inn vating od...inn vating od od network 2013 annual conference october 5 – 8, 2013 • doubletree...
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INN VATING OD
OD NETWORK 2013 ANNUAL CONFERENCE
October 5 – 8, 2013 • DoubleTree by Hilton San Jose • San Jose, California
Organization Development Network
Social Systems • Learning • Networks • Organizations • Practice Development
© David W. Jamieson, Ph.D, 2013
Strategic Organization Design: A Core Platform for Innovating in HR &
Change
David W. Jamieson, Ph.D.
Professor & Department Chair, Org.
Learning and Development, University of St.
Thomas
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategic Organization Design (SOD)
• Not extensively known in HR or OD, yet
provides foundation for how
organizations work, are effective &
change
• Organizations are systems. SOD helps
to conceptualize the components,
relationships & dynamics
• Highlights importance of alignment-
internal & external-for effectiveness
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategic Organization Design (SOD)
Behavior
Environment
Strategy
Design
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategic Organization Design (SOD)
• Can be useful platform in:
• Determining what’s going on
• Recognizing interdependencies
• Targeting needed work & leverage points
• Designing/selecting interventions
• Strategic HR needs to set policies, systems & processes that drive behavior for the strategy
• OD needs to align people, structures, culture & systems for effectiveness & health
Understanding Organizations:
Strategic Organization Design
STRATEGY
CULTURE
BEHAVIOR
SYSTEMS STRUCTURE
VISION
LEADERSHIP
© David W. Jamieson, 2009
ENVIRONMENT
How work, technology & people are put together:
The Values in Operation Ongoing operating policies, processes and procedures
What people do that produces results
MISSION
What the organization intends to do
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Every organization is perfectly
designed to get the results it’s getting
Hanna
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Unprecedented Era
Scope and pace of change
Work, workers and the workplace
Change in all environmental sectors • Continuous
• Fast
• Simultaneous
• VUCA
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
ENVIRONMENT
RELEVANT
TRENDS AND EVENTS
FORCES FOR AND AGAINST
S.T.E.E.P.
“To succeed in a changing
world, you need to
understand the changes
that drive it”
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
MISSION
WHY YOU EXIST
WHY PEOPLE JOIN
YOUR PURPOSE
YOUR HEART
Understanding Organizations:
Strategic Organization Design
STRATEGY
CULTURE
BEHAVIOR
SYSTEMS STRUCTURE
VISION
LEADERSHIP
© David W. Jamieson, 2009
ENVIRONMENT
How work, technology & people are put together:
The Values in Operation Ongoing operating policies, processes and procedures
What people do that produces results
MISSION
What the organization intends to do
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
STRATEGY
CHOICES ABOUT WHAT TO DO AND NOT DO
YOUR MISSION IN YOUR ENVIROMENT
HOW TO BE MOST SUCCESSFUL & EFFECTIVE
CREATING COMPETETIVE ADVANTAGE
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
STRATEGY
What to do to be successful in accomplishing your mission in your environment
The “what” and “how” distinction
Planned and adaptive
Outside-in and Inside-out
Positioning, intent and identity
It’s ultimately about choices!
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Factors Shaping Strategy
• Relevant
environment trends
and forces
• Competitive
conditions and
industry
characteristics
• Specific
opportunities and
threats
• Resource strengths
and weaknesses,
competencies and
capabilities
• Key executive
drives, passions,
principles and
ambitions
• Organization culture
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Determining the Strategic Situation and
Strategy
Conclusions about how the external and
internal factors stack up and their
implications for strategy
Identification and evaluation of strategic
alternatives
Crafting your strategy to fit the situation
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
STRATEGIC VISION
Roadmap
Direction headed
Intended positioning
What you’re creating
Capabilities you’re emphasizing
Provide meaning to everyone’s efforts—
”Building cathedrals, not laying stones”
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
STRATEGIC THINKING
A way of orienting/thinking
Scanning and analyzing for meaning,
relevance and impact
Separating driving forces from “noise”
Seeing possibilities and opportunities
Anticipating
Being entrepreneurial
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
STRATEGIC THINKING
Challenging constraints, assumptions and conventional wisdom
Outside the….
Playing “why” and “what if”
Weighing costs and benefits
Tapping your intuition, passion, values and drive
Avoiding the detail and perfectionist traps
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
BEING STRATEGIC
Wholeness (not individual parts or units)
In relation to organization mission &
strategy
Contributes to how the organization’s
“business” works
Value added to work with strategic impact
Longer time horizon
Connected to organization environment
influences
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
The Big Picture: Integrated Strategic
Change Framework
Two time periods—strategic horizon
A current environment with opportunities and threats
A current strategy
A current organization with strengths and weaknesses
A current alignment between the strategy and environment and between the organization and the strategy
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
The Big Picture: Integrated Strategic Change Framework
A future environment with opportunities
and threats
A future strategy to be chosen for the
anticipated environment
A future organization to be designed
with desired strengths for the chosen
strategy
Leading and managing the execution
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
SUSTAINABLE COMPETITIVE
ADVANTAGE
Perceived Customer Value
Product/Service Quality Responsiveness Costs/Difficulty Relationship
You have something someone wants and you can deliver it better than anyone else.
