{"id":6460,"date":"2020-03-13T06:49:03","date_gmt":"2020-03-13T11:49:03","guid":{"rendered":"http:\/\/flevy.com\/blog\/?p=6460"},"modified":"2020-12-19T22:33:41","modified_gmt":"2020-12-20T03:33:41","slug":"developing-an-organizational-design-that-works-the-galbraith-star-model","status":"publish","type":"post","link":"https:\/\/flevy.com\/blog\/developing-an-organizational-design-that-works-the-galbraith-star-model\/","title":{"rendered":"Developing an Organizational Design that Works: The Galbraith Star Model"},"content":{"rendered":"

\u201cA problem well framed is a problem half-solved.\u201d \u2014 Jay Galbraith\"\"<\/p><\/blockquote>\n

Organizational Design<\/a> is more than just structures. It is having policies and strategies that are aligned with one another.\u00a0 When this is achieved, it allows organizations to operate at maximum efficiency and achieve Operational Excellence<\/a>.<\/p>\n

The Galbraith Star Model\u2122<\/a> is the foundation on which a company bases its design choices. The organization\u2019s design framework consists of a series of design policies that are controllable by management and can influence employee behavior.<\/p>\n

Organizations use the Star Model\u2122 framework to overcome the negatives of any structural design. Every organizational structure has positives and negatives associated with it.\u00a0 If management can identify the negatives of its preferred option, it can better design other policies around the Star Model\u2122 to counter the negatives while achieving the positives.<\/p>\n

Understanding the Galbraith Star Model<\/strong>\u2122<\/h2>\n

Galbraith Star Model\u2122 is the organization\u2019s design framework for effective strategy execution. It consists of 5 major components<\/a>.<\/p>\n

\"\"<\/a><\/p>\n

 <\/p>\n

    \n
  1. Strategy<\/strong>. This component is the company\u2019s formula for winning. It is the goals and objectives to be achieved, as well as values and missions to be pursued. It defines the basic direction of the company. Strategy Development<\/a> is essentially important in specifying sources of Competitive Advantage<\/a>.<\/li>\n<\/ol>\n
      \n
    1. Structure.<\/strong> The second component, the Structure, determines the location of the decision-making power<\/a>. It is the placement of power and authority in the organization.<\/li>\n<\/ol>\n
        \n
      1. Processes<\/strong>. Information and decision processes is a component that cuts across the organization\u2019s structure. It is a means of responding to information technologies. Management processes can either be vertical or lateral. Either way, these are designed around a workflow from new product development to the fulfillment of a customer order. If the structure is the anatomy of the organization, processes are its physiology or functioning.<\/li>\n<\/ol>\n
          \n
        1. Rewards<\/strong>. The fourth component provides motivation and incentive for the completion of the strategic direction of the organization. Rewards are recognition that influence the motivation of people to perform and address organizational goals.\u00a0 It becomes effective only when they form a consistent package in combination with other design choices.<\/li>\n<\/ol>\n
            \n
          1. People<\/strong>. People is the fifth component that focuses on influencing and defining an individual\u2019s mindset and skills. It looks into the human resource policies of recruiting, selection, training, and development of people needed by the organization to achieve its strategic direction. HR policies work best when these are consistent with the other connecting design areas.<\/li>\n<\/ol>\n

            The five components are essentially important. Each component has its underlying purpose and impact.\u00a0 How the organization can effectively align the components with each other makes a huge difference in achieving an impact. Further, in this fast-changing business environment, organizations must be keenly aware of the implications of implementing the Star Model\u2122 framework. The Star Model may have its implications, including the interweaving nature of the lines that form the star shape.<\/p>\n

            The Man Behind the Organizational Design Framework<\/strong><\/h2>\n

            Dr. Jay Galbraith<\/a> was an internationally recognized expert on Strategy and Organizational Design.\u00a0 With more than 45 years of research and practical experience, Dr. Galbraith\u2019s extensive knowledge came from his background in information processing systems, chemical engineering, and organizational behavior.\u00a0 As the original creator of the Star Model and the Front-Back organization structure, Dr. Galbraith transformed organizations across a broad span of industries including consumer goods, manufacturing, health care, financial services, and telecommunications, among others.<\/p>\n

            Interested in gaining more understanding of Galbraith Star Model\u2122<\/a>? You can learn more and download an editable PowerPoint about Galbraith Star Model<\/strong>\u2122 here<\/a> on the Flevy documents marketplace<\/a>.<\/p>\n

            Do You Find Value in This Framework?<\/h2>\n

            You can download in-depth presentations on this and hundreds of similar business frameworks from the FlevyPro Library<\/a>. FlevyPro<\/a> is trusted and utilized by 1000s of management consultants and corporate executives. Here’s what some have to say:<\/p>\n

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            \u2013 Omar Hern\u00e1n Montes Parra, CEO at Quantum SFE<\/p>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":"

            \u201cA problem well framed is a problem half-solved.\u201d \u2014 Jay Galbraith Organizational Design is more than just structures. It is having policies and strategies that are aligned with one another.\u00a0 When this is achieved, it allows organizations to operate at maximum efficiency and achieve Operational Excellence. The Galbraith Star Model\u2122 is the foundation on which… Developing an Organizational Design that Works: The Galbraith Star Model<\/span><\/a><\/p>\n","protected":false},"author":111,"featured_media":6462,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","footnotes":""},"categories":[85,81],"tags":[1956,1957,1955,328],"class_list":["post-6460","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-organization","category-strategy","tag-5-major-components","tag-dr-jay-galbraith","tag-galbraiths-star-model","tag-operational-excellence"],"_links":{"self":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/6460","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/users\/111"}],"replies":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/comments?post=6460"}],"version-history":[{"count":9,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/6460\/revisions"}],"predecessor-version":[{"id":8013,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/6460\/revisions\/8013"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media\/6462"}],"wp:attachment":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media?parent=6460"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/categories?post=6460"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/tags?post=6460"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}