A business without a proper organisational structure will falter with its growth because as a business thrives it will grow to the individuals employed and their skill sets.
This is manageable when its small but the larger it gets the potential for key functions of the business to be ignored or “fall between chairs”, is exaggerated. By having a proper organisational structure it allows for a management team to be created with each manager understanding what their responsibilities are and the outcomes required from their team. It is important to make sure that when giving responsibility that authority is also given to those managers to operate successfully.
By creating the organisational structure not only does it give the opportunity of creating a management team but it gives individuals an understanding of their roles as proper job descriptions can be established for each individual.
Once you’ve assigned or appointed managers it is essential that they themselves are supported, therefore monthly management meetings should be held for:
- Mangers to coordinate and liaise.
- Providing the opportunity to set targets and hold managers accountable in areas of their responsibility.
If you successfully achieve this you will be working ON your business instead of IN your business having transferred from having a job to running a business.
Top three tips
- Separate your org activities into three sections: support, sales and marketing and delivery
- Assign someone to head up each section
- When you give someone the responsibility to manage, give them the authority as well
Of course having an organisational structure is only part of what’s needed to grow a successful business. To find out what other things you need to consider, take a look at the full list here.