Makai

Organizational Design for a More Responsive Organization

Improving efficiency and effectiveness are worthwhile goals, but they can lead to a fragile organization. What if organizational design could be used to create a more responsive organization?

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Traditionally, organizational design has been used for the purpose of aligning the structure of an organization with its objectives, in order to increase efficiency and effectiveness. The desire to improve specific business processes is a common motivation behind organizational design. The work itself typically involves many different components of the way an organization operates, including streamlining roles, restructuring the chain of command, and coming up with new ways of forming teams. While improving efficiency and effectiveness are worthwhile goals, they can sometimes lead to a fragile organization; unable to adequately respond to disruptions. But what if organizational design could be used to create a more responsive organization?

By far the biggest disruption we have experienced in the last decade is the Covid-19 pandemic. In the first year of the pandemic alone, there were 200,000 additional business closures. Still, thousands of businesses that were also affected by Covid restrictions managed to stay afloat by getting creative with the way they operated. These businesses were responsive to a changing business environment.

What is a responsive organization?

A responsive organization is one that is able to learn and adapt quickly to a changing business environment. Rather than fearing it, it embraces change. This agility allows it to succeed in a changing business climate. Change can come in many forms. It may look like new leadership roles, different approaches to getting work done, embracing e-commerce or a new pay structure, improving employee benefits, launching a new department, or opening up more branches, etc.

How to use organizational design for a more responsive organization

In order to create a more responsive organization, businesses should design roles and work structures with built-in flexibility and embrace diversity in the workplace.

The way to create flexible roles for employees is to help them learn about other roles in the organization and give them training opportunities to learn the skills they would need to step into new roles should the need arise.

Flexible work systems aren’t only good for making employees happy; they can also allow companies to adapt to changing environments more easily. Some examples are:

  • Job sharing, where two people split the hours of one full-time position
  • Allowing employees to work from home
  • Being open to part-time or three-quarter time positions
  • Creating schedules with staggered hours to reach customers in different time zones or for more hours in a day
  • Offering flextime so workers can choose what time they start their day or when they get their work done
  • Embracing phased retirement where older employees phase out of the work environment slowly by reducing their hours and training replacements over a period of time

When an organization embraces diverse hiring and diversity-leadership, it recognizes and honors the range of culture and cultural preferences within their organization. The organization then adopts strategies and processes that work for all group members. In turn, diverse teams boost creativity and innovation, two of the most important skills for workplace flexibility.

Partnering with Makai HR

We are here to help with your HR needs! When you partner with Makai HR you can get on with the business you are trying to grow while we take care of your employee needs from payroll to taxes, health insurance/benefits and worker’s compensation. You also gain peace of mind that you are compliant with all of Hawaii’s employer laws (if you’ve ever looked you know that the list is very long and changes happen). When choosing a PEO to partner with, there are many things to consider including cost, services, and technology solutions. 

With the cost of doing business in Hawaii at record highs, we know how important it is to keep labor costs in line with revenue. Our plans are priced competitively and include value-added services like time-in/time-out systems. Our three tiers of PEO service plans are tailored to the size of your business and specific needs. We offer a 100% paperless solution which means that your employees can manage their needs through a computer, tablet, or phone. We can truly improve your employees’ work benefits while freeing you up to run your business.

What are you waiting for? Companies that partner with a PEO benefit from 7-9% faster growth, 10-14% lower employee turnover; and they are 50% less likely to go out of business. Contact us today to get started!

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