Analysis based on the organizational structure reconstruction of Sichuan companies
Behind the vigorous development of small and medium-sized enterprises are high birth rates and high death rates. In fact, the real reason for the difficulties in the development of small and medium-sized enterprises and the high elimination rate is often not the industry, market or other external reasons, but the failure of enterprises to be keenly aware of and successfully solve the defects in organizational structure and effective management accumulated during the entrepreneurial period. Replication and amplification effects. This article explains the ideas and methods of organizational structure reconstruction of small and medium-sized enterprises through a case study of Sichuan Company.
.Basic situation of the enterprise
The Sichuan Company was established at the beginning of the year as a limited liability company (hereinafter referred to as the company). The company's business scope is extensive and mainly focuses on construction, real estate development, steel structure installation, water and electricity construction, environmental greening design and construction, industrial investment, etc. and it flexibly adopts a variety of business methods.
As the company grows, some management methods and methods that were once very suitable for the company have hindered the company's further development. The company is facing pressure to improve management efficiency and improve organizational operation efficiency.
. Problems existing in the company's current organizational structure and organizational operation
In order to clearly understand the current organizational structure of Sichuan Company, we conducted interviews with personnel at all levels of the company and based on the relevant theories of organizational structure and organizational operation A questionnaire (hereinafter referred to as the questionnaire) on the management organization and management status of Sichuan Company was designed and distributed to company employees to fill out.
First, frequency statistics were performed on the questionnaire to calculate the frequency (see table). In the table,,, are the options for each question. They are arranged according to the degree of very good, good, bad, and very bad, which means very good. If it means good, it means bad. It means very bad.
From the table, we can see that most of the questions have a high frequency of selection. Among them, there are seven questions with a frequency above %, indicating that these problems have had a great negative impact on the organizational structure and operation of the organization. Influence So we summarized and summarized these issues and found that the factors that affect the company's organizational structure and organizational operation are mainly reflected in the following six aspects
First, in terms of division of responsibilities and powers, functions are too roughly decomposed, and job responsibilities are not clear and authorized. Identify responsible persons.
In terms of the second coordination mechanism, horizontal coordination between departments is not smooth. The lack of proactive horizontal communication between departments, especially between functional departments and business departments, has resulted in low efficiency.
In terms of the third control system, the existing systems are in vain. The company's discipline relies on the employees' sense of responsibility to maintain some of the systems that should be in place and have not yet been formed. Generally, problems arise first and then corresponding management systems are introduced.
Fourthly, in terms of information communication, the company's formal communication is not smooth, and the effect of informal communication is not obvious. Employees have opinions and complaints, but they keep them silently in their hearts. They do not seek merit but seek no fault.
The fifth assessment mechanism is that personnel assessment is not standardized and there is no clear procedure to follow. For employees, the leader has the final say in assessment rather than performance.
The sixth incentive mechanism is that employee income is not linked to work performance. Employees feel strong unfairness (mainly internal unfairness) and believe that labor effort and income are not equal. The current salary system has no incentive effect. In addition, there is no room for advancement within the company.
This is consistent with the conclusion we reached using the analysis of variance method. It can be seen that the main factors affecting the company's organizational structure and organizational operating efficiency are the above six major aspects. These six factors all have a significant impact on the company's operating efficiency and together constitute the main obstacles to the company's operating efficiency. Therefore, the company's organizational structure and management system should be strategically reengineered. Consider and address these six aspects.
.Redesign the organizational structure and management system
We have redesigned the organizational structure and management system from the following aspects.
①Design of corporate governance structure. In accordance with the requirements of the modern corporate system governance structure, ownership and management rights are appropriately separated and a shareholders' meeting is established to prepare for future restructuring and share expansion. The board of directors is composed of some shareholders, important management personnel and independent directors. The introduction of independent directors is conducive to increasing the number of decision-making decisions made by the board of directors. The scientific board of directors is responsible for the shareholders' meeting and is responsible for the company's major operating decisions, major personnel decisions, investment and financing decisions and the coordination of the operating environment. Establish a managerial level. The general manager is responsible for the board of directors to ensure the completion of the business goals decided by the board of directors. Responsible for the company's daily operation and management. Establishment Board of Supervisors The Board of Supervisors is responsible for supervising the decision-making, finance, daily operation and management of the Board of Directors and the general manager (decision-making team and operating team) at the general meeting of shareholders. The board of directors, board of supervisors and management are separated to form a check and balance mechanism that restricts and supports each other.
②Operation and management organization design. Since the company implements a non-related diversification strategy with a large business span, we design the organizational structure based on the integration of business processes. The basic structure is a simple division system, that is, a small division system. At the same time, in order to adapt to market changes, the company can continuously adjust and form a hybrid business unit system that combines matrix and business units under the business unit system to enhance the flexibility of the organization. According to such guiding ideology and design principles and combined with the current situation and strategic development requirements of Sichuan Company, we have proposed three sets of organizational structure optimization plans for selection. After fully communicating and communicating with Sichuan Company and analyzing the advantages and disadvantages of each plan, we redesigned the organizational structure of Sichuan Company as shown in the figure.
③ Design of management mechanisms and systems. After completing the basic organizational structure design plan, it is also necessary to design the handling of important power allocation and important matters within the enterprise, the management system and the management model of relevant departments to form the operating mechanism and management system structure of the new organizational structure
First, a combination of centralization and decentralization. Important decision-making powers such as personnel, finance, financing and investment, and development strategies are concentrated in the group company. The group company implements a production and operation authorization management model for each operation center to control each operation center through planning, budgeting and process assurance.
Secondly, in order to ensure the realization of strategic goals, the group company should concentrate the power including strategic planning power, goal decomposition and distribution power, major policy and major affairs decision-making power, external investment and financing power, key position personnel appointment and removal power, major assets Disposal power, annual budget and final accounting power, and internal audit power. The group company manages each operation center through planning and budgeting, system constraints, coordination and control, assessment and incentives, and personnel appointments and removals.
The third step is to formulate the company’s internal control systems, such as the planning management system, the personnel appointment and removal system for key positions, the work report system, the performance appraisal and incentive system, the internal audit system, etc., and formulate the responsibilities, authorities and performance appraisal indicators of each operation center director strictly. Implement a system that links performance appraisal to salary and promotion.
Strategic reengineering of small and medium-sized enterprises must be based on the actual situation of the enterprise. Different enterprises have their own development history and different characteristics. Although the idea of strategic reengineering of enterprises, that is, the improvement of the overall quality and competitiveness of the enterprise, has universal significance for every enterprise, the implementation methods of reengineering vary according to the individual characteristics of the enterprise. But no matter what, an efficient organizational structure should achieve the following functions: form a reasonable responsibility structure and a good division of labor and cooperation system within the company; promote continuous thinking about strategies and continuous innovation through institutional design; effectively integrate departments and employees to use To form an effectively operating team that jointly points to the overall goals of the enterprise, effective integration relies not only on the consciousness of employees, but more importantly, the organizational rules reflected in the organizational structure. It is customer-oriented and breaks departmental divisions to improve customer satisfaction through good mechanisms. and loyalty, thereby maximizing the acquisition and maintenance of customer resources, effectively managing company resources, promoting employees' knowledge precipitation and transforming it into company knowledge, controlling the company's key resources well, avoiding the company's development relying too much on individual employees, and resolving human resource risks. .