Corporate Organizational Effectiveness

By M. Isi Eromosele

Organizational effectiveness is critical to the success of any company. In order to achieve increased and sustainable business results, organizations need to execute strategy and engage employees.

To create organizational effectiveness, business leaders need to focus on aligning and engaging their people, the people management systems and the structure as well as capabilities (including organizational culture) to the strategy. This engagement is critical.

Put simply, it results in higher financial performance, higher customer satisfaction and higher employee retention. An organization that can sustain such alignment will achieve increased business results.

Companies that fail to fully engage their workforce in their business strategy will fail to produce reliable, sustainable business results. The link between employee engagement factors and successful strategy execution is crucial to a company’s success.

Complex organizational structures can often lead to ineffective execution of a company’s business strategy. No one element by itself can drive sustainable business results as all elements must be working together toward the same goal in order to get strategy execution right.

These elements work together, mutually reinforcing each other and must be focused and aligned to effectively achieve execution. Add to the complexity the fact that one single formula will not work for every company, each organization is unique and requires a unique approach.

Across the globe, business leaders face significant challenges in their efforts to align and engage their employees to their corporate or business strategy. Effective strategy execution is paramount to success. There are challenges, but knowledge, focus and an integrated approach will ensure that your business survives and thrives under all economic conditions.

Key elements of organizational effectiveness are needed to drive employee engagement in an organization. Engagement influences the customers’ experience and ultimately, the overall performance of a company in terms of productivity and profitability.

How well your business performs is the outcome of an effective organizational effectiveness model. Many business leaders struggle to align and engage employees with the company’s strategy - a fundamental element in a successful model.

A crucial element is to align employees with the company’s strategy by (1) helping them to understand the role they play in achieving success, and (2) engaging employees in their jobs and with the organization. Strategy alignment is achieved through a “fit-for purpose” structure, capable leadership, and effective people systems and culture.

Integrating efforts across these areas will lead to more highly engaged employees who are willing and capable of helping the organization achieve its goals. However, sustainable organizational effectiveness requires that attention be paid to all of these elements. Focusing attention on just one without the others will not deliver positive long-term engagement.

Every organization is unique. The only way to gain accurate insight into the unique culture and challenges each business faces is to measure current levels of engagement across the factors impacting organizational effectiveness.

The right solutions only come from proven interpretative analysis, rather than sole reliance on descriptive data. The lowest favorable score is not necessarily the place to start as it may have a limited or negligible overall influence on organizational effectiveness.

Similarly, the drivers of employee engagement are unique to your organization and cannot be determined by looking at frequency counts and percentages alone.

Every organization, regardless of industry or country, seeks to be more effective and achieve superior results. Business strategy is developed to achieve this. It amounts to nothing, though, if it is not well executed.

Effective execution occurs when structure, roles, capability, leadership, systems, and culture are all pulling together and aligned with the business strategy. One without the other will create misalignment and success will not be realized.

While the elements of success are the same for all organizations, the answer for your business is unique to your strategy, your customers, and your people. The key challenge is in equipping your business to act and embed the necessary change, while remaining focused and aligned with your business strategy.

Successfully meeting this challenge brings substantial benefits that ensures your company’s survival in a downturn and creates a competitive advantage when economic upturns arrive. Your business can’t afford not to get it right.

M. Isi Eromosele is the President | Chief Executive Officer | Executive Creative Director of Oseme Group - Oseme Creative | Oseme Consulting | Oseme Finance

Copyright Control © 2012 Oseme Group