Organisational Design - an idea whose time has come (again!)

In 1930 John Maynard Keynes predicted that, by now, technology would have evolved to the point that developed nations would have moved to sustainable economies based on a 15 hour working week. The challenge being what we would do with all that leisure time!

Standing on the cusp of the next ‘industrial revolution’ that clearly hasn’t materialised. In fact - as we face the combined challenges of huge technology change, expectations of significant productivity uplifts, huge disruption of established operating models and increasing levels of burnout and work related mental health issues - the prediction seems well off the mark.

In discussion with ‘some colleagues’ recently, it was identified that one of the key challenges of the moment is that change isn’t what it used to be.

Previously we would have built change plans to a defined end point – but with AI advances and significant market disruption – we need to change toward a much less clear target.

That can lead to confusion, too much choice and, as a result, stagnation.

So where to start?

Imagine if you could find a solution to navigating these challenges that was independent of your skill set, your people and their capability or rapidly changing and costly technology. It’s available – the redesign of your organisation.

Organisational design - the full architecture of roles, systems, and ways of working – has to become a direct lever for your business’ success.

When done well, it enables clarity, agility, focus, team engagement and help address pivotal business challenges. If neglected, it breeds confusion, friction, fatigue, and failure. Especially given current challenges.

If you're seeing signs of strategic misalignment, sluggish performance, or constant firefighting in your business, chances are it’s time to look at how your organisation is designed to operate.

What Is Organisational Design - Really?

Organisational design is not just the spans and layers on your organisation charts. It’s the conscious alignment of:

  • Roles and responsibilities
  • Decision rights and governance
  • Processes and workflows
  • Technology and tools
  • Teams and organisational structures
  • Reward systems

It’s how your strategy shows up in day-to-day work and it’s what determines whether people can deliver that strategy - or are set up to fail trying.

Why It Matters Now More Than Ever

  1. The pace of change has outrun legacy structures
    Many organisations are still operating on structures built for a different era - linear, hierarchical, siloed and slow to adapt. Today’s environment is fast, ambiguous, highly networked and constantly evolving. If your org design hasn’t kept up, you're effectively asking people to deliver modern outcomes using outdated machinery.
  2. Technology isn’t a fix without alignment
    Businesses continue to invest in platforms, dashboards, and AI - but without the right structure and processes, technology adds complexity instead of solving problems. Design is what ensures that tools serve the work - not the other way around.
  3. People want clarity and growth
    The best talent doesn’t just want a job - they want to do meaningful work - in a system that supports growth, autonomy, and contribution. A well-designed organisation attracts, engages and retains great people. A poorly designed one encourages them to leave – or worse – to disengage and stay.
  4. Burnout as a system problem, not an individual one
    Burnout costs Australian businesses an estimated $39 billion a year in lost productivity. It’s not just a wellbeing issue - it’s a business issue. And it’s often a result of poor design: unclear roles, overloaded teams, inefficient processes, and tech that creates more noise than value.

The warning signs of poor organisational design

You don’t need a consultant (including me!) to tell you when design is off. The signs are already there:

  • Constant escalation and unclear decision-making
  • Leaders spending their time explaining ‘why things need to be this way’ and how their teams contribute rather this being clear and obvious
  • Siloed teams that can’t align or execute collaboratively
  • Processes that create more work and complexity and limit the opportunity for value to be added through their rigid application
  • Repeated rework and ‘work for show’ (i.e. making something look ‘good enough to be presented’ from its original form)
  • Talent leaving “for better opportunities”
  • Burnt-out high performers being rewarded with more work

When these signs appear, it’s tempting to launch new initiatives or replace individuals, but without addressing the underlying system, the symptoms will return.

Good Design Enables Performance at every level

When organisational design is done well, you feel it immediately:

  • Decision-making happens at the right level
  • Leaders look up and out (not in and down)
  • People are clear on what they need to do and how this contributes to the ‘greater good of the organisation’
  • Teams move faster with increased collaboration
  • Processes deliver the required results without significant workarounds
  • Technology makes work easier, not harder
  • Energy and engagement are palpable

Effective organisational design creates the conditions where productivity improves, and people can thrive and grow without excessive individual effort. It protects focus, aligns effort to strategy, and enables sustainable performance - not just short-term survival.

Where to Start: Leadership’s Role in Organisational Design

You don’t need to blow up your org chart to get started, but you do need to make the time and space to think, review and plan.

Here’s where to begin:

  1. Get clear on purpose and priorities
    Design follows strategy. If your priorities are unclear or constantly shifting, no structure will fix that. Set a clear direction - and then design the organisation to deliver it.
  2. Revisit roles and focus areas
    Take the time to review your key roles. Reflect on when you last reviewed them based on business needs or have they suffered from ‘scope creep’ based on individual capabilities? Are the results you expect from individuals feasible?  Have processes and technology changed significantly without commensurate role adaptation?
  3. Streamline process and remove friction
    Ask your teams: what gets in your way? Often, it's not the work itself - it’s how the work is structured. Simplify where possible, automate thoughtfully, and eliminate legacy processes and activities that no longer serve.
  4. Use technology with purpose
    Tech should reduce complexity, not increase it. Audit your stack and ensure every tool serves a clear role in the workflow. Stop chasing features; start designing for workflow and outcomes.
  5. Support real team connection
    Teams that trust each other perform better and weather change more easily. Invest in team clarity, shared goals, and creating open dialogue in the places in needs to happen to drive the best outcomes. Just because roles/people are grouped together on an org chart doesn’t make them a team – this needs investment and focus.
  6. Design for growth, don’t just talk about it
    Build horizontal and vertical development into your structure, and reward contribution. Play to your strengths – focus on job moves or role expansion as your primary development path based on what you can best deliver.

Best Fit Beats Best Practice

There is no one-size-fits-all design and copying that of a competitor or other successful organisation misses the point. The right model for your business depends on your strategy, your culture and your context.

Too often, leaders try to adopt whatever’s trending or been proven somewhere else. When design is imported without deep thinking and real focus on holistic implementation it creates compromise and disconnection.

Final Thoughts

·      You can’t deliver your strategy with a misaligned operating model

·      You can’t ask people to give their best in a structure that sets them up to fail

·      Technology is not going to be the tonic to cure all ills

·      Best fit beats best practice - every time.

You can, however, build an organisation that performs, adapts, and sustains if you look ahead, understand the implications of technology and process and take the time for considered planning.

That starts with design.

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