Design Organisation


 

OD GUIDE

This short guide provides a high-level scan on the thinking, models and OD

Each section of the guide provides links off to further reading in books and on websites. We start off with the key thinkers who have shaped OD theory and practice…


OD guide
Jay Galbraith

OD expert

Jay Galbraith was Senior Research Scientist at the Centre for Effective Organisations, University of Southern California and founder of Galbraith Management Consultants, probably the most well-known in the area of OD thinking and research…


OD guide
Ed Lawler

OD expert

Distinguished Professor of Business at the University of Southern California, and founder and director of the university’s Centre for Effective Organisations. He has been influential in area of OD and management for more than 20 years…


OD guide
Robert Simons

OD expert

Professor of Business Administration at Harvard Business School and researches and writes in the three areas of OD, performance measurement and risk management…


OD guide
David Nadler

OD expert

Founder and CEO of the Delta Consulting Group, Inc., which joined Marsh & McLennan Companies and became Mercer Delta Consulting. Recently appointed to the role of Vice Chairman of MMC…


OD guide
Rosabeth Moss Kanter

Change expert

Professor of Business Administration at Harvard Business School and former editor of Harvard Business Review. Specialises in strategy, innovation and leadership for change…


OD guide
Other academics

More experts

More key academics that address the topic of OD, sometimes as part of a wider topic, usually change management…


OD guide
Academic themes

Eight common themes that any internal OD function should commit to memory…


OD guide
Industry themes

A list of the common themes suggested by OD experts from several high profile organisations…


OD guide
Delivery approaches

Hire v DIY?

Choosing an open or a closed approach to the design process can alter the speed and effectiveness of delivery…


OD guide
Why change?

Good OD is the “dual focus” of helping an organisation become more efficient (focused on cost) and more effective (focused on smart ways of working)…


OD WHAT?

Organisation Design is the deliberate process of configuring structures, processes, reward systems, people practices and policies to enable organisations to achieve their mission and strategy.

It involves the creation of roles, processes and formal reporting relationships. Most organisations that have an OD capability see it as a normal, integrated and design-oriented discipline that aims to produce the frameworks and tools required to create effective organisations.

OD is not just about who reports to who and constructing accurate structure charts but includes building a culture for ongoing organisation development.


OD MODELS

An operating model is essential to guide the design of an organisation’s structure and roles, to ensure that what is critical to ongoing success is not compromised or forgotten.


Which operating model might be important to shape your organisation?


Operating models
Functionally-based

This model separates specialties such as marketing, product delivery and finance into divisions…


Operating models
Project-based

Combines representatives from specialties onto project or client teams…


Operating models
Product-based

First tier of separation is by category. P&L measured by category…


Operating models
Market-based

A variation of organising by product where sets of customers are defined with similar characteristics and needs…


Operating models
Matrix-based

Organisation of project teams with members retaining functional area reporting relationships and identification…


Operating models
Process-based

An organisation structure is designed by each major process. “Process Owners” are identified for a process…


Operating models
Channel-based

First tier of separation is by channel e.g. online; stores; distributors. P&L is measured by channel…


Operating models
Category-based

First tier of separation is by category. P&L measured by category…



OD TOOLS

A useful toolkit for OD managers to use at each step of the process, from design through to delivery…

 


OD tools
Cost benefit analyses

CBA is a widely used method designed to help decide whether the implementation of a specific course of action is cost effective…


OD tools
Cultural web

The cultural web is a tool which allows you to question your current culture and start creating a new one more akin to the organisation’s needs…


OD tools
Leadership styles

Six leadership styles that can help create resonance within an organisation and show how successful leaders should be able to switch between styles depending on the situation…


OD tools
Porter’s five forces

Porter’s Five Forces method is an analysis for identifying an industry’s value and influence in the area in which a business operates…


OD tools
Value chain

The products and service an organisation produces can gain value through specific activities if they are run efficiently at optimum level and done effectively…


OD tools
Process mapping

Process Mapping is a tool used to analyse and transform an organisations work processes to become more efficient, cost effective and generally become world-class competitors…


OD tools
RACI

RACI is a tool used to identify the different roles and responsibilities involved in an organisational change…


OD tools
Six thinking hats

Edward de Bono’s Six Thinking Hats technique is an alternative thinking exercise getting people to see things from different perspectives…


OD tools
Stakeholder management

The Stakeholder Management analysis is a useful approach for identifying and understanding the expectation and interests of different groups of people (with influence) inside (or outside of) an organisation…


OD tools
SWOT analysis

SWOT is the identification of an organisation’s strengths and weaknesses and the possible opportunities and threats it may face…



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