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
SUSTAINABLE COMPETITIVE
ADVANTAGE
Uniqueness
Distinctive competence or resource base
Desired capabilities
Able to continue over time
What you offer is hard to replicate and you can
sustain it over time
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
SUSTAINABLE COMPETITIVE
ADVANTAGE
Multiple sources
Resources, capabilities, assets,
competencies, identity/reputation
Physical, financial, human and
organization capital
Tangibles and intangibles
Real and perceived
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Potential Sources of Competitive
Advantage
Low cost structure
Valued differentiation in services/products
Distinctive competence in a key success factor or valuable process of your business
Valuable physical assets
Valuable human assets
Valuable organizational assets
Valuable relationships and alliances
Intangible assets-brand name, reputation, customer loyalty, unique organization culture
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
SUSTAINABLE COMPETITIVE ADVANTAGE
• Source Strength Competitive Advantage
• Valuable-what you possess enables firm to respond
to opportunities and threats; valued by the customer
• Rareness-what you possess is not found in other
firms
• Imitability-what you possess is hard or costly to
obtain or replicate
• Organization-the firm is organized to leverage or
exploit the competitive potential of what you possess
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Some Generic Strategies
Low cost leadership
Product/service differentiation
Market focus
Innovation
Diversification
Vertical integration
Growth
Relative superiority
Change the playing field (KSF’s)
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Results Triangle
Strategy
Organization Execution
Results
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
“The ultimate competitive advantage in today’s business environment is the ability to change. Lawler & Worley
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
“The ability to learn faster than your competitors, may be the only sustainable competitive advantage” Arie de Gues
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategy & HR/OD
Strategic HR implications of strategy
change?
Strategic OD implications of strategy
change?
Understanding Organizations:
Strategic Organization Design
STRATEGY
CULTURE
BEHAVIOR
SYSTEMS STRUCTURE
VISION
LEADERSHIP
© David W. Jamieson, 2009
ENVIRONMENT
How work, technology & people are put together:
The Values in Operation Ongoing operating policies, processes and procedures
What people do that produces results
MISSION
What the organization intends to do
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
STRUCTURE DEALS WITH:
TASKS, ROLES, WORK SYSTEMS, UNITS, GROUPINGS, LEVELS OPTIMIZING SOCIAL AND TECHNICAL NEEDS DIFFERENTIATING AND COORDINATING CORE AND SUPPORT FUNCTIONS INFORMATION PROCESSING DECISIONS AND CONTROLS FOCUS
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
BASIC TYPES OF STRUCTURES
FUNCTIONAL
PRODUCT/SERVICE
MARKET/POPULATION
GEOGRAPHICAL
PROCESS
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
TRENDS IN STRUCTURING
• WIDER SPANS AND FLATTER STRUCTURES
• INFORMATION AND DECISIONS CLOSER TO FRONT LINE OF CORE PROCESSES
• MORE WHOLE PROCESSES
• MORE TEAMS
• MORE FOCUS ON END USERS/RECIPIENTS/CUSTOMERS
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Structure Changes & HR/OD
HR implications when structures
change?
Potential OD work with structure
changes?
Understanding Organizations:
Strategic Organization Design
STRATEGY
CULTURE
BEHAVIOR
SYSTEMS STRUCTURE
VISION
LEADERSHIP
© David W. Jamieson, 2009
ENVIRONMENT
How work, technology & people are put together:
The Values in Operation Ongoing operating policies, processes and procedures
What people do that produces results
MISSION
What the organization intends to do
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Understanding Culture
• Central concept in behavior
• Guides and shapes behavior
• Drives mindset, perspectives, beliefs and attitudes
• Pervasive manifestations
• Internalized and taken for granted
• Learned, taught, passed down- ”Keepers of the Culture”
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Culture Is…
• Underlying assumptions about the nature of reality
• Shared pattern of beliefs and values
• Set of tacit, shared understandings and meanings
• Collective consciousness
• “How we do things around here”
• Values in operation
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Organization Culture
• Values in operation
• Evident in and reinforced by:
• Policies • Structures
• Systems • Behaviors
• Language • Humor
• Stories • Symbols
• Rituals • Ceremonies
• Evaluation and success criteria
• Social inclusion and exclusion
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Culture change & HR/OD
Ways HR can drive/support desired
culture changes?
OD work to support/drive culture
change?
