Redesigning the organizational structure is a priority

One of the biggest challenges that organizations face in the face of uncertainty is how to organize themselves to interact with the new reality and stay competitive when change is discontinuous and the future is less and less an extrapolation of the past.

Organizational architecture is ultimately a means to an end: being able to interact in a given context in order to learn, adapt and stay competitive. Hence, the Organizations of the future, as Harvard Business School professor John P. Kotter argues in his latest book “Accelerating”, in order to face the new challenges they must have a Dual Structure, enabling them to combine operational results with greater operational resilience in the face of the complexity and volatility of a digital world.

The Imperative of Agile Organizational Redesign

It is becoming increasingly apparent that there is a significant gap between the pace of change that is necessary to compete in a digital world and the pace of change that most organizations are capable of keeping up with. The Redesign of the organizational structure It is a necessity to be able to continue competing in such a changing environment. We necessarily have to rethink what we want our organizations to look like in the future and put a greater focus on the Business agility as one of the core competencies that a company must have to survive and thrive in a world of accelerated change.

Agility It is the organization’s ability to anticipate an opportunity or threat, adapt, and react efficiently and effectively. On the one hand, it has a Strategic Dimension that allows you to spot and take advantage of new innovation opportunities before competitors. One Tactical dimension that gives you the ability to transfer resources, organizational talent, and management focus to new strategic initiatives. And finally a An operational dimension that allows you to maintain results while exploring the new opportunities of a complex and rapidly changing world.

More than just a process or methodology, organizational agility is essentially the company’s ability to dynamically plan strategies, accurately perceive changes in its external environment, and empower its employees to take the initiative and respond flexibly to new challenges.

That is why we say that the level of agility of a company It depends to a large extent on its professionals, in addition to their position in the organizational chart, having an open contribution framework that allows them to explore new opportunities, assess new challenges, and respond and adapt to changes. In other words, so that they can act as true entrepreneurs, anticipating windows of opportunity and launching the necessary innovation initiatives.

Many companies have been betting on agility as a key lever for several years
to accelerate their digital transformation
And the projects in which we have collaborated have allowed us to see first-hand that the difficulty of applying agility at the business level, beyond software development teams, is not so much in the processes, nor in the methods, but in the culture of the organizations and their structures.

 

The Redesign of the Organizational Structure

We therefore have to face the need for new organizational structures to interact with the new reality and the fact that the new imperatives of business agility are not achievable only with the hierarchical, highly centralized and bureaucratic structures that we have built since the first industrial revolution.

Organizations in the future must show that they have the dual ability to be dynamic and stable At the same time. Dynamic practices allow companies to respond nimbly and quickly to new challenges and opportunities, while stable practices allow us to maintain day-to-day operations and operational results. Agility is not incompatible with stability, quite the opposite. Agility requires stability for most businesses.

To master this paradox, as we have seen in
previous reflections
A new organizational design is needed that has not one, but two structures. A structure focused on achieving the day-to-day results of business and a second complementary structure, operating as an agile network, focused on the new opportunities and demands of the future.

The Network Structure It consists of autonomous, multidisciplinary teams that operate in rapid cycles of exploration and learning as true internal startups guided by a shared purpose to create value for the organization as a whole. This second agile operating model has the ability to quickly and efficiently adapt its strategy, structure, processes, people and technology to new business opportunities, creating competitive advantage. Traditional management and entrepreneurial management can work together. It’s about embracing operational duality as a A process of transformation and redesign of the organizational structure in order to move towards a more efficient and iterative working method.

Networks are a natural way to organize efforts because they balance personal leadership with collective innovation. Therefore, in order to build In agile organizations, leaders need to understand the potential of networking and networking as a driver of the necessary transformation towards business agility.

The
redarchy
thus increases the capacity for adaptation and change of the entire structure, facilitating collaborative innovation and corporate activism as a mechanism to mobilize participation, identify resistance to change and promote the necessary innovation initiatives.

 

Organizational Design Consulting

Create agile organizations and change the traditional way of working and leadership and move to dual organizations and
collaborative leadership
It is a process that requires a cultural change in the management of the company and its workers. If you need advice, Contact us through our form and we will be happy to advise you. We are one Expert consultant in the redesign of organizational structures of companies to turn them into dual, agile and effective organizations.