Right Organizational Structure – Design it Right, with high ROI impact & Success

How many times, how you repeatedly been part of the water cooler conversation, that XYZ function simply doesn’t get it – too delusional & miles distant from reading reality and/or stakeholders requirements. In fact, how many times have you initiated such a discussion? Perceived pain point: Functional Effectiveness, Real pain point: Organizational Structure (yes, it is!)

Similarly, how many times have you witnessed the trend of following at your organization:

1. Critical Roles & Decision Makers not being on the same page with organizational priorities, & resource allocation
2. A well crafted, powerful & well bought-in organizational vision, but disastrous execution
3. High friction in managing competing needs between current business & new initiatives (designed to drive differentiation)
4.  Too many balls dropped & leakages happening, directly impact C-Sat & Business metrics

Most high-growth organizations need to go through continuous phases of innovation in order to create 2x – 3x+ changes in the potential for their business. While the process of going from 0 to 1 with the first product is an innovation, it only allows the company to get off the ground. Sometimes, that original innovation is enough to carry them from seed to IPO. But that is incredibly rare. What’s more common is that high-growth organizations must innovate (& do that proactively) several times over in order to create step changes that help them scale from early-stage to growth-stage and from growth stage to a publicly-traded organization.

To stay focused on the core, it’s super critical to design an Organizational Structure that enables Leaders & teams to keep proliferating the above, & contributing with higher value to enterprise value. Just to give background, “Shipping the Org Chart”, is a critical & powerful concept, detailed elaborately by Steven Sinofsky in Functional v/s. Unit Organizations. The TL;DR is that the design of your org makes its way into your product. In other words, your product is significantly influenced by the nature of the organization you’ve designed within your company. Why, cos design nudges/shapes the behaviors (& decisions) to a great extent. 

In fact, the downside of an out-of-sync (shape) Organization is – It gets distracted from its core, the rate of change in execution, agility speed & enterprise value starts to diminish (even though value creation happens, the differential rate to incremental value diminishes). 

The Brew’s Right Organizational Structure enables Organizations & Leaders with the following:

Over the years, The Brew has figured out a playbook to designing organizational structures right – these are few, but definitive principles, enabling us to build a fail-safe playbook for:

1. Enabling Leaders & Teams to design the organizational structure right, in alignment to Business Strategy (Sales/Product/Innovation/Growth, etc.)
2. Proactively enabling Leaders & Teams to design the organizational structure, as required by the Organizational Phase (position in Organizational Life Cycle stage)
3. Striking the right balance between Core functions/Strategic functions/P&L functions & determining the right sequence for scale-ups
4. Striking the right balance between Efficiency v/s. Effectiveness functions, Short term v/s. Long term goals, Decentralized Autonomy v/s. Centralized Control etc.
5. Striking the right balance between Customer Value v/s. Innovation v/s. Optimization v/s. Growth & continuous improvement to Value Creation v/s. Value Capture
6. Defining the Right set of metrics for the respective functions (thus reducing the toxicity & frequencies of similar water cooler conversations)

Why take The Brew’s Right Organizational Structure, unlocking tremendous value & creating a winning circle:

1. Enables Leaders & Organizations to identify systemic pain points, design flaws & root causes in existing organizational structure
2. Create & propose an alternate organizational structure, driven with systems-thinking principles, sans the design flaws & systemic pain points
3. Partner with Leadership & Management to project, position the alternate structure to the team to get the buy-in & devise the change management
4. Post building the buy-in, handhold the deployment with activation of functional metrics & accountabilities