Organisation Structure Design – 9 key deliberations

All modern organisations are in a constant state of change and flux. If your organisation’s structure is to best support the organisation, it too must be flexible and adaptable enough to facilitate flux and change. When you initially design your organisation structure (and every time you change or modify it thereafter), your design methodology should have this in mind. Key considerations will always include some or most of the following:

  1. Flat versus hierarchical Management levels
  2. Spans of control
  3. Centralised versus decentralised
  4. Teams versus Individual Contributors
  5. Geography versus Business or Product Line alignment
  6. Multi-skilled versus defined expert roles
  7. Remote versus local
  8. Permanent teams versus project built teams 
  9. Matrixed versus direct line accountability

There is no one best design or no one design that will best serve an organisation throughout its life cycle. Choices between alternative designs will regularly surface and they must be addressed to maintain continual growth and success.S