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Organizational Design & Development. February 2, 2010 MGMT-4000 Linda Miklas, Christina Finegold Harvard University. Understanding Design. Are business units: Structured around a clear and demonstrable value proposition?
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Organizational Design & Development February 2, 2010 MGMT-4000 Linda Miklas, Christina Finegold Harvard University
Understanding Design Are business units: • Structured around a clear and demonstrable value proposition? • Responsible, with authority, for developing and executing key components of strategy? • Authorized to make decisions affecting strategy? • In control of resources required to execute strategy? • Accountable for revenue, funding, profitability? Source: 2009 Corporate Executive Board, Corporate Leadership Council’s “Frameworks for Organizational Design”
Structural Imperatives Source: Reframing Organizations: Artistry, Choice, and Leadership. Bolman, Lee G. and Deal, Terrence E., 2008, Jossey-Bass.
Organization Design Characteristics(Boston Consulting Group) Source: 2009 Corporate Executive Board, Corporate Leadership Council’s “Frameworks for Organizational Design”
Galbraith’s Star Model Strategy Structure People Rewards Processes Source: 2009 Corporate Executive Board, Corporate Leadership Council’s “Frameworks for Organizational Design”
Execution: The Discipline of Getting Things Done People Operations Strategy Source: Execution: The Discipline of Getting Things Done. Bossidy, Larry and Charan, Ram, 2002, Crown Business.
Five Basic Structure Options Source: 2009 Corporate Executive Board, Corporate Leadership Council’s “Frameworks for Organizational Design”
Strategies for Five Structure Options Source: 2009 Corporate Executive Board, Corporate Leadership Council’s “Frameworks for Organizational Design”
Balanced ScorecardAssessing Tradeoffs from Four Structure Perspectives Source: 2009 Corporate Executive Board, Corporate Leadership Council’s “Frameworks for Organizational Design”
“Fit” and “Good Design” TestsMichael Goold and Andrew Campbell Source: 2009 Corporate Executive Board, Corporate Leadership Council’s “Frameworks for Organizational Design”
References • 2009 Corporate Executive Board, Corporate Leadership Council’s “Frameworks for Organizational Design”; CLC6422289. • A Survivor’s Guide to Organization Redesign, Boston Consulting Group, 2003. www.hcg.com/impact_expertise/publications/files/Survivors_Guide_Organization_Redesign_Jan2003.pdf • The Balanced Scorecard. Kaplan, Robert S. and Norton, David P., 1996. • Designing Your Organization: Using the STAR Model to Solve Five Critical Design Challenges. Kates, Amy and Galbraith, Jay. • Do You Have a Well-Designed Organization? (Goold and Campbell’s Fit and Good Design Tests), Harvard Business Review, 2002. • Execution: The Discipline of Getting Things Done. Bossidy, Larry and Charan, Ram, 2002, Crown Business. • Organizing for Agility: Creating Natural Business Units, Booz Allen Hamilton, 1999. www.boozallen.com/publications/article/658369. • Reframing Organizations: Artistry, Choice, and Leadership. Bolman, Lee G. and Deal, Terrence E., 2008, Jossey-Bass.