In the words of business historian Alfred D. Chandler, “Unless structure follows strategy, inefficiency results.” And because strategy continually evolves, so too must organizational structure.
Axiom has significant experience reviewing and realigning structure to meet the new needs of organizations. We know that organizational restructuring isn’t only about reporting relationships, it’s about processes, go-to-market strategies, and, critically, customer relationships. Organizational restructuring can’t be taken lightly, and every role undergoing change must be fully considered so that incumbents are set up for success in the new world.
Axiom has consulted on organizational restructuring in the following circumstances:
Growth into new markets
Growth due to acquisitions
Introduction of new business lines
Realization of synergies following mergers or acquisitions
Realignment with a geographic and/or product focus
The most critical organizational restructuring comes about during a turnaround – and you only have one shot at making your turnaround work.
The good news is that the clarity the turnaround provides can be leveraged as an avenue for precise focus. It’s an opportunity to explicitly clarify your mission-critical goal and ensure each and every employee is aligned to it. A turnaround is not a time for “want to have,” it is a time for “must have.”
Organizational restructuring during a turnaround also requires a broad focus. Objectives that are focused on the mission-critical elements must be prioritized; all other goals must be culled. Communications must be frequent and agile, there must be systems in place to retain key employees, and accountabilities must be crystal clear to ensure every role is contributing.