Friday, July 23, 2010

Topic: Organizational Management

Reference: Ashkenas, Ron. “Yes, You can Simplify Your Organization.”Forbes.com.http://www.forbes.com/2009/08/17simplify-organization-complexity-leadership.managing. August 20, 2009.

I find that it is extremely helpful to ask why products, offerings, or processes are so complex. There are those who actually believe that more complexity means inherently more quality. In many cases organizations and processes are hopelessly complex because no one has seriously revisited the issue, asked enough why questions, or really paid attention to customer use, processing outcomes, or other related issues. Generally, complexity is not a good thing and there is no real quality bounce associated with it. It is meaningful to question whether or not your organization is engineered in a way that maximizes results. Have all inputs been evaluated? Have you adjusted to market conditions in an organized way? These are interesting questions and unfortunately many organizations are not asking them. It is a great time to take on this challenge. In the referenced article the commentator addresses the issue similarly. “The truth is that most organizations are indeed too complicated, especially now that we’re in an age of global supply chains and markets, increasing regulation…and communication overload. And the way we design and manage our organizations unintentionally adds to the crisis of complexity.” To reduce the problems associated with unwarranted complexity, namely wasted resources, time, and energy the commentator recommends three quick things to put the genie back in the bottle. They are to (1) insist on common processes; (2) reduce product variation; and (3) take the customer’s perspective. Organizational simplicity is best achieved up front before systems, personnel and processes get in the way. It is also important to check on the potential impact of changes to the organization from a well- timed, 360-degree perspective. Often ways to reduce complexity are missed, because things are rushed or not enough input went into the development plan. In short, be sure to add the search for simplicity to your organization development checklist.

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