Organizational Alignment

Aligning structure to strategy for high performance

Organizational alignment is a necessary condition for a company to execute its strategy. Because strategy execution is the collective result of thousands of decisions and actions by employees at the grass-root level, the employees – the organization – must align, i.e., fall in line with the strategy.

However, organizations are not always aligned. Misalignment occurs for many reasons as firms respond to events that affect their organizational structure all the time. These range from product line expansion and micro-segmentation to globalization, technology advancements, vertical integration, and merger integration – to name a few. These initiatives place a burden on the organization and add significant complexity to the administration of the business.

In situations where the resulting organization has become overly complex and misaligned, management needs to address the structural design of the organization. We help companies take the steps necessary to remove existing structural impediments and enable executives to implement the strategy effectively.

The Results You Can Expect

  • Identification of organizational impediments
  • Focus on key organizational elements
  • Minimum intervention for least disruption
  • Bottom-up approach based on the principle of First Do No Harm
  • Removal of organizational obstacles
  • Readiness of organization for strategy execution

How We Help

We help clients make their organization responsive to their strategy.

We assist with a full line of services designed to align the organization to the strategy.

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Primary Structure Alignment

We ensure the proper deployment of the organizational units (boxes and lines) to match the strategic drivers of the firm ...

Primary Structure Alignment

Aligning the primary structure involves ensuring the deployment of organizational units (boxes and lines) to match the strategic drivers of the firm. Deployment may include functional, geographic, or a multi-divisional structure.

At this level of the organizational structure, we are concerned with aligning the organization to long-range strategy. The objective is to adapt the organization closely to the market while reigning in cost, as a high level of differentiation can become expensive very quickly.

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Secondary Structure Alignment

We help coordinate lateral organizational units to ensure effective information flow, the proper assignment of decision rights ...

Secondary Structure Alignment

At this level of the organizational structure, we are concerned with the coordination among lateral organizational units to ensure alignment and integration.

The objectives of our work include the following:

  1. Effective information flow, ensuring that relevant information flows quickly to the right people as needed, and
  2. proper assignment of decision rights, making sure everyone in the company knows what strategic decisions and actions they handle.
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Operating Structure Alignment

We help clients improve the functional efficiency of the organization by adjusting the hierarchical structure, the spans of control ...

Operating Structure Alignment

Aligning the operating structure of the business involves examining and improving the functional efficiency of fundamental organizational items, including the following:

  • hierarchical structure
  • the spans of control
  • individual capabilities
  • the roles of middle managers to drive strategic impact and urgency
  • accountabilities, and
  • incentives to reflect strategy requirements.