RESHAPING THE ORGANIZATION TO PERFORM THE CUSTOMER'S WORK

Since the advent of the production line, companies have organized themselves along functional lines. Ditto for non-business organizations, which followed the example. Early technology sharpened the lines, separating the technology “haves” from the “have-nots.” But perhaps no development has reinforced functionally-based organizations more than the proliferation of application software.

Application software conquered, but it also divided: The pervasive growth of single-function application software cemented functional separation. Software use defined functions – and even thwarted attempts to work cross-functionally. Software became the great divider. And silo-based organizations resulted.

The movement towards customer-centricity is playing a lead role in reversing the initial effect of functionally-specific software. Organizations can’t become customer-centric without working cross-functionally, so something had to change.

Moving towards integrated, cross-functional organizations: In organizations headed for customer-centricity, the business side began agitating for working cross-functionally, which requires cross-functional process. Enabling cross-functional process pushed both IT and software providers to start linking applications together. And when application software integration advances, the glue holding functional silos together and apart from each other starts melting – rapidly.

With silo walls lowering, companies can now start reorganizing to do business the customer’s way. But it’s not that easy. Moving roles and responsibilities about requires planning, anticipation of consequences (intended and unintended), lots of people skills and strong leadership. All necessary to become customer-centric – but not often easy.

The change factor: HYM has been in the thick of customer-driven organizational change for years. We can anticipate organizational impacts of change; identify potential obstacles; work with your HR department and organizational design professionals; and our Visual Workflow process approach, which relies on cross-functional teams, greatly mitigates resistance to change.

For more on change management, please read or download HR is a Major Player in the Migration to Customer-First Business...or Should Be.