How to make sure your structure is built for good, not evil

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PART 4: How to make sure your structure is built for good, not evil.

How to build a high-performing organization in the 21st century.


Strategy aligned? Check.Fed by your culture? Check.

Ok then, let’s talk structure.


…it reinforces and enables

your strategic direction …it creates great jobs to

keep your people engaged

and fulfilled

…it gives your people the

necessary autonomy to get

work done

…it enables efficient

collaboration – the way

you want your people

to work

Good structure supports and balances your organization

(instead of controlling it).

WorkCulture StructurePeople

Strategy


In other words, put your culture and strategy in place, then make sure your structure is the heck out of the way.


Because a good corporate structure is like your own bone structure:when it’s working right, you shouldn’t notice it.


Let’s take a closer look at what might make your structure good or evil.


First, let’s visualize evil. (and by ‘evil’ we mean that it obstructs you from

achieving your goals and getting things done)


evil : driven by policy.Your structure is probably working for evil if it’s driven by anything other than your strategy and

culture. All too often, org structure is determined by internal politics, company history, outside

regulations, or even individual personalities (you know, the ‘Jill really likes to manage the art

department, so we need to make sure we keep that role for her’ approach).

This approach leads to a structure that doesn’t support where the company wants to go, or how it

wants to get there. Instead, always, always start with your strategy.


evil : over-engineered.Less-structured organizations out-perform heavily-engineered organizations. Why? Because the

more complexity you add to your structure, the less agile you are – and being agile is more and

more important in this VUCA (Volatile, Uncertain, Complex, and Ambiguous) world.

How many desks does a

communication have to

cross before it reaches the

front-line staff? Now

imagine that number cut

in half. Better, right? Just

keep it simple.

Heavy going. Just right!


evil : too many witches, not enough flying monkeys.When you have an org structure that is like a fancy cake: layer after layer…what do you end up

with? Lots of managers. Even a simple structure can have too many. And too many managers

often means working managers – people who have to manage others while still handling other

duties - which means they aren’t fully focused on either role.

A structure that requires

fewer managers means

you can hire or promote

people who want to

manage and are good at

it – you know, the ones

who really do it right.


evil : too much ‘who’s on first?’A good structure requires clarity. Without it people don’t know what their roles are or how

they fit into your strategic plan. It’s a lot like kiddie T-Ball: you’ve got a bunch of frenzied

action… but also a lot of dropped balls, stepped-on toes, general confusion, and very little actual

progress.

Instead, make roles clear, define

expectations, and make who

decides what transparent.

Don’t forget to make sure

everyone knows exactly how

they are helping to reach your

strategic goals.


But it’s not all bad news! Want to look at good structure?


good : supports your strategy.

If you’ve been following us, this should come as no surprise: you need to start with your strategy.

What organizational structure will support your strategic goals? What will reflect your culture

best? Always build from strategy up.

Tip: tying your structure back to your strategy and culture will help connect your people to the great thumping-

heart goal (you know, the purpose and meaning) of your company – a sure way to drive engagement and

loyalty in today’s transient workforce.

Want a well-run army? Then

go for hierarchy and layers of

authority. But if you want to be

nimble in order to meet

changing market forces, don’t

make your structure so dang

complicated.


good : enables collaboration.Build your organization in such a way that collaboration and knowledge sharing are simple and

supported. Improve information flow by flattening your structure (removing layers of

management): the fewer people

an idea has to move through, the

faster it can be implemented.

Or think informal affinity groups. Got

marketing people scattered across

different teams? Help them come

together to share their wins, losses,

and inspirations – and incidentally

increase job satisfaction.


good : drives autonomy.Rule number one for great performance in today’s world of work? Treat your people like adults.

How? Give them autonomy. This means having a structure that gives your people the freedom to

actually get stuff done.

To do this, make sure you push decision

making to the appropriate level.

Decisions should be made where the

most current and relevant information is

- usually closest to your customer and

your core processes.

Tip: want excellent customer service? Make sure your customer-facing people can make customer-centric

decisions. That’s what we mean by making sure decisions are at the appropriate level.


good : creates great jobs.Studies have shown that the best way to keep your employees engaged is to create great jobs for

them. And we all know engagement drives organizational performance like nobody’s business. So

don’t build your organization around a slew of meaningless, thankless, and soulless positions.

Instead, ditch the unnecessary. Kill

burdensome processes. And build

roles that meet your strategic need

but also stretch people - at all levels

of the employee career cycle, from

the most experienced to the

freshest-from-school.

Tip: remember, your top performers will need ways to develop in the organization. Provide growth opportunities

that focus on growing their mastery and autonomy, not rank. Need an example? Give that top salesperson a

bigger territory instead of making her a manager.


Let’s recap.

Driven by policy

Over-engineered

Not enough clarity

Creates great jobs

Enables

collaboration

Supports your

strategy

Drives autonomyToo many

Managers

evil. good.= =


Tune in next month for PART 5: how to tune your performance management to make your organization great.

Got all that? Think you’re done?

Not so fast: if you don’t have your people working with you, you aren't going to get very far.


your people = your success.

Seattle ∙ Portland ∙ Vancouver, B.C.

www.peoplefirm.com

thanks for reading.

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How to make sure your structure is built for good, not evil