AN ORGANIZATIONAL DESIGN MODEL
All of the following design elements must be in place and aligned to support each other. We
suggest you design last what is often designed first—organizational structure. Each double-
headed arrow represents the need for mutual support among the design elements.
102 SECTION 4 TOOLS FORDESIGNINGPRODUCTIVEPROCESSES ANDORGANIZATIONS
The External
Environment−the competition
−technology and
trends
−supply and suppliers
−regulatorySystems and
Processes−core work processes
−value-added work
−information and
logistics
−procedures and
policiesYour People−competencies
−capabilities
−how we work
together
−accountabilityWho You Serve−customers/clients
−stakeholder groups
−investors
−community/societyStructure−what division of
labor
−spans of control
−decentralization
−coordination of
effortThe Inside Culture−how you think and
feel
−what is important
−leadership capabilities
−work habitsYour Direction−why you exist
−where you are going
−how you will get there
−what will be measured