With many pharma financial executives recently leaving, I came across this item from The Conference Board that suggests reorganization might be necessary to stay competitive.
Robert Kramer, Principal Researcher, The Conference Board says, "Since organizations now experience constant change -- driven by today's global and hyper-competitive environment -- they need to build an internal design capability to reorganize on an almost continuous basis. To play this vital role, managers and HR professionals must develop a more robust, holistic definition of organization design and have access to a new set of tools."
The report points out key warning signs that suggest problems in corporate organization design. Some of these are:
-- A steady increase in bureaucracy, cost structure, etc.
-- Excessive layers of management.
-- An excessive focus on internal company issues.
One of the interesting suggestions for improvement was:
-- Resist the temptation to introduce organizational practices used by
others into your company. The alignment of many design choices has
greater impact on an organization's success than a handful of "best in
class" but misaligned choices. What other companies do informs - not
necessarily answers - how management should resolve a design issue.
BS
