Framework for Organizational Design: 8 Key Elements PPT

This PPT slide, part of the 22-slide Organizational DNA: 10 Core Principles PowerPoint presentation, presents a framework for understanding Organizational Design through the lens of "Organizational DNA," which consists of eight essential elements. Each element is categorized into 2 types: formal and informal. This duality emphasizes that effective organizational structures must balance these aspects to align with a company's strategy and purpose.

The first section outlines 4 building blocks under the category of "Purpose." These blocks include Authority and Governance of Behavior, Governance Mechanisms, Knowledge Flows, and a traditional alignment with Organizational Design principles. Each of these blocks plays a critical role in shaping how an organization operates and makes decisions.

The second section focuses on "Formality," which is divided into formal and informal elements. Formal elements are those that can be clearly articulated and measured, such as organizational structure and decision-making processes. Informal elements, on the other hand, are more nuanced, embedded in the culture and interpersonal relationships within the organization. These informal aspects, while harder to quantify, significantly influence overall effectiveness and efficiency.

The slide concludes with a practical recommendation for initiating an organizational redesign. It suggests starting with 2 or 3 elements, highlighting a strategic approach to implementing changes. This guidance is crucial for leaders looking to enhance their organizational frameworks while ensuring that both formal and informal dynamics are considered. The emphasis on starting small allows for manageable adjustments that can lead to substantial improvements over time.

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Organizational Behavior Organizational Design Organizational Structure Governance Purpose