Structured Business Group offers full-cycle services from audit to implementation support to help our clients improve their operating model – people, process and technology – to better support their mission and drive performance. What sets us apart is that we also design, develop and support implementation of your new projects and programs. When our projects are complete, you’ll have a new program up-and-running with the right people driving it forward. Step 1: We start with a wide evaluation of your company using 3 tools: Organizational Effectiveness Evaluation, Organizational Structure Evaluation, and Department/Functional Evaluation. Step 2: We present our findings and action plan to strengthen your organization. Step 3: You tailor your action plan and we design, develop AND implement the solutions side-by-side with your management team. Fore more details please contact inquire@thestructured.com.

1. MANAGEYOUR BUSINESS
WITHA STRUCTURED
APPROACH
© 2017 Structured Business Group, LLC
Visit us online at thestructured.com
1) Organizational Effectiveness,
2) Organizational Structure &
3) Department Capability Evaluation
Contributors: KyNam Doan, Thuy Anh Nguyen, My Phan
Date: March 20, 2017
Guide

2. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACHBefore we get started
This short guide is meant to give a quick overview into 3 techniques that Structured Business Group
uses to evaluate a business for the first time.
We begin with a Organizational Effectiveness Evaluation that is borrowed from Bain & Co.
We have found that this evaluation is as quick as it is revealing. You can learn a lot about the
health of your organization in just 10 minutes. Additionally, this evaluation has been
benchmarked against a body of survey respondents and you can quickly see how you stack
up against other companies.
The second technique is the Organizational Structure Evaluation which focuses on not
only the organizational structure, but also how departments/groups are integrated with each
other. It also covers verticalization, decision centralization, performance management, and
corporate governance.
The third technique is the Department Capability Evaluation, which dives into the details of
your business. It evaluates 13 categories including Vision & Strategy, Product Development,
HR, Risk & Compliance, and Business Capabilities. There is a 70-point evaluation that can
be completed in 1-2 hours and a 350-point one that could take 1-2 weeks.
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1
2
3

3. MANAGEYOUR BUSINESS
WITHA STRUCTURED
APPROACH
1 Organizational Effectiveness Evaluation
Used to quickly evaluate how effective an organization is in turning objectives set forth by
leadership into results and change.

4. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACHOrganizational Effectiveness Evaluation
Criteria 1 2 3 4 5
1
Is the organization clear about the top 5 priorities for making our business
more valuable?
2 Is our leadership team cohesive and aligned?
3
Are individual roles, accountabilities and authority clear for the most
important decisions?
4
Does the organization’s structure reflect the sources of value in the
business? Support the business objectives and capabilities?
5
Do we have enough high performing people, in the jobs where they can
have the most impact?
6
Do we measure what matters—and link incentives for our people to those
measures?
7
Does our front line consistently execute well on the activities that are critical
to success?
8 Does our back office support contribute value commensurate with its cost?
9 Do we have a high performance culture?
10 Do we have the capacity to change?
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Little or
none
Excellent

5. MANAGEYOUR BUSINESS
WITHA STRUCTURED
APPROACH
2 Organizational Structure Evaluation
There are many elements organizational structure. Evaluating each element will show you how
effective your organization is in achieving its objectives. Improving the design of each element
individually and as a whole can have a significant impact organizational effectiveness.

6. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACH2.1. Organizational Strategies
We’ll take a look at overall organizational strategies first before taking a look at individual elements.
Typical Organizational Strategies:
The following organizational strategies are commonly understood and discussed. Defining one or
more of the following strategies clarifies design objectives for the Organizational Elements listed in the
previous slide.
• Verticalization – Tall to flat. This describes the length of command chains and degree of control.
Tall organizations move slower, but guarantee higher levels of quality.
• Formalization – Formal to informal. This describes how strictly rules are defined, implemented,
and audited.
• Departmentalization – Define the rigidity of departmentalization to control information, authority
• Centralization – Define decision centralization to control capability to change quickly
• Specialization – Team members are expected to fully specialize or generalize within a department
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7. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACHVerticalization
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Long Chain of Command Short Chain of Command
CEO
VP
Director
Senior
Manager
Manager
Specialist
CEO
Manager
Specialist
Horizontal Span of Control
Vertical Span of Control

8. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACH
Rigid Departments Loose Departments
Formalization, Departmentalization & Centralization
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Formal Informal
Separate the individuals from
the role/position
A role/position evolves based on
an individual’s preferences, skill
sets, etc. , not on the team
High level of autonomy
Little or no interaction between
departments
Departments have more
freedom to collaborate and
interact
Centralized Decentralized
Decision-making power is
concentrated at a single point
Decision-making power is
spread out

9. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACH
High Specialization Low Specialization
• Allows employees to master specific areas
• Increases productivity
• Less control, but increased capacity to change
• Allows employees to tackle broader array of
tasks
• Increases flexibility
9Structured Business Group
Specialization

10. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACH2.2. Design Elements of Organizational Structure
Design Elements:
The following elements can be designed/defined to support your organizational strategies and
objectives. The following slides describe in more detail the design levers and types of objectives they
affect.
• Grouping – Group your divisions/departments/and teams by different characteristics to better
control that specific area
• Integrations – These are the structures that tie your groups together and have a high degree of
influence on organizational objectives
• Primary Authority
• Secondary Authority
• Control Authority
• Support Structure
• Communication Structure
• Collaboration Structure
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11. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACHGrouping
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Functional Org. Product-Based Org. Market-Based Org. Geographical Org.
Grouping based on common
job functions
High level of specialization
Each division (with a full set of
functions) takes care of one
particular line of product
Grouping based on division of
markets, industries or customer
types
Grouping based on geography
(territories, regions, districts)
Process-Based Org. Matrix Org. (dual Reporting) Circular Org.
Grouping based on different processes in
an end-to-end flow
Combination of functional reporting lines
(blue) and product-based reporting lines
(yellow)
Hierarchy: high-level employees in the
center, lower-level employees in the outer

12. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACH
Primary
Authority
Secondary
Authority
Control
Authority
Support
Structure
Information
Structure
Collaboration
Structure
Primary Authority
• The highest level of authority in the organization
• Usually what is known as management authority
Secondary Authority
• The second level of authority in the organization
• Usually what is known as production authority
Control Authority
• Specific lines of authority to support control structures such as financial, risk or quality control
Support Structure
• Structure of supporting functions such as HR, IT, Accounting
Information Structure
• Control and facilitation of information flows between and within groups/departments within the
organization
• Can be modelled such as with a matrix or value map to value optimize
Collaboration Structure
• Facilitation of how and where groups/departments interact with each other.
• Can be modelled such as with a matrix or value map to value optimize
12Structured Business Group
6 Integrations

13. MANAGEYOUR BUSINESS
WITHA STRUCTURED
APPROACH
3 Department Capability Evaluation
Used for a broad and exhaustive evaluation of an organization’s (collection of or team within)
functional activities and all of the responsibilities within each functional group. Examples of
functions are HR, Finance, Risk management, Vision and Strategy and product development.

14. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACHOverview: Department Capability Evaluation
ID Functional Group Value Weight w.Score Score Developed Documented Communicated Adopted
1 DevelopVisionandStrategy 3 5% 2.2 2.1 3.0 1.7 2.0 1.7
2 DevelopandManageProductsandServices 5 9% 3.6 2.0 2.0 2.0 2.0 2.0
3 Market andSell ProductsandServices 3 5% 2.9 2.7 3.4 2.4 2.6 2.4
4 DeliverPhysical Products 5 9% 4.8 2.7 3.5 2.0 2.8 2.5
5 DeliverServices 5 9% 3.6 2.0 2.0 2.0 2.0 2.0
6 ManageCustomerService 4 7% 3.0 2.1 2.4 2.0 2.0 2.0
7 DevelopandManageHumanCapital 5 9% 2.4 1.3 1.4 1.2 1.3 1.3
8 ManageInformationTechnology(IT) 5 9% 3.2 1.8 2.0 1.3 2.1 1.7
9 ManageFinancial Resources 3 5% 2.9 2.7 3.3 2.0 2.9 2.7
10 Acquire, Construct, andManageAssets 3 5% 3.2 3.0 3.0 3.0 3.0 3.0
11
ManageEnterpriseRisk, Compliance,
Remediation, andResiliency 5 9% 2.2 1.3
1.5 1.0 1.0 1.5
12 ManageExternal Relationships 5 9% 3.9 2.2 3.0 1.2 2.4 2.2
13 DevelopandManageBusinessCapabilities 5 9% 3.1 1.7 1.9 1.7 1.7 1.6
BusinessStructureRating 100% 41.0 2.1 2.5 1.8 2.1 2.0
Heat map of the composite
rating of the four primary
criteria
This 70-point Department
Capability Evaluation is our tool to
rate 13 core departments/
functional areas of an
organization
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Adoption: Do your
employees know how to
use it? Do they use it?
Development: How well
developed is it?
Documentation: How well
documented is it? What type
of system is used?
Communication: Do your
employees know about it?
Where to find and use it?
This tool will evaluate your
company on the maturity level of
your departments/functional areas
using four (4) criteria:
Core functional areas of
an organization such as
HR, Strategy, Finance
Set the value to
determine the
weighting and arrive
at a weighted score
Each category is evaluated
on four criteria from 1 (Little
to None) to 5 (Excellent)

15. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACHOverview: Department Capability Evaluation
BENEFITS
• Evaluate your operational and structural systems in a
comprehensive way, based on the status of facets of a
business as well as the extends of development,
documentation, communication and adoption
• Illustrate and visualize an overall evaluation of an
organization’s business structure
• A foundation to present a plan of action to close the gaps
discovered in the evaluation to strengthen your
organization.
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Average score in correspondence to
each functional area

16. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACHCloser Look: HR Department Evaluation
Structured Business Group 16
ID Name Developed Documented Communicated Adopted
7.0 DevelopandManageHumanCapital 1.4 1.2 1.3 1.3
7.1
Developandmanagehumanresourcesplanning, policies, and
strategies 2 2 2 2
7.2 Recruit, source, andselect employees 2 2 2 2
7.3 Developandcounsel employees 1 1 1 1
7.4 Manageemployeerelations 1 1 1 1
7.5 Rewardandretainemployees 1 1 1 1
7.6 Redeployandretireemployees 1 1 1 1
7.7 Manageemployeeinformationandanalytics 1 1 1 1
7.8 Manageemployeecommunication 2 1 1 1
7.9 Deliveremployeecommunications 2 1 2 2
Process Families within
the Department/Function
Ratings for each of the 4
criteria

17. MANAGEYOUR BUSINESS
WITHA STRUCTUREDAPPROACHTake the next step
Contact us directly to get your business evaluated at
inquire@thestructured.com or contact one of the contributors
directly
This document can be found in its entirety on thestructured.com
Inquiries, information, contact: inquire@thestructured.com
Contributors:
KyNam Doan
Managing Partner
kynam@thestructured.com
Thuy Anh Nguyen
Business Analyst
thuyanh@thestructured.com
My Phan
Business Analyst
my@thestructured.com
SBG Ho Chi Minh City Office
AB Tower, Floor 20
76A Le Lai
District 1, HCMC, Vietnam
Structured Business Group 17