Agile organizational structures are the central competitive factor of the 21st century, as they radically prioritize customer needs and enable adaptability, which will be a prerequisite for the survival of many companies. Agility describes an organization’s ability to bring about necessary changes flexibly and proactively that continuously align with customer needs, something that previous organizational structure were not designed to do.
The company, a global market leader in its industry, anticipated significant revenue growth in the coming years due to a technological leap. The aim of the transformation project was to enable the corporate organization to manage this surge in growth administratively without having to create excessive overhead.
The starting point was the transformation of the controlling and finance areas with clear objectives for the new organizational structure: (1) to become a catalyst for growth, (2) to serve as a change agent, and (3) to become a role model for the entire group.
Providing information is the primary purpose of a controlling and finance department; hence, their information architecture constitutes the core and determines their optimal design.
To align the new organizational structure based on the information architecture, a three-axis model was developed, consisting of the dimensions of information tasks, information types, and information capabilities. The three dimensions of the model each formed an analytical unit of the transformation project. The project was carried out in four steps:
Flash Analysis
(1) Collection & evaluation of the current state of the information portfolio
(2) Identification of organizational weaknesses
Priority Setting
(1) Definition of the future information portfolio
(2) Analysis & assignment of activities
(3) Definition and assignment of the future required capabilities
(4) Development of possible organizational forms based on the three-axis model
Shaping
(1) Blueprint for new organizational structure
(2) Process framework
(3) Cost-benefit analysis
Transformation Planning
(1) Organizational transformation plan
(2) Procedural transformation plan
(3) Technological implementation plan
The implementation of the key transformation elements was completed within a year. The project’s success was evident after just a few months, as the finance function’s significantly improved performance was recognized and emphasized by other departments. In addition to the gradual full automation of reporting and standard processes, internal communication was significantly enhanced, and a central warehouse was established with the cleansing of master data. Employees received individual training plans to develop into their new roles over a period of 1-2 years and to build future capabilities.
Subsequently, the new organizational structure was rolled out to the other business areas.
Agile organizational structures are the central competitive factor of the 21st century, as they radically prioritize customer needs and enable adaptability, which will be a prerequisite for the survival of many companies. Agility describes an organization’s ability to bring about necessary changes flexibly and proactively that continuously align with customer needs, something that previous organizational structure were not designed to do.
The company, a global market leader in its industry, anticipated significant revenue growth in the coming years due to a technological leap. The aim of the transformation project was to enable the corporate organization to manage this surge in growth administratively without having to create excessive overhead.
The starting point was the transformation of the controlling and finance areas with clear objectives for the new organizational structure: (1) to become a catalyst for growth, (2) to serve as a change agent, and (3) to become a role model for the entire group.
Providing information is the primary purpose of a controlling and finance department; hence, their information architecture constitutes the core and determines their optimal design.
To align the new organizational structure based on the information architecture, a three-axis model was developed, consisting of the dimensions of information tasks, information types, and information capabilities. The three dimensions of the model each formed an analytical unit of the transformation project. The project was carried out in four steps:
Flash Analysis
(1) Collection & evaluation of the current state of the information portfolio
(2) Identification of organizational weaknesses
Priority Setting
(1) Definition of the future information portfolio
(2) Analysis & assignment of activities
(3) Definition and assignment of the future required capabilities
(4) Development of possible organizational forms based on the three-axis model
Shaping
(1) Blueprint for new organizational structure
(2) Process framework
(3) Cost-benefit analysis
Transformation Planning
(1) Organizational transformation plan
(2) Procedural transformation plan
(3) Technological implementation plan
The implementation of the key transformation elements was completed within a year. The project’s success was evident after just a few months, as the finance function’s significantly improved performance was recognized and emphasized by other departments. In addition to the gradual full automation of reporting and standard processes, internal communication was significantly enhanced, and a central warehouse was established with the cleansing of master data. Employees received individual training plans to develop into their new roles over a period of 1-2 years and to build future capabilities.
Subsequently, the new organizational structure was rolled out to the other business areas.