Re: Organizational Change Impacts LO4005

John Woods (jwoods@execpc.com)
Sat, 2 Dec 1995 07:52:48 -0600 (CST)

Replying to LO3974 --

With regard to the message below asking for help on the new organization:
I don't believe there are any specific answers I can give, but here are
some things to consider: By linear, I assume you mean a flattening of the
hierarchy. That's probably good to eliminate levels that, with current
information and communication technology, no longer can add much value.
It's also good to focus on customers and especially their satisfaction
with the benefits your company is offering. But the most important things
you should be doing in my opinion are to view your organization as a
system, get a firm grip on the processes by which you create your
product,and then work on continuously improving those processes to deliver
more value to customers. Those are things you didn't mention in your
post. They are basic, but they are also at the heart of any real change.

To simply change the way your company is now organized, but continue to
manage the same way (focus on numbers, MBO, and things like that) that
have internal meaning, then the reorganization will simply be cosmetic, in
place until the next one comes around. It seems your company may be
looking for the new best way to do achieve its goals. There is no best
way. There are no answers, only questions. But by asking the right
questions, those that have to do with understanding the system and its
processes, with how you can continuously make them better, and how you can
continuously improve value for customers, then you can come up with ideas
that help you do these things.

Doing what I am suggesting here takes a real shift in understanding about
what management is about, but if that happens, then your company will
create an environment where customers will be better served, employees
will be better off, and the company will grow and be profitable. Good
luck.

>My organization is currently organized in a very hierarchical fashion.
>New upper management is looking at changing the org to a more 'linear'
>model, with three 'tracks' focused on three major business processes. One
>'track' will focus on the ultimate Consumers of our products (we make
>juices, primarily), one will focus on our Customers (retailers, grocers,
>wholesalers, etc) and the third will focus on Technology (food technology,
>for ex.). My question has to do with information flow: how will it
>change, how should it change, what are the dangers, how do we make sure
>information is flowing correctly, timely, etc. How can we use information
>technology to move information and learnings to the appropriate people at
>the appropriate times? . . . . . .
>
>I know there are a lot of issues and concerns I'm not identifying here but
>I wanted to get the idea out there to see what people were thinking. Any
>thoughts on this would be greatly appreciated.
>
>Bob Hussey
>bhussey@oceanspray.com

--
John Woods
jwoods@execpc.com