resulted in 79% total reorganization success when the effort
Transcription
resulted in 79% total reorganization success when the effort
BCG’s OrgDesign approach requires going beyond structure When structure, individual capabilities, and roles and collaboration are in alignment — and tightly linked with a company’s strategy and sources of competitive advantage — an organization is geared for performance For additional information, please go to www.bcgperspectives.com/people_and_organization A video on how BCG helps clients improve their organization with BCG’s OrgDesign capabilities can be found at www.youtube.com/watch?v=8rxX8xAYcWo BCG’s point of view on OrgDesign Our designing for performance requires going beyond structure to look at other organizational enablers in a systematic way – that is, to make choices around three key elements Structure, to drive employee focus on strategic imperatives Individual capabilities, to ensure the right talent is in the right roles to enable structure Role charters and collaboration blueprints, which define rules of engagement to facilitate execution To enable competitive advantage and create high-performance organizations, we use eight levers around the three key elements, between elements and independently or in concert Organization and operating model Support functions and shared services Delayering Role charters and decision rights Degree of centralization Centralized Decentralized Vertical alignment Flatten layer Pool resources Segmentation of activities Widen span of control Specialized Cascade change Horizontal alignment Integrated Work optimization Team effectiveness Talent and capabilities High performance behavior and culture Tailored learning program Culture Behavior Career path High value Low value Six simple rules Capacity / Diversity management Our approach is fact based, supported by a robust suite of proprietary tools and rich benchmarking databases behind these levers. Context Certain factors are critical for flipping the odds of reorganization success: Synchronizing design with strategy resulted in a 5:1 success rate* when competitive advantage was the top design priority Clarifying roles and responsibilities resulted in a 6:1 success rate* when a systematic role-clarity process was applied Deploying the right leaders and capabilities resulted in a 74% total reorganization success when leaders were viewed as highly capable Designing layer by layer resulted in a 4:1 success rate* when a cascade design was used Minimizing risk in execution resulted in 79% total reorganization success when the effort was well executed Source: BCG organization of the future—designed to win survey, conducted in 2011; n = 1,041 responses. * The success rate is defined as the ratio of successful to unsuccessful reorganizations. OrgBuilder TM OrgBuilder is a proprietary, patent-pending software platform to support end-to-end reorganization. OrgBuilder helps you master the critical factors that determine reorganization success. OrgBuilder offers dozens of proven diagnostic analyses that provide a comprehensive view of your organization’s structure, talent, and capabilities. Progress towards targets 100 80 60 High potential talent Identified Target 41% Placed 42 39 Span of control Baseline Designed 6 8 Identified Talent 40 20 51% Implemented Layers Average performance rating Placed in org Removed from org 3.8 1.7 Baseline Designed 9 7 Example of a customized dashboard OrgBuilder furnishes dashboards and reports to ensure that proposed changes are aligned with strategic goals. OrgBuilder TM OrgBuilder is a proprietary, patent-pending software platform to support end-to-end reorganization. OrgBuilder has a user-friendly interface that helps you model and design your organization. OrgBuilder facilitates your ability to select the right talent for the right roles as you design and staff your organization...and keeps a full audit log of changes you make. Complementary tools and databases BCG’s OrgDesign approach offers tools and databases that can be used alone or with OrgBuilder to maximize its impact on your company Excellence in Support Functions —Benchmarking Activities-Based Optimization FTEs and cost benchmarking for all SG&A functions and activities from more than 900 available data sets Activities analysis to illustrate fragmentation, double work, and potential redundancies in activity SmartSpan Talent Planner A tool that recommends the optimal span of control for over 70 sub functions Future leadership and talent gap analysis and planning Tal e nt pla nn er Optimal span of control Roadmapping® Strategic Workforce Planning A strategic tool that enabels structuring and tracking of a portfolio of initiatives within a large change program Medium long-term workforce gap analysis and planning in the context of strategy and external trends Demand G a p Supply For further information, please contact the OrgDesign team at OrgDesign@bcg.com © The Boston Consulting Group, Inc. 2014. All rights reserved.