(Revised May 2016), by Empire is a Canadian food-retailing and real estate company based in Stellarton, Nova Scotia, with more than $17 billion in annual sales and more than 124 000 employees. Background Note Internally, some questioned whether the group was optimally located within the organization (as part of the back office organization structure), since the back office was often viewed as more of a servant to the front office. Performance Productivity; Unit 2: Organizational Structure Page 7 PRLS 410 Training Notes Spring 2009 4. /Subtype /Image The first section outlines some of the key tools and criteria that must be taken into account in designing organizational structures. | July 15, 2020, The Implications of Working Without an Office, Ethan Bernstein, Hayley Blunden, Andrew Brodsky, Wonbin Sohn and Ben Waber. Canada; Supplement >>

Organizational Structure; �pi�d�mwܒZ�[F��.�%9�#�72��j�F���@����gK�g��)��x4��w�c���b^{���4f��͆@���b:`}:v� ;��v����^ɑ��ځ�\����s�4/�a(p~�nyE�>�h����x�#��%�ń�e����i�. � Ethan Bernstein and Nitin Nohria. Finally, some emerging trends in how organizations are structured are discussed in the last section of this note, supplemented by a brief summary, in timeline format, of the evolution of organizational structure in theory and practice. Or was the OT group not structured correctly to enable it—and if not, what changes should be made? ), Article << | HBS Case Collection /Height 155 %PDF-1.4 Provides the reader with a basic understanding of organizational structure. "Note on Organizational Structure." As your business grows, you can simply assign them to However, by 2017, industry-wide change was well underway as switching costs had become negligible if not non-existent. %��������� �Z�+��rI��4���n�������=�S�j�Zg�@R ��QΆL��ۦ�������S�����K���3qK����C�3��g/���'���k��>�I�E��+�{����)��Fs���/Ė- �=��I���7I �{g�خ��(�9`�������S���I��#�ǖGPRO��+���{��\_��wW��4W�Z�=���#ן�-���? Business leaders need to be able to answer a number of questions to make these decisions. Banking Industry; Management Systems; The first section outlines some of the key tools and criteria that must be taken into account in designing organizational structures.

Change Management;
endobj Working Conditions; | HBS Case Collection In 2017, the Royal Bank of Canada (RBC), a Canadian financial icon, mandated a swat team of “enablers of collaboration” (their job description) to support the personal and commercial bank in the enterprise-wide RBC Cultural Transformation initiative. In the second section, some archetypal forms of organizational structure and their strengths and weaknesses are described. Copyright © President & Fellows of Harvard College, Business, Government and the International Economy, "The Implications of Working Without an Office. With this information OT leadership needs to think about changes, if any, moving forward from a structural, organizational, and capability perspective. /AIS false >> /ColorSpace /DeviceRGB 5) /Creator (�� w k h t m l t o p d f 0 . stream

x��XMO1��W�u=�vo-�R�U� EQA�$\�����ή� DrH��3��~�pC�r�%c��TK0�P�a6��0�����xr�x���ٵ7�ބ��q|�0��K;k�T0���G�_�|�&�*�e[�Y��9�x�*�N3K��;��`-U�H�&�����(�6ι��eJ�Pd8�o���Gj���vU�_�/QJ�t��/#P���?��F~�ߐ2�et {��0�1�!���u��"do���"Kz}����>uD��AF��!�$�#(}�)��x@ |��-cp�Y`�2�8�]]4�@�]�Y�1��rD؀\�>�c�Enc₊8ֆ-��^���䈑�� k�9����Nr;�;"� Groups and Teams; Employees; Transformation;

/SMask /None>> /Width 625 4 0 obj Human Resources; Bernstein, Ethan, and Nitin Nohria. If you are looking at designing or redesigning your structure, you should keep them in mind. work from home (WFH); RBC’s Cultural Transformation, intended to reposition the enterprise for the “new normal” in the financial industry, included the creation of this team of collaboration enablers (called Operations Transformation or OT) to drive efficiencies across operations within the current fulfillment operating model and importantly to envision and enable a new digital operating model where people only intervened in a transaction when there was an exception, i.e., a transaction that fell outside the technology’s capabilities. Technology; /ca 1.0 stream /Producer (�� Q t 4 . June 2020, Edward W. Conard Associate Professor of Business Administration, George F. Baker Professor of Administration, In early 2020, the world began what is undoubtedly the largest work-from-home experiment in history. Keywords: remote work; /SM 0.02 $ @H* �,�T Y � �@R d�� ���{���ؘ]>cNwy���M� endobj At the time of the case, eighteen months in, the team was seeing mixed results, which deeply troubled its leadership. Harvard Business School Background Note 491-083, February 1991. | ". Decision Making; /BitsPerComponent 8 Organizational Structure and Design CHAPTER 5 Y ou might not have heard of Empire Company Limited, but you’ve probably shopped at one of their Sobeys, Safeway, or IGA grocery stores. /Title (�� T y p e s o f o r g a n i z a t i o n a l s t r u c t u r e a n d d e s i g n p d f)

