Organization theory and design 04 2013
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Organization theory and design
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Organization theory and design 04 2013
- 2. หัวข้อบรรยาย/กรณีศึกษา 1 แนวคิดทฤษฎีองค์การ 2 โครงสร้างและการออกแบบองค์การ Focus on task performance and structure Focus on motivation Focus on adjustments to the external environment 3 หลักการการออกแบบองค์กรที่มีประสิทธิภาพ 4 Fundamentals of Organization Designพื้นฐานแนวคิดการออกแบบโครงสร้างองค์การ C 1 : Harvard Business Case / NYPD New 5 Designing Around the Customer C 2 : Harvard Business Case /Transformation at Ernst & Young United Kingdom organization @TC 2013
- 3. The Star ModelTM: A Framework for Decision Making • Strategy • Organizational Capabilities: Translating Strategy into Design Criteria Structure • Processes • Rewards • People organization @TC 2013
- 16. Design Principles • • • • • • • • • Requisite Complexity Complementary Sets of Choices Coherence, Not Uniformity Active Leadership Reconfigurability Evolve, Do Not Install Start with the Lightest Coordinating Mechanism Make Interfaces Clear Organize Rather Than Reorganize organization @TC 2013
- 17. What was it all about? Configuring: ü Structure ü Processes ü Reward systems ü People practices & policies TO SUPPORT THE STRATEGY Source: Galbraith, J & al: « Designing Dynamic Organization » Chapter 1 ‘Getting started’ organization @TC 2013
- 18. NGSB Methodology – Our Star Model Strategy Need for Design Barrier Issues Strategic Success Factors Strategic Design Criteria People Practice Staffing and Selection Performance Feedback Learning and Development Workforce Planning Structure Organization Disconnect Roles and responsibilities Efficient Span-of-control New Structural Elements Reward System Goals and Results Values and Behaviors Individuals and Teams Metrics Lateral Process Integration Integrative Roles Teams Networks Matrix Structures Realized Design Benefits Effective Structural Change No Organization Disconnect Reduced Role & Decision Conflict Efficient Span-of-control HR Partnership Silo Integration Strategic Staffing Increased Management Skills Management Consensus Adapted from Designing Organizations by Jay R. Galbraith, p. 12 (Josey-Bass, Inc., San Francisco, CA 1995) 18 NORTHROP GRUMMAN PRIVATE/PROPRIETARY organization @TC 2013 LEVEL I
- 19. What We Learned One-Page Consensus from Completed Strategy Workshop Success Strategies (Tool 3) ----------------------------------------------------------------------------- Strategic Org Capabilities (Tool 4) Design Changes (Tool 4) -------------------------------------------------------------------------------------------------------- 1. ----------------------------------------------2. ---------------------------------------------- Technical success § Improve accuracy, process, training 3. Continuous improvement group Project success § Prioritize all work 4. Project management team ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- 5. ----------------------------------------------6. ----------------------------------------------7. ----------------------------------------------8. ----------------------------------------------9. ----------------------------------------------- ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- 19 organization @TC 2013
- 20. NGSB Methodology – Workshop Overview Methodology Phases Strategy Workshop Purpose → Design Workshop → Implementation Workshop ▪ Issues with current design? ▪ Does design address all criteria/issues? ▪ Are key processes integrated? ▪ Do current practices support? ▪ Is the design improved? ▪ Is the implementation ready? ▪ Will employees transition smoothly? • Has the design been effective? Improving What Is Inefficient or Ineffective Validating Design & Optimizing Implementation 1. Deciding What Works Well Tools ▪ Assess and implement design Identifying What Needs to Change Questions ▪ Issue resolution & detailed design 5. Improving structural connections 6. Improving roles and responsibilities 7. Improving responsibility levels 8. Improving span-of-control 9. Detailed structural changes 10. Improving lateral process integration 11. Validating reward & people practices ▪ Design need and changes ▪ ▪ ▪ ▪ Why change? Are we ready? What capabilities are lacking? What change is needed? 2. Deciding What Will Succeed 3. Determining Org Capabilities 4. Determining Design Changes 12. Design/implementation check 13. Design effectiveness 14. Role transition Adapted from Organization Design, The Collaborative Approach by Naomi Stanford, p.3 (Elsevier Butterworth-Heinemann, Burlington, MA, 2005). 20 NORTHROP GRUMMAN PRIVATE/PROPRIETARY organization @TC 2013 LEVEL I