Understanding Organizations:
Strategic Organization Design
STRATEGY
CULTURE
BEHAVIOR
SYSTEMS STRUCTURE
VISION
LEADERSHIP
© David W. Jamieson, 2009
ENVIRONMENT
How work, technology & people are put together:
The Values in Operation Ongoing operating policies, processes and procedures
What people do that produces results
MISSION
What the organization intends to do
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
ORGANIZATIONAL SYSTEMS/PROCESSES
• REGULAR, REPETITIVE, ORGANIZED
• PROCESSES, PROCEDURES, POLICIES,
FORMS
• MANAGE OPERATIONAL FLOWS
• CAN BE DESIGNED LIKE STRUCTURE AND
CULTURE TO ALIGN WITH STRATEGY
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
COMMON SYSTEMS
• Planning
• Budgeting
• Hiring
• Procurement
• Pay
• Benefits
• Careers
• Evaluation
• Rewards
• Development
• Promotion
• Performance
Management
• Information
• Control
• Decision-making
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
KEY SYSTEMS
Information
Reward
Decision-making/Control
Human Resource
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Systems/Processes & HR/OD
Critical systems needing change with
strategy?
Critical HR systems involved in strategy
change?
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
ALIGNMENT Organization with environment; components of
organization system & behaviors with strategy
• INTERDEPENDENT COMPONENTS
WORK TOGETHER
• ARE MUTUALLY REINFORCING;
SYNERGISTIC
• WORK WITH CONSISTENCY
• HAVE INTENTIONAL FOCUS
• LEVERAGED FOR SUPPORT
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Alignment
• Alignment needed for operational
efficiency, clear communications &
organizational effectiveness
• Alignment needed for environmental
survival
• Alignment reduces ambiguity,
confusion & conflict
• Alignment creates
reinforcing/supporting mechanisms
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Common Mis-alignments
STRATEGY --- DESIGN STRUCTURE CULTURE SYSTEMS
AMONG DESIGN COMPONENTS STRUCTURE—CULTURE STRUCTURE—SYSTEMS
CULTURE—SYSTEMS
STRATEGY---DESIGN---BEHAVIOR
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Aligning Human Resources with Business & Organization Strategy
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategic HR Thinking
• Find
• Attract
• Select
• Orient
• Deploy
• Develop
• Move
• Contract
• Engage
• Evaluate
• Reward
• Inform
• Involve
• Empower
• Commit
• Retain
• Design jobs &
organization
• Manage learning &
change
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategic HR Thinking
Plan-Attract-Select-Orient
• Identify, acquire and integrate talent
Deploy-Develop-Move
• Provide opportunities for growth, challenge,
building experience & careers
Contract-Engage-Evaluate-Reward
• Develop agreements on work and performance
• Tap motivation, passion & engagement
• Provide meaningful feedback and reward
excellence
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategic HR Thinking
Inform-Involve-Empower-Commit-Retain • Provide relevant information and include people in
decisions
• Expect responsible thinking, initiative and innovation
• Capture hearts and minds and manage to keep the best
Design jobs-work systems-organization • Create meaningful roles, efficient work processes and an
aligned organization that works
Manage learning-change • Focus on critical knowledge management
• Invest in learning
• Make managing change a core competency
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategic HR brings…
• Talent needs, projections, sourcing,
movement strategies, development
processes & changing competencies
• Engagement, retention, rewards,
performance strategies for desired workforce
• Risk management in ensuring legal
compliance, policy management & ethical
behavior
• Cultural & diversity implications of strategies
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Strategic HR brings…
• Integration of technologies with human
systems for performance & efficiencies
• Analytics for assessing impact and adding
human capital data into decision-making
• Changing leadership needs for new
organizational environments
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD Brings… • Systems thinking; whole systems views of
organizations
• Consultative/partnering relationship
• Understanding strategy-design (structure,
culture, systems)-behavior relationships
& dynamics
• Inquiry with data-based
assessment/diagnostic
skills to understand present reality
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD Brings…
• Behavioral science knowledge for understanding & changing human/group behavior
• Group/team management skills including problem-solving, conflict, facilitation, participation
• Change theories, designs & interventions
• Values base including humanistic approach to people, inclusion of stakeholders, developing potential & democratic processes
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
OD NETWORK 2013 ANNUAL CONFERENCE • www.odnetwork.org Organization Development Network
Resources
• Worley, C., Hitchin, D. and Ross, W. (1996). Integrated Strategic Change: How OD Builds Competitive Advantage. Reading, MA: Addison-Wesley Publishing.
• “Strategic Business Partner Role: Definition, Knowledge, Skills & Operating Tensions” (co-author with Sue Eklund & Bob Meekin) in Rothwell, W & Benscoter, G (Eds.).The Encyclopedia of Human Resource Management, Volume III: Topical Essays.. San Francisco: Pfieffer/Jossey-Bass. (2012)
• “Strategic Human Resource Thinking” in Preziosi, R. The 2007 Pfieffer Annual: Human Resource Management. Pfieffer/Jossey-Bass (2007)
• Handbook for Strategic HR: Best Practices in Organization Development from the OD Network (Co-editor with John Vogelsang and others), AMACOM/OD Network (2012)
• “OD & HR: Today’s Practice and Tomorrow’s Possibilities “. Guest Co-Editor (with Judy Vogel), Special Issue of the Organization Development Practitioner, Vol 42, No 4 (Fall 2010)
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