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Designed organisations and innovation sr1


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Designed organisations and innovation sr1

  1. 1. Designed organisations … and informal networks
  2. 2. What we can agree … <ul><li>If we do not innovate and challenge our traditional methods ourselves, someone else will re-invent our business - and even take our market share </li></ul><ul><li>The environment is very volatile - and that means we have to keep changing - constantly </li></ul><ul><li>Running an organisation today is very hard! </li></ul>
  3. 3. Key concerns … <ul><li>The critical need: </li></ul><ul><ul><li>To have an effective strategy </li></ul></ul><ul><ul><li>To develop an organisation that is capable of delivering that strategy </li></ul></ul><ul><ul><li>To capitalise on our key asset – our people, their know-how and motivation </li></ul></ul><ul><ul><li>For control </li></ul></ul>
  4. 4. How we often respond … <ul><li>We DESIGN our organisation and its key structures and processes </li></ul><ul><li>We recruit talented people, monitor their performance and then invest in developing their skills further </li></ul><ul><li>We research the market and develop our strategy </li></ul>
  5. 5. What this actually means … <ul><li>DESIGN is about providing stability, repeatability and predictability </li></ul><ul><li>Designed organisational structures distribute power – to make decisions about resources </li></ul><ul><li>Designed organisational processes distribute tasks – to create coherence </li></ul><ul><li>We tell talented people to deliver the strategy that WE have created </li></ul>
  6. 6. What comes next … <ul><li>When we realise the world is unstable and unpredictable, we tell talented people they must innovate. In other words … </li></ul><ul><li>… we tell them to create instability, unrepeatability and unpredictability … </li></ul><ul><li>… within a system designed to produce the exact reverse … </li></ul><ul><li>… and then complain when they don’t deliver! </li></ul>
  7. 7. What then develops … <ul><li>Talented people care about customers, quality, and the long-term success of the organisation </li></ul><ul><li>Talented people want to innovate – it is a satisfying expression of their talent </li></ul><ul><li>Self-organising informal networks innovate ways around designed-in constraints … </li></ul><ul><li>… and distribute influence to get their added-value decisions made and implemented </li></ul>
  8. 8. How we then respond … <ul><li>We conclude that the design of our structures and processes must be at fault </li></ul><ul><li>We invest physical, intellectual and emotional energy in re-designing structures and processes that do not exist in reality </li></ul><ul><li>We run change programmes that rely on exhortation to try to change behaviour </li></ul><ul><li>We decide the values people need – and communicate them – more exhortation! </li></ul>
  9. 9. There is another way … <ul><li>Recognise that self-organising groups are a reality – informal networks exist – they are how the work actually gets done </li></ul><ul><li>Create the conditions for change – it cannot be commanded, but it can be enabled </li></ul><ul><li>Replace detailed prescriptive rules by simple guidelines – complex adaptive strategies beat malicious obedience every time! </li></ul><ul><li>Emergence is not disorder or scary – it’s fun, and just a different type of order! </li></ul>
  10. 10. Thank you For more information, please contact Informal Networks at: