The document discusses strategies for effective organizational design and implementation of strategy. It makes three key points:
1) After determining strategy, the CEO must provide clear guidance on structuring organizational goals, actions, and roles to achieve the strategic plan. This "behavioral structure" aligns all employee efforts.
2) Implementing this structure effectively is challenging, as it requires deriving goals and actions from strategy, motivating employees, and ensuring all team leaders adopt the new organizational design.
3) The HR department plays an essential role in partnering with team leaders to establish the behavioral structure across the organization through defining goals, actions, and roles so the organization can succeed in its strategic goals.
Achieving CEO Clarity to Guide Perfect Strategy Delivery
1. In each accounting period strategic progress is meas-
ured in the goals achieved in that period. The strate-
gy is the direction, the ‘destination’, the goals in
each accounting period the steps toward the destina-
tion.
Achieving CEO clarity of how to rollout strategy
After the strategic decision, then the CEO can think
with tight, even ruthless clarity.
(1) Strategy is complex long term goal broken down
each accounting period into precise and clear goals
in each job (a job consists of one or more roles).
(2) Every goal demands specific actions, called ideal
actions, to enable that goal. (Refer #3 Goal-action)
(3) The sum of all ideal actions across the organiza-
tion is defined as the behavioral structure relative to
the strategy.
Conclusion: If people act out the behavioral struc-
ture to standard then the organization will
achieve its projected strategic progress in that
accounting period.
Organizational design
There are several crucial and difficult steps.
Understanding that this clarity of insight by the CEO
applies only in the OPD system of organization de-
sign. Achieving this understanding of the OPD theo-
ry across the organization, in the mind of every team
leader, is very much harder than it appears, since the
OPD theory of organization is different from current
organization best practice point of view. Team lead-
ers are subject to multiple views on leadership, man-
agement, engagement etc. … and as a result may not
fully apply the OPD technology, or apply it in a
confused manner.
Second, it is difficult conceptually to derive an ef-
fective goal cascade, the KPIs in each role, from
strategy.
Third, it is very much more difficult conceptually to
derive an effective set of ideal actions from the goals
(KPIs) in any role.
Finally, from the general theory of psychology (refer
#8), human motivation arises via the emotions asso-
ciated with ideas. It is difficult to have team leader
understand their leadership role of (1) having every
person with an apt game plan of KPIs and ideal ac-
tions in mind for successful delivery in their role. (2)
to keep the game plan top of mind while the person
at work. (3) to ensure the person is having fun and
enjoying the tasks agreed within the role.
Role of the HR
It is the team leader who is fully accountable for the
output from their team.
However, because of the complexity of the task of
establishing the OPD system across the organiza-
tion, HR is delegated by the CEO to partner with all
team leaders and provide for those team leaders the
technical expertise as needed enabling every team
leader to fully and expertly discharge their account-
ability to guide the team identify and delivery to
standard the team behavioral structure that offers
greatest chance of greatest success. Refer #16, All
proactive HR policy is changed
It does not matter the size of the organization, this
HR task is essential and must be acted upon if the
organization is to succeed.
KIS…Keep it simple
Again imagine the strategy in the CEO mind, and
imagine it a color. Now, imagine every person with
an agreed game plan in mind derived from the
agreed KPIs (goals), that define the contribution of
the role to strategic success, and with the agreed
ideal actions that when acted out offer greatest
chance of greatest KPI success. This mental struc-
ture in each person encouraged and supported by
the team leader, who also ensures the person is
having fun delivering the ideal actions to standard.
This mental structure in each person, clearly speci-
fying their understanding and contribution to strate-
gy, is precisely the structure that has the mind of
the person in sync with the CEO. The color of the
strategy in the person mind is a perfect match to the
color in the mind of the CEO.
Strategy is NOT what is on paper, but what is in
mind of those who need deliver it
The organization a coordinated whole, acting with
precision and unison in achieving the strategic plan
and goals derived from that plan. And this precision
includes creativity, and flexibility and other such
‘nonlinear’ actions by people. Refer #12 Built in
flexibility
The clearer and more apt the game plans in the
mind of all the staff, the more the people are having
fun and enjoying personal success, the more suc-
cessful the organization.
After the strategic decision the priority of the CEO is to guide identification
and delivery to standard of the behavioral structure relative to strategy See #3
Goal-Action, and #4 Linking people to the behavioural structure. For a full discussion refer the book, Mind of the CEO, Little,
Graham Richard, The Mind of the CEO (September 1, 2016). Available at SSRN: http://ssrn.com/abstract=2833571
The aim of the CEO: Perfect game plans perfectly delivered. Every team leader is a
CEO in their team. The exact same process applies.
Newsletter #23
Mind of the CEONewsletter topics
1. Seeking new thinking.
2. How to double profits.
3. Goal—action.
4. Linking staff action to
strategy.
5. Human performance
driving results.
6. HR as rollout of strate-
gy.
7. Behavioral structure of
the organization.
8. Understanding human
psychology.
9. Linking people to be-
havioral structure.
10. Perfect human perfor-
mance.
11. Performance manage-
ment moving actual
toward perfect perfor-
mance.
12. Built in flexibility.
13. A scientifically proven
balanced solution to
human performance
as a driver of results.
14. Redefining engage-
ment.
15. Culture.
16. All HR policy changes.
17. Lifting expectation.
18. Redefining leadership.
19. Redefining manage-
ment.
20. Why has it not been
done before?
21. Stop. Reflect. Chose
and improve.
22. Why can’t we do it
ourselves?
23. Mind of the CEO.
24. HR as the ‘right hand’
of the CEO.
25. Building a ‘verbal
ready’ Executive.
26. Understanding human
motivation.
27. Building and imple-
menting an integrated
motivation policy.
28. Human capital.
29. Finding and develop-
ing talent.
30. Choosing better ideas.
Reading these newsletters you will gain
new insight into how to manage the link
between people and your organization so
that both benefit by increased results,
greater success, increased profits, more
fulfilling work, and greater satisfaction.
Contact: info@opdcoach.com to meet and explore how this system will lift results in your business.
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