Rational Reorganization

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In the pressure to produce more with less, every manager explores a variety of fixes. Among the first of these is that often-used, complex, and heart-wrenching solution – the structural reorganization. Because aspects of the business are not right – profit is off, customer complaints are increasing, performance is below standard, employee morale is low, or simply that “something” is wrong – managers decide to reorganize.

Reorganization appears expedient, easy to initiate, and understandable. However, changing the organization chart may well be an exercise in arranging the deck chairs on the Titanic. It is indeed immediate, simple enough to do, and “feels” effective – and has no positive results whatsover.

In place of the typical seat-of-the-pants process, we propose a rational approach – nine steps to effective re-organization.

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