Leadership Spunje » Organisation Structure

Matrix Organization and project management

Leadership Spunje — Tue, 13 Oct 2009 11:46:07 +0000

The matrix organization is an attempt to combine the advantages of the pure functional structure and the product organizational structure. This form is identically suited for companies, such as construction, that are “project-driven”. The figure below shows a typical Matrix organization.

In a matrix organization, each project manager reports directly to the vice president and the general manager. Since each project represents a potential profit centre, the power and authority used by the project manager come directly from the general manager.

http://www.visitask.com/matrix-organization.asp

The basis for the matrix organization is an endeavor to create synergism through shared responsibility between project and functional management.

Protecting Organizational Knowledge

Leadership Spunje — Thu, 08 Oct 2009 08:38:40 +0000

“Knowledge Management” is a pretty big buzz word in business today. Between exponentially advancing technology and high turnover rates, it’s no wonder that more companies are worried about capitalizing and protecting the knowledge of their employees. Some companies have even gone so far as to name CKO’s within their organizations. While data and information can easily be filed away in databases, retaining some level of employee knowledge can be a far more difficult task.

The two most effective techniques for converting individual employee knowledge into a retainable, transferable form are mentoring and process management. While both approaches may seem obvious, the degree to which a company culture fosters mentorship and the extent to which a company understands and records its processes are key determinants of that company’s ability to capitalize knowledge over time.

http://www.strategicsourceror.com/2009/10/protecting-organizational-knowledge.html

While mentoring is more of a soft, cultural strategy, understanding and recording business processes is a much more tangible method for retaining knowledge and decreasing costs associated with employee turnover. The problem within many organizations is that internal processes are not clearly mapped out and documented.

The Board of Directors Responsibility, Role, and Structure

Leadership Spunje — Wed, 30 Sep 2009 11:20:16 +0000

Mention the phrase “board of directors” to the average investor, and they are likely to conjure up images of nicely dressed men and women standing around a mahogany table, smiling congenially. This is entirely understandable; many annual reports prominently feature glossy photographs of just such a scene. Now, ask the investor to describe the primary responsibility of the board of directors and very few will be able to give you a definitive answer.

http://beginnersinvest.about.com/cs/a/aa2203a.htm

In a company where no controlling shareholder exists, the directors should act as if one did exist and attempt to protect this imaginary entity at all times (even if it means firing the CEO, making changes to the structure that are unpopular with management, or turning down acquisitions because they are too pricey).

Working in The Matrix

Leadership Spunje — Sun, 27 Sep 2009 07:00:35 +0000

I had dinner with Mr. Matrix.

His real name is Jim and he is VP of Manufacturing for a global company. We share a common trait: the desire to turn a plausible theory into a practical solution.

http://www.allthingsworkplace.com/2008/07/working-in-the.html

Spend time putting highly competent people into flat organizations. Or hire them. You’ll have to backtrack and do it later so you might as well do it right the first time.

“You know what really drives the success of a flat, matrix organization?”

Competency. A whole lot of competency.

The Combined Code and associated guidance

Leadership Spunje — Tue, 15 Sep 2009 07:00:22 +0000

The Combined Code on Corporate Governance sets out standards of good practice in relation to issues such as board composition and development, remuneration, accountability and audit and relations with shareholders.

All companies incorporated in the UK and listed on the Main Market of the London Stock Exchange are required under the Listing Rules to report on how they have applied the Combined Code in their annual report and accounts. Overseas companies listed on the Main Market are required to disclose the significant ways in which their corporate governance practices differ from those set out in the Code.

http://www.frc.org.uk/corporate/combinedcode.cfm

The June 2008 edition of the Code took effect at the same time as new FSA Corporate Governance Rules implementing EU requirements relating to corporate governance statements and audit committees.