Foundation of Organization Design and Structure (PDF)

Most managers have no useful training or knowledge in organization design, making many decisions difficult. But there is a solid body of knowledge in this area, called Requisite Organization or Stratified Systems Theory, originally documented by Eliot Jaques. This document was created to support training to our clients in major change projects, to show them why we were making the recommended changes to their structure, with learning that they could go forward and use themselves.

This 18 page briefing document contains clear diagrams and explanations that go beyond bullet points. It describes how layers in an organization should be set up, and what level of staff to put at each layer. It shows you what kinds of problems can occur when you have your structure set up poorly – too many levels of management, or too few.

If you have ever felt that your boss was micro-managing you, or your staff were borderline insubordinate, you probably had a structural problem, not an interpersonal problem.

Most people find that this information connects very well with their real-world experience of managing and organizing people.
[Please let me know of any elements that could be clearer or expanded and I will amend the document]

This PDF also delves into the nuances of organizational layers, emphasizing the importance of time-span and judgment in role complexity. It highlights the pitfalls of compression, where too many management layers can stifle productivity and create political tension. Real-world examples illustrate how high-capability individuals use integrative thinking to solve complex problems. The document underscores the necessity of well-defined role relationships to avoid conflicts and ensure accountability. This comprehensive guide is essential for executives aiming to optimize their organizational structure and enhance overall efficiency.