It's More advantageous to Demolish Walls at a Later Stage when Commencing a New Job
In our initial phases, we had a tendency to demolish structures swiftly. Over time, we discovered the merits of participating in an establishment for a while prior to making such changes. This correlates with executives moving into new positions. Initially, they tend to disrupt or restructure rapidly. With time, they learn the value of blending into the organization before endeavoring to transform it.
Knocking down walls in organizations
From the most demanding to the least, were the roles we took on. 1) We would immediately disrupt the system, 2) dismantled the barrier between the operations and management sectors, 3) created a passage between the operations department and a private room, converting it into a play area for our children within the first weekend.
Later on, we became wiser and remained in a position for several years before allowing someone else to design and construct an expansion. The benefits were twofold – getting familiar with the system before making alterations, and delegating tasks to experts in areas we weren't.
The primary purpose isn't to offer an evaluation of whether our decisions were correct or incorrect, but rather to understand that various circumstances necessitate different actions.
The underlying foundation of the demolished building held more value without the building in place than with it. This was a straightforward scenario.
The operations and management sectors were inadequate for our requirements in the second position.
Also, our children were so young that we needed easy access to them in the third position.
We have resided in our current position for two decades now. We took the time to understand it before making any modifications, and consequently, our changes were made for the long term.
Restructuring organizations
"Every time we were forming into teams we would be reorganized... it is a wonderful method for creating the illusion of progress while producing confusion, inefficiency, and demoralization."
- Gaius Petronius, A.D. 65, Roman governor and advisor (arbiter) to Nero as quoted by Frank Price in "Right Every Time" - Marcel Deckker publishing
All organizations require a restructuring at some point. The important questions are when and how extensively.
The ACES framework is a good place to start. The combination of a strong requirement to change and an inability to change immediately suggests the need for new leaders to disrupt the organization. This is the time for leveling the house or making significant changes early on.
When there's less need for immediate change and the organization is ready enough to change on its own, one can assimilate into it. Unfortunately, this is rarely the case for new leaders.
The other two scenarios are more probable. In these cases, blending first and then evolving later makes sense. Spend some time within the organization before altering its structure. This allows a better understanding of the unforeseen consequences of reorganizing before it's implemented.
Structure follows strategy
When ready to reorganize, remember Peter Drucker's wisdom – structure should follow strategy.
- Develop a clear understanding of your field of operation and the means of winning – your strategy.
- Determine the organizational functionalities required to secure victory.
- Structure in such a way that it motivates, enables, and empowers individuals to work together in unison while supporting the strategy.
Consider Nested Leadership, ensuring the structure takes into account the essential differences and relationships between nested leadership at cultural, strategic, and tactical levels.
- Cultural leadership: Defining the organization's identity and values
- Strategic leadership: Allocating resources before deployment
- Tactical leadership: Deploying and adjusting resources in real-time.
Ensure that the balance between mandatory rules and adaptability is correct. Cultural leaders must insist that everyone embodies the culture in every action they take. Strategic leaders should nest their comprehensive decisions within the culture while ensuring everyone understands the intent and their degrees of freedom. Tactical leaders must be grounded in the culture and strategy, allowing them to make tactical decisions and adapt to changing conditions with agility in real-time.
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- In the context of executive onboarding, the traditional approach of rapidly disrupting or restructuring in a new job can lead to disruptions. Instead, executives should consider the value of assimilation before endeavoring to transform the organization, similar to the converge and evolve process throughout a reorganization.
- Employees in new roles often face challenges in breaking down walls between sectors, such as operations and management. However, a thoughtful and strategic approach can help ensure a smooth transition, ultimately leading to a more cohesive and efficient organization.
- During periods of reorganization, it is crucial to avoid hasty decisions that may lead to further complications. Instead, executive leaders should take the time to thoroughly understand the organization's strategy, functionalities, and culture before making structural adjustments, ensuring a seamless and long-term transformation.