Ups and Downs
I recently became excited when I heard about a particular presentation--Organization Structure: A Tool for Advancing Innovation and Business Bottom Line--sponsored by the FedCap Group, a consortium of companies that hire and provide programming for people who are traditionally hard to place. They serve those with disabilities, folks on public assistance, youth in transition, those who may be suffering with mental health issues and those involved with the criminal justice system, to name a few.
If you know me and my work, you know I simply could not resist attending this event. For, finally someone was taking organization structure to center stage! How terrific! I applaud FedCap for being among the few willing to address the issue of structure.
At this presentation I learned:
According to a McKinsey survey, 60% of global executives said they have experienced a redesign within the last two years
Almost 90% of the consultants at Boston Consulting Group said they had recently carried out a restructuring
A Bain & Company study of 57 reorganizations found that fewer than one-third improved performance
The panel consisted of a consultant, the head of a NYC based non-profit, and the CEO of an insurer based in Westchester. All obviously were caring professionals. Some referenced the importance of mentoring; another spoke of hiring outstanding talent when they see it and figuring out the role later; and all talked about the importance of transparency of in-person individual and team communications. So interesting!
Nothing was mentioned about organization infrastructure.
Where was the attention to creating an infrastructure upon which everything else hangs? Where was the organization spine? Let me make this cogent point using the human spine as metaphor. The human spine is the conduit within the body through which energy flows. It consists of discs spaced apart for its entire length holding the spine vertically. Energy flows to organs and other parts of the body through the spinal column, with the spinal cord running from the brain stem down to the lower back, with nerve endings and ligaments. Each has a unique function in the overall well being of an individual. Fluid travels up and down the spinal cord directly to the brain. A physician may order a spinal tap to remove a small amount from the lower spine in order to determine what is wrong within the body. This can determine if there is a serious disease. When discs are damaged there is pain. There is blocked energy and imbalance. When the integrity of the spine is violated we suffer. The spine is complex. We don’t see our spine, but we know it is there holding us up, doing its work to keep our body healthy.
The human spine is a great metaphor for organization structure. Most have not yet studied the invisible infrastructures of our work systems--our companies. Yet the process exists. I think it’s about time to study and apply the body of knowledge known as Requisite Organization (RO). Dr. Elliott Jaques spent his life’s work making visible the invisible organization infrastructure, uncovering scientific facts related to organization infrastructure so that work systems have integrity, creating conditions which support the flow of human imagination and creativity directed towards excellence of the products and services delivered.
Strangely enough, other parts of the world--Asia Pacific and Africa--embrace Dr. Jaques’ findings. As does General Colin Powell (as head of the Joint Chiefs of Staff). The clarity of role accountabilities and authorities, and the importance of having a boss located in the next level of the organization are transformative to the organization’s overall success and profitability, individual worker satisfaction, engagement and fair pay.
Have you looked into RO? BE welcomes the opportunity to conduct an executive briefing for you and your top team, and/or to conduct a pilot study to show you exactly what you have in your company. We are here to help.
BE Bold, BE Brave and BE your Best.