Thursday, November 20, 2014

Analyzing Your Corporate Organization Structures

The key objective of corporate organization structure is to structure your corporate objects in the most efficient and manageable way. Efficient from the standpoint of financial and aggregate value, obviously.

No less obviously, the most efficient organization structure is corporate objects map offered by the corporate cockpit methodology, because it allows to identify and structure all corporate objects and processes and to do it in the most natural (‘organic’) and holistic way. Therefore, it is the only comprehensive organization structure there is.

The ‘classic’ organization structures allow to structure only five categories of objects – functions and personnel (organization chart), branches, offices and locations (geographic structure) and brands, products and services (business unit structure).

Regardless of these limitations, all these dimensions of corporate structure are quite valuable management tools. And, therefore, must be analyzed and optimized. 

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