- 21. Four Phases of Organization Design I. Determining the Design Framework Leader and Executive Team Current State Assessment Strategy What organizational capabilities do we need to deliver on the strategy? Leadership Team II. Designing the Organization Processes and Lateral Capability Structure What structure and organizational role meet our strategic design criteria? Steering Committee and Work Groups Whole Organization What is the gap between where we are and where we want to go? How will work get coordinated and integrated across business units? Reward Systems How do we measure and reward performance at an individual, a team, and an organizational level? People How do we select and deploy people into new roles, manage their performance, and support their development? III. Developing the Details What are the details? How do the pieces all work together? IV. Implementing the New Design How are we going to make the transition? Source: Jay R. Galbraith, Designing Organizations: An Executive Briefing on Strategy, Structure, and Process (San Francisco: Jossey-Bass, 1995). organization @TC 2013
- 22. organization @TC 2013 22
- 23. Organization design – star model STRATEGY Vision & Mission Direction Competitive advantage PEOPLES PRACTICES Staffing and Selection Performance feedback Learning and Development REWARD SYSTEM Goals, Scorecards Values and Behaviors Compensation|Reward STRUCTURE Power & Authority Reporting Relationship Oganizational roles PROCESSES AND LATERAL CAPABILITY Networks, Processes Teams, Integrative Roles Matrix structure Source: Galbraith, J & al: « Designing Dynamic Organization » Chapter 1 ‘Getting started’ organization @TC 2013
- 26. Organizational Design Variables From Galbraith organization @TC Implementation: and Kazanjian “Strategy 2013 Structure, Systems and Process”
- 27. ü ü ü ü PEOPLE / TALENT: Assessment Focus Does the organization have the competencies / talents required? What are the competencies / talents required? Have HR practices kept pace? Is there a good process for developing competencies & talent, for making sure people have meaningful job experiences & career paths? How do the established HR practices facilitate and/or impede collaboration & integration? Is the organization developing the needed leadership capability and succession at all levels? REWARDS / INCENTIVES: Assessment Focus ü Does the reward system motivate & reward required individual & team performance? ü Does it motivate the needed cooperation among individuals & across various teams & units? ü Does the performance assessment process focus on the key individual & collective performances? ü Are rewards flexible enough for diversity of work – yet foster the needed inter-group collaboration? q ü ü Work Processes People ü Structure Culture Rewards ü ü Assessing Organization Design Strategy WORK PROCESSES Describes the key tasks & activities of an organization Assessment Focus Are there work processes that have become more (or less) important in the current environment & given the business strategy (e.g., where customer emphasis, technology, or business requirements are changing)? Which major work processes currently work well (are well integrated), & which need to be improved? Where does coordination/ integration break down? Do support processes meet the requirements of the businesses? ü ü Management Practices STRUCTURE: Assessment Focus ü Does the current structure leverage talent (board and staff) and optimize partnerships? ü Does the current structure facilitate or impede effective management of functions, programs, customers, and partners? ü Does the current structure impede or facilitate work effectiveness/mission accomplishment? ü Are there the right kinds of connections across units and/or with partners to be able to effectively & efficiently make decisions, resolve issues & integrate work? Where does this break down? ü Are the various parts of the organization well linked through the information technology system? MANAGEMENT PRACTICES: Assessment Focus How is the direction set & cascaded through the organization? How well does it work? How well does it help integrate the activities of the organization? (e.g., strategy, goals & objectives, budgets, metrics, reviews, etc.) Are decision-making processes, authority, & responsibility clearly defined & well understood? How do they break down? Where is there a lack of common understanding that may get in the way of well integrated and/or efficient work? Does the right information get where it needs to be for effective performance? Does information get shared across the organization? Where does this break down? Are there processes in place for learning across the organization & improvingorganization work & business processes? Where does this break down? Currere Adaptation of Galbraith Star Model @TC 2013