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A critical factor in organization design is the relationship between managers and their employees. The alignment of managers and employees is much like the spine of the corporation. A misaligned spine adversely effects all other parts of the corporation and is a significant barrier to optimal performance. It wastes financial and human resources and creates obstacles to employees doing their work.

Once the spine is misaligned, the symptoms are often wide-spread and significant. They include poor communication among employees and departments. Employees lack clear understanding of their roles and responsibilities, and of the corporation’s goals and objectives. Employee productivity becomes uneven, and quality is unpredictable. In the end, poor organization design effects the bottom line and the corporation is unable to meet its goals. It can’t optimally produce the service or product it wants to provide.

Symptoms of Poor Organization Design:

Employee dissatisfaction, including low morale, high turnover, and low productivity.

Poor customer service, and increased complaints because employees are unable to meet objectives.

Decreased financial performance because executives are unable to forecast performance. There are continual cost over runs, time over runs, and substandard service and products.

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