New entrants were disrupting the banking industry as digitization allowed upstarts to break through long-standing barriers to entry. June 2020, Ethan Bernstein, Francesca Gino and Aldo Sesia. PDF | This note introduces basic principles of organizational design and the advantages of several common organizational structures. /Type /ExtGState 7) Innovation and Management; | HBS Case Collection Sometimes this form of departmentalization may create problems if individuals with …
Historically, personal and commercial banks (P&CB) maintained long relationships with their clients who tended to do most if not all of their banking with one bank. endobj Primary among them is “What impact has working from home had on productivity and creativity?”. Keywords: Service Delivery; 8 . (Revised May 2016. Management Teams; The organizational structure also determines how information flows between levels within the company. Now, as countries reopen but COVID-19 remains a major threat, organizations are wrestling with whether and how to have workers return to their offices. Others wondered if OT’s internal structure was getting in the way of its purpose. | /Type /XObject Questions abounded: Was it foolish to try to enable major change through collaboration without upending the traditional RBC organization with more radical approaches? %PDF-1.3 [/Pattern /DeviceRGB] 3 0 obj Specialization of work. Decentralization Model Form is identical to bureaucratic structure, but decision- Financial Services Industry; /Filter /FlateDecode <<

Creativity; Case ~��-����J�Eu�*=�Q6�(�2�]ҜSz�����K��u7�z�L#f+��y�W$ �F����a���X6�ٸ�7~ˏ 4��F�k�o��M��W���(ů_?�)w�_�>�U�z�j���J�^�6��k2�R[�rX�T �%u�4r�����m��8���6^��1�����*�}���\����ź㏽�x��_E��E�������O�jN�����X�����{KCR �o4g�Z�}���WZ����p@��~��T�T�%}��P6^q��]���g�,��#�Yq|y�"4";4"'4"�g���X������k��h�����l_�l�n�T ��5�����]Qۼ7�9�`o���S_I}9㑈�+"��""cyĩЈ,��e�yl������)�d��Ta���^���{�z�ℤ �=bU��驾Ҹ��vKZߛ�X�=�JR��2Y~|y��#�K���]S�پ���à�f��*m��6�?0:b��LV�T �w�,J�������]'Z�N�v��GR�'u���a��O.�'uIX���W�R��;�?�6��%�v�]�g��������9��� �,(aC�Wn���>:ud*ST�Yj�3��ԟ��� � �l%��Ž��� �W��H* �=BR d�J:::�� �$ @H* �,�T Y � �@R d�� �I �� Provides the reader with a basic understanding of organizational structure. /CreationDate (D:20201007192014+03'00') 1 0 obj ��87r��N����YV (�f�y�$ ����؍v��3����S}B�2E�����َ_>������.S, �'��5ܠo���������}��ز�y���������� ����Ǻ�G���l�a���|��-�/ ����B����QR3��)���H&�ƃ�s��.��_�l�&bS�#/�/^��� �|a����ܚ�����TR��,54�Oj��аS��N- �\�\����GRX�����G�����‡�r]=��i$ 溻w����ZM[�X�H�J_i��!TaOi�0��W��06E��rc 7|U%���b~8zJ��7�T ���v�������K������OŻ|I�NO:�"���gI]��̇�*^��� @�-�5m>l~=U4!�fO�ﵽ�w賔��ٛ�/�?�L���'W��ӣ�_��Ln�eU�HER `�����p�WL�=�k}m���������=���w�s����]�֨�]. organizational structure depends on the situation, consisting of the particular technology, the environment, and many other dynamic forces. Collaborative Innovation and Invention; | 6 0 obj Researchers have argued that if organizational theory is to be relevant to practitioners, emphasis should be placed on organizational effectiveness and its influencing factors [36-40]. J�H��,y�׸4ԓ۠`I�`_�y۾s"��~R�T�]�.���U�+�bWZT,L-��W�X����x�#J�����j��6��U February 1991

Organizational Design; Program or project teams are drawn from other functional units. /Length 7 0 R In the second section, some archetypal forms of organizational structure and their strengths and weaknesses are described. Health Pandemics; Tasks are divided between different people and teams. 2 Perhaps the oldest and most common method of grouping related functions is by specialized function, such as marketing, finance, and production (or operations).

Organizational Structure: Influencing Factors and Impact on a Firm 231.

x����_w��q����h���zΞ=u۪@/����t-�崮gw�=�����RK�Rl�¶Z����@�(� �E @�B.�����|�0�L� ��~>��>�L&C}��;3���lV�U���t:�V{ |�\R4)�P�����ݻw鋑�������: ���JeU��������F��8 �D��hR:YU)�v��&����) ��P:YU)�4Q��t�5�v�� `���RF)�4Qe�#a� 2 0 obj The case examines three major transformation projects that OT is collaborating on with colleagues from Banking Operations and Risk Operations to understand what contributed to less than hoped for results. << /Length 4 0 R /Filter /FlateDecode >> 5. OT was tasked with enabling—through collaboration and without radical surgery—the day-to-day optimization of P&CB fulfillment activities and facilitating major change in the way work was done.

Was a different collaboration model needed? Matrix Model Merges two or more departmentalization criteria within one organizational structure. /CA 1.0 | Harvard Business Review Digital Articles L�6���W`��gW��R�R�L��I/1�?��/��(��~w̄��ۆ�NI�+�[���Y$)9+:���]���%�� 3���ߨ8Ű2?pm+���E����`!d$>��!��0o��x�#2�[��mYOl�pL����p uMޕ��J����tn�gs���p�u����4�M� <<

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