Restructuring is not a process that should be taken lightly. Simplifying things can be a complex undertaking and it will take months of planning, implementing and refining to reach peak performance. Once it’s done, however, you’ll wonder how you operated under the old structure.
Technological advances often mean that business units change processes (or in some cases, function) more quickly than the business is prepared for – this results in blurred lines of accountability and confusion over where certain tasks ultimately sit. These advances, combined with expansion projects inevitably shifting towards operational matters, have also resulted in a reduction of roles. When these changes are not adequately planned for, it means that the resulting organisation structure is less than optimal.
Running at less-than-peak performance as a result of inadequate organisational structure will cost you money – but it’s hard to quantify. Simplifying processes and fixing a flawed structure will save your business money – but how do you put an ROI on that? The best way to do this is to play the long-term game – compare the wages, output and efficiency of the old structure with the projected wages, output and efficiencies of the new system.
The problem with large changes like this is that people operating under the existing system fall into the “if it ain’t broke” trap; they see that things are functioning and question why changes should be made, rather than seeking to innovate. Keep in mind that you’ll have to deal with these people who get in the way of progress. Keep in mind that sticking with something because it’s always been done that way is counterproductive.
Tips to keep control of new organisation structures:
· Bring all processes under under one system – Roy Hill recently started utilizing Promapp so that everyone was operating under the same system and all of the processes could talk to one another
· Review the necessity of your processes regularly. If the only reason a task is being completed in a particular way is because “that’s the way it’s always been done”, see if there is a better solution.
· Don’t be afraid to rock the boat – if you’ve recently restructured, don’t assume that the current state is the silver bullet. If you see something is amiss, be prepared to speak up and make changes to the structure once more.
We have plenty of experience helping people and their organisations through periods of transition. If you’d like to talk to us about restructuring or increasing your efficiencies, give me a call on 0428 911 450.