Why your business needs an organisational structure

When you consider the number of tasks business owners must juggle daily, it’s not surprising that things like organisational design and job architecture quickly fall to the bottom of the list of priorities.

Typically, in the first few years of an organisation’s life, these disciplines do not take precedence. Still, as leadership develops and evolves, so the need for this critical structure presents itself.

By this time, though, many positions have been ‘organically’ filled, a company culture has started to emerge, and staff may be becoming complacent.  These factors will most definitely impact your bottom line but are not always that easy to identify from within the organisation. Business owners who have invested a fortune in time and money start to see the company plateau and typically believe that the solution is to add more resources to grow the business.  This may not always be the case, and it may be that resources have not been correctly aligned.

In addition, many business owners are loathe to employ for many reasons, as illustrated in a 2018 article, based on the research assignments of four University of Stellenbosch MBA students covering Success Factors of Small Business Owners in South Africa, which noted the following:

  • Human capital: All seven participants reported that they struggled to find reliable, committed, mature, experienced and affordable employees. According to the participants, younger generations lacked perseverance. Absenteeism, late arrivals due to transport problems, self-entitlement, and an unwillingness by staff to learn more of the business negatively affected trust levels between small business owners and their employees.

These problems often arise with inexperienced recruitment skills, mismatched people and roles and the lack of a good induction process.

An investment in the people who represent your organisation will always reap good returns because when people and positions are aligned, it provides an excellent opportunity for people to shine, and when people shine, the organisation shines.  

Suppose you choose to do this exercise with a third party company or people external to the organisation. In that case, it is harder for bias to creep into the decision-making process, making it easier to gain objective results.

At Breezy, we’re all about looking at your organisation as a whole, understanding the core business objectives and finding the purpose of both the people and the organisation.  In doing this, we can match people, skills and roles, enabling a system that works in a fluid motion.

Reference

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