'Structure follows strategy' is a popular catchphrase at organisations. The structure of an organisation must support the objectives that the organisation sets for itself, but in many cases it seems to be the other way round.
A changed strategy often requires adjustments to the structure and governance of the organisation. For this reason it is important not only to hold the strategy up to the light frequently, but also to regularly pose the question of whether the current structure and governance are still the most effective.
What is the best steering philosophy to maintain at the headquarters: strategic, financial or operational? Which structure strengthens the strategy: functional, regional, product or market driven? Via which structure can we best serve our clients? What role and position do corporate and other staff functions play in realising the strategy? What is the ideal balance between decentralised entrepreneurship and central coordination? In which areas would synergy be realised through shared service centres, for instance? How are new acquisitions successfully integrated? What does the organisation do itself and what is outsourced? What demands do new alliances and networks of alliances make on the organisation and the governance? What competences must managers have to be successful? Do we have a culture that fits in with strategic goals and does the culture fit in with the organisational principles? All of these are questions that businesses and organisations want to see answered.
Based on our broad practical experience, we adhere to a few general starting points for organisational development. In our view there is no such thing as an ideal organisational structure, for instance, and there is not just one suitable structure per organisation. A structure and steering model are always temporary and are a means, not an end, and the people who work within the structure are the most important aspect. In addition, change to structure must follow the strategy and always be externally driven.
These starting points form the guiding principle in Boer & Croon’s approach, which is also characterised by thorough conceptual models, a hands-on mentality on the part of our consultants, and finally ‘co-creation.’ This last point means that we work extremely closely with clients in any process of organisational change, because as we said, change to structure starts with the people who work in it.