S S Ten Slides in Ten Minutes: A Perspective on Organisational Design

Presented by:

Bill Graham APM.APMP

July, 2013

bill.graham@sales-synthesis.co.za

Dominant Exclusive Emerging Pervasive Absent

Symbiotic relationship with clients

Sustainability

Making the competitors irrelevant

Projects Particular Performing Pertinent People Places

The Sustainable Business Imperative

Building mutually beneficial and sustainable long-term client relationships

Source: Sales Synthesis

Multi-National Companies [MNCs] may embrace a new dawn or a long dark night.

Know where you are going

Slide: 2

Leadership

Executive

Management

• Ensure that the Strategic Market Development initiatives

support business aspirations

• Delivery of revenue to the business

• Mitigation of identified risks

• Delivery of profit (value) to the client

Structure

Processes

Growing a Business is not a spectator sport

Source: Sales Synthesis

Organisational Design is a Key Component of a Sustainable Business Centric Framework

Moment of Truth

Slide: 3

• Strategy moulded by present solutions portfolio

• Strategy stagnation • Limited portfolio for growth potential • Indeterminate value propositions

Culture

Resources Process

Org Struct Strategy Learning

• Sales personnel have limited portfolio of offerings

• Largest number of employees working in security

• Low number of resources in areas where customer contact is prime

• Low number of resources in areas where revenue growth could be derived

• Development programmes available but relevance needs assessing

• Potential for building skills base •

• Open, honest, ethical • Predominantly European • Willing to learn • Potential to mentor / coach & grow

• Functional structure sound • Reporting structure confusion • Unclear demarcation of authority • Inadequate resourcing in certain units

• World-class employee handbook • Appearance of sound policies • Low adherence to policies and

resultant interventions

Relevance of Organisational Design - determined through analysis

Slide: 4

Armed with this information gaps may be determined & action plans crafted

Source: Template, courtesy of Melrose Atteridge

Understanding the impact of cultural differences is key to global business success

Model of Culture

Time Focus

Space

Structure

Action

Time Orientation

Power

Communication

Competition

Source: Centre for Promoting Ideas, USA, 2012

Culture : ‘the inherited values, concepts, and ways of living which are shared by people of the same social group’

Activities: One after the other – with detail; Concurrent activities – less detail

Past, present, future: Traditional – short term gains through to long term plans /results

Hierarchy versus Equality: Dictatorial through to involvement

Wealth, performance, ambition versus Job satisfaction

Doing or being

Individualism or collectivism: Individual is self-reliant versus shared values of group

Personal zone: Business rather than personal issues

High context versus low context

Slide: 5

Some major organisational failures can be fairly attributed to some of the C-Levels.

Drowning at C-Level

Some CEO’s have reached the age where the happy hour is a nap

Be careful when fishing at the shallow end of the Gene Pool

'Smart people believe weird things because they are skilled at defending beliefs they arrived at for non-smart reasons' - Michael Shermer

Fact: C-Level people are intelligent and so, when they believe something, you can be certain they will find a way to convince others that it’s ‘the single version of the truth’. Thus, their decisions in terms of organisational design can be disastrous

Slide: 6

The Organisational Design Paradox – Lowering of Productivity

Source: Sales Synthesis

Number of Resources in a key Business Unit

Productivity

The crest of sensibility

[Optimal Design]

Slide: 7

An over-resourced key Business Unit, impacts across the whole organisation

The trajectory of hopelessness

The Organisational Design Paradox – Over-Resourcing across other Business Units to be able to Service at ‘Optimal Level’

Source: Sales Synthesis

Slide: 8

An over-resourced key Business Unit, impacts across the whole organisation

Over-Resourced Key Business Unit

Optimum Resourcing

Inflated Resourcing to interact with the over-resourcing of the Key

Business Unit

Business Units

Inter Business Unit Interaction

Points to Ponder

Slide: 9

• Most businesses reward those that are supportive of the group’s strategies and punish those who challenge the authority of the leaders by raising doubt/s

• 'The mere fact that a man is noted in his particular field of research, astronomy, physics, or mathematics should not be considered as presumptive evidence of his ability to see correctly things outside his experience.'

- Joseph Rinn

• Business Personality: The shared culture, about a company, about each other, about the value of treating others with respect, about being proud of who you – and your colleagues are - and about loyalty and integrity [Being good when no one is watching]

• ‘If you are riding a dead horse, the best strategy is to dismount.' - unknown • Legacy structures cannot drive new business opportunities.

Q&A

Slide: 10