, or the change should be questioned and potentially redesigned or not done at all.
From AIT's experience, there are many situations where a reorganization may be needed prior to Business Process Reengineering or Continuous Improvement work. In these cases, process ownership is usually unclear, and therefore, accountability for the deficient process is questionable. Organization focus is needed before the process itself can successfully be changed to improve performance.
So to extract financial hard benefits or other soft benefits from a reorgranization effort, the processes the organization is responsible for must be better enabled in some way by the new organization design. With Organization Design work, therefore, special care must be taken to drive changes with a net benefit. For example, moving people to better focus on lacking process capabilities often can cause a decline in focus on other sister process areas. The net benefit should be positive for the organization, or the change should be questioned and potentially redesigned or not done at all.
From AIT's experience, there are many situations where a reorganization may be needed prior to Business Process Reengineering or Continuous Improvement work. In these cases, process ownership is usually unclear, and therefore, accountability for the deficient process is questionable. Organization focus is needed before the process itself can successfully be changed to improve performance.
Our Organization Design approach uses the same fundamental phased approach as Business Process Reengineering efforts - Value Chain Transformation (VCT) - however, the activities are generally focused more on the people and skills required to enable key business processes. At the end of the day, a successful Organization Design effort hinges on your ability to build a knowledge base around the resources and skills required to enable every critical business process for which the organization is responsible.
The challenges with Organization Design usually are related to the level of resources and skills required to address new capabilities or performance enhancing teams that formerly didn't exist. Here, it's important to build into the Organization Design some flexibility so the To-Be organization is agile enough to adjust to either need for additional resources or an overstaffing situation.
The challenges with Organization Design usually are related to the level of resources and skills required to address new capabilities or performance enhancing teams that formerly didn't exist. Here, it's important to build into the Organization Design some flexibility so the To-Be organization is agile enough to adjust to either need for additional resources or an overstaffing situation.
