As an organisation evolves, the components that make up the organisation evolve. If you change something in one of the parts, it has a direct effect on the others:
1.The corporate strategy gives meaning and direction.
2.The organisation is the executive power.
- a) Structure/Roles (Organisational Structure)
- b) Rules and processes (process organisation)
- c) People and culture
Corporate strategy asks:
- What are our goals?
- What is the future we wish to create?
- What should the company look like in the future?
- Do we have the right products today? Production? Markets? Finances etc.?
- What do we see in the Gap analysis?
Organisational Design asks:
- Are we correctly structured as an organisation to support the strategy?
- Does our organisational design maximize the use of our internal resources?
- Are our processes efficient?
- Do we have the right policies?
- Do we have the right competencies? The right culture? The right people?
Golden Management Rule
Even if organisational development is a continuous process, there should be a logic behind it. First comes the development of the corporate strategy, then the OD plan. Not vice versa and not isolated from each other. The two areas must be well-coordinated
The next part will follow very soon!