Designing Your Organization

Using the Star Model to Solve 5 Critical Design Challenges

Amy Kates, Jay R. Galbraith

Publisher: Wiley, 2007 , 256 pages

ISBN: 978-0-7879-9494-5

Synopsis:

Toggle Synopsis

Designing Your Organization is a hands-on guide that provides managers with a set of practical tools to use when making organization design decisions. Based on Jay Galbraith's widely used Star Model™, the book covers the fundamentals of organization design and offers frameworks and tools to help execute their strategy. The authors address the five specific design challenges that confront most of today's organizations:

• Designing around the customer
• Organizing across borders
• Making a matrix work
• Solving the centralization/decentralization dilemma
• Organizing for innovation

Designing Your Organization is written for managers and leaders who make critical choices about organizational strategy and execution as well as for human resource and organization design and development professionals who help implement these decisions.

Table of Contents:

Toggle Table of Contents

• Decision Tools Included on the CD-ROM
• Introduction
• The Authors

1. Fundamentals of Organization Design
   • The Star Model™: A Framework for Decision Making
     • Strategy
     • Organizational Capabilities: Translating Strategy into Design Criteria
     • Structure
     • Processes
     • Rewards
     • People
   • Design Principles
     • Requisite Complexity
     • Complementary Sets of Choices
     • Coherence, Not Uniformity
     • Active Leadership
     • Reconfigurability
     • Evolve, Do Not Install
     • Start with the Lightest Coordinating Mechanism
     • Make Interfaces Clear
     • Organize Rather Than Reorganize
2. Designing Around the Customer
   • Customer-Centric Strategies
     • What Is Customer-Centric?
     • Strategy
     • Structure
     • Process
     • Rewards
     • People
     • The Drive Toward Customer-Centricity
     • Customer-Centric Strategies
     • Customer Profitability and Segmentation
   • Customer-Centric Organizations
     • Strategy Locator: How Customer-Centric Do You Need to Be?
     • Customer-Centric Capabilities
     • Customer-Centric Light
     • Customer-Centric Medium
     • Customer-Centric Intensive
3. Organizing Across Borders
   • Levels of International Strategy
     • Level 1: Export
     • Level 2: Partner
     • Level 3: Geographic
     • Level 4: Multidimensional Network
     • Level 5: Transnational
   • Design Considerations: Geographic
     • Geographic Example: Cemex
     • Structure
     • Processes
     • Rewards
     • People
   • Design Considerations: Multidimensional Network
     • Strategy
     • Structure
     • Processes
     • Rewards
     • People
   • Design Considerations: Transnational
     • Strategy
     • Structure
     • Processes
     • Rewards
     • People
4. Making a Matrix Work
   • What Is a Matrix?
     • Strategic Reasons to Use a Matrix
     • Challenges of a Matrix
   • Matrix Design
     • Structure
     • Processes
     • Rewards
     • People
5. Solving the Centralization — Decentralization Dilemma
   • Corporate Center Strategy
     • Understanding the Business Portfolio
     • Portfolio Diversity
     • Organizational Implications of the Business Portfolio Strategy
     • Role of the Corporate Center
     • Size of Corporate Staff
   • Centralization and Decentralization
     • Definitions
     • Strategic Reasons for Centralization
     • Strategic Reasons for Decentralization
     • Predictable Problems of Centralization
     • Predictable Problems of Decentralization
     • Making an Explicit Choice
   • Getting the Best of Both: A Balancing Act
     • Structure
     • Processes
     • Rewards
     • People
6. Organizing for Innovation
   • Innovation Strategies
     • Sustaining Innovation
     • Breakthrough Innovation
   • Innovation Capabilities
     • Innovation Process
     • Portfolio Management
     • Balancing Separation and Linkage
   • Designing for Breakthrough Innovation
     • MeadWestvaco Specialty Chemicals Division
     • Structure
     • Processes
     • Rewards
     • People
7. Conclusion

• Appendix: Decision Tools