

10th May 2010
May 2010
Organisational Structure - key for business growth
Do you have a clear picture of the roles in your current organisational structure? Do you know what roles you will need to have in your business in order to achieve your future vision?
You may think that an organisational structure is a very simple thing and in some businesses it may be very clear, with clear positions and reporting lines.
However, from time to time, managers within a business may have very different views on the organisational structure of the organisation. I have seen different reporting lines, different role titles and even the same employee listed in different divisions. If the managers of the business can’t agree on the structure, how are the employees able to get the job done in the way that it is expected of them?
An effective organisational structure is important because it;
• Focuses the business on role requirements rather than on individuals
• Creates clear career paths and reporting lines (who do I manage and who manages me?) to support the attraction and retention of key talent
• Establishes position descriptions with a clear focus on what needs to be achieved as well as an outline of the skill requirements to help match the most appropriate individuals to roles
• Provides each individual with a clear set of accountabilities and performance expectations in order to do their job well
What is the potential impact of getting it wrong?
• People are recruited based on personality and/ or skill that may not meet medium to long term business requirements
• Individuals are focusing on tasks that do not match their skills and knowledge
• When individuals are responsible for everything but accountable for nothing, work ‘falls through the cracks’
• Turn-over of key talent because they are not aware of their career options
• Poor performance due to a lack of role clarity
• Limited awareness of skill requirements for roles lead to ad hoc training and development
For further information or advice on this area, please contact PeopleSelect on 4629 7797 or Kristie Leopardi on 0408 945 053. More details on the PeopleSelect service offer can also be found on our website: www.peopleselect.com.au


