The Benefits of
Rethinking
Your Org Chart
To remain competitive , run lean , and respond quickly to fluctuating demand and market disruptions , companies today are turning to custom , flexible work models . Such models rely upon real-time staffing needs for projects — utilizing part-time , full-time , and temporary-to-hire workers or satellite consultants who work off-site , either in another state or country .
Each of these workers possesses specific skills that are needed for a specific project covering a specific time frame . Sometimes referred to as hyper-specialization — breaking work , previously done by one person , into specialized projects performed by several individuals — it ’ s a strategy that can offer improvements in quality , speed , and cost , particularly if the work is aggregated against specific overarching goals .
Thus , by sourcing the right talent via the right medium at the right time , workers aren ’ t left “ sitting on the bench .” By bringing in hyper-specialized talent on an as-needed basis , these agile labor structures can actually increase productivity while reducing costs , as companies no longer need to be committed to costly job training programs .
Better yet , by plugging these individuals into a master organizational chart through dotted lines to various functions and leaders , talent can be aligned for greatest impact — inspiring the innovation that can drive competitive advantage .
Considerations for choosing the right structure When companies experiment with flexible models , it ’ s the team leaders who decide who to bring aboard and when . Thus , an important consideration is whether to choose a flat or hierarchical structure — or possibly a blend of both .
Organizations that are flatter provide a range of leaders across company functions , giving employees more freedom and ownership on projects . Innovation is no longer the responsibility of the R & D department , meaning that the best ideas can come from any functional area at any time . Thus , it ’ s critical to take a deep look at how candidates best function when hiring talent to bring into a flat matrix . Candidates who , for example , naturally initiate and organize group activities could thrive in a dynamic and constantly changing structure .
Hierarchical or layered models are less common for fast-growth companies focused on innovation , since the critical information and data that ’ s needed to innovate can get mired in the slower-moving flow of top-down communication channels . Moreover , leaders at the top of such structures generally tend to look across the organization at a macro level rather than participating in R & D brainstorms or tinkering with micro-level ideas .
“ Every company has two organizational structures : The formal one is written on the charts ; the other is the everyday relationship of the men and women in the organization .”
HAROLD S . GENEEN
CONNECT CULTURE WINTER 2016 // SNB . COM | 9