Six Reasons to Dust Off your 'Org' Chart

Six Reasons to Dust Off your 'Org' Chart

Six Reasons to Dust Off your 'Org' Chart

%3Cp%3EFor+better+or+worse%2C+an+organizational+%28org%29+chart+can+communicate+many+things+to+your+business+family.+While+the+act%2C+or+perhaps+even+the+thought%2C+of+defining+your+management+structure+may+seem+tedious%2C+the+development+and+communication+of+it+to+your+team+is+critical+to+maintaining+profitability%2C+managing+expectations%2C+and+motivating+performance.+Leading+a+stronger+and+more+focused+group+of+individuals+will+only+increase+the+value+of+your+business+and+protect+future+profitability+which+is+at+the+core+of+succession+planning.%3C%2Fp%3E%0D%0A%3Col%3E%0D%0A%3Cli%3E%3Cstrong%3ERefocus+your+efforts.%3C%2Fstrong%3E+If+you+have+been+in+business+awhile%2C+an+org+chart+will+help+you+get+back+to+understanding+the+original+purpose%2C+core+functions%2C+and+skill+set+required+for+each+role+rather+than+on+individuals+who+carry+unique+strengths+and+weaknesses.+In+many+organizations%2C+there+is+a+greater+focus+on+the+individual+rather+than+the+role.+Even+the+best+leaders+have+a+natural+tendency+to+focus+on+relational+accountability%3B+where+they+would+prefer+to+mold+the+role+to+an+individual+rather+than+find+a+manager+better+suited+to+the+actual+needs+of+the+role.%3C%2Fli%3E%0D%0A%3Cli%3E%3Cstrong%3EImprove+your+operational+efficiency.%3C%2Fstrong%3E+An+org+chart+will+quickly+illustrate+whether+an+individual+is+performing+the+role+that+is+core+to+the+organization%2C+or+whether+the+role+has+been+adapted+to+accommodate+the+individual.+This+presents+the+question+as+to+who+is+filling+the+core+responsibilities+that+are+missing+which+in+turn+leads+to+the+question+as+to+whether+there+is+%22upward+delegation%22+-+the+manager+may+be+picking+up+the+slack+for+their+direct+report%2C+which+then+begs+the+question+as+to+whether+the+manager+is+fulfilling+their+own+core+job+functions.%3C%2Fli%3E%0D%0A%3Cli%3E%3Cstrong%3ECoach+and+develop+your+future+leadership.%3C%2Fstrong%3E+Once+the+org+lines+are+drawn+you+can+more+easily+identify+any+opportunities+to+coach+on+leadership+to+those+managers+who+seek+advancement+in+the+organization.+You+can+zero+in+on+the+skills%2C+knowledge%2C+and+attitude+they+need+to+learn+in+order+to+advance+their+careers+while+continuing+to+keep+your+business+profitable.+Per+John+Maxwell%2C+relying+on+%22Positional+Leadership%22+%28being+above+another+in+the+org+chart%29+is+the+lowest+level+of+leadership.+Any+leader+who+derives+satisfaction+from+the+position+itself+rather+than+the+weight+of+responsibility+from+that+position+needs+leadership+training.%3C%2Fli%3E%0D%0A%3Cli%3E%3Cstrong%3EIdentify+the+gaps.%3C%2Fstrong%3E+Is+there+any+player+on+the+team+that+lacks+a+successor+for+their+management+position%3F+What+does+the+bench+look+like%3F+What+are+the+roles+you+may+need+to+begin+recruiting+for+and+are+you+set+up+to+screen+and+identify+the+best+suited+candidates%3F+It+only+makes+sense+that+if+you+can+get+the+right+hires+in+at+the+start%2C+succession+becomes+that+much+more+fluid+and+effective.%3C%2Fli%3E%0D%0A%3Cli%3E%3Cstrong%3ESuccession+before+promotion.%3C%2Fstrong%3E+In+the+spirit+of+promoting+from+within%2C+avoiding+skill+gaps%2C+and+leading+a+motivated+organization%2C+are+your+managers+required+to+mentor+and+develop+their+replacements%3F+Would+you+consider+this+a+mandatory+requirement+to+achieve+a+promotion+in+your+organization%3F+Managers+who+proactively+develop+their+successors+often+don%27t+realize+how+impactful+this+can+be+towards+motivating+performance+in+the+individual%27s+current+role.%3C%2Fli%3E%0D%0A%3Cli%3E%3Cstrong%3EManaging+expectations.%3C%2Fstrong%3E+The+current+generation+of+future+leaders+has+grown+up+with+a+focus+on+individual+recognition+and+an+expectation+that+organizations+will+leverage+their+unique+individual+strengths.+An+org+chart+is+a+very+fundamental+way+of+expanding+that+focus+of+those+with+a+limited+world+view.+Because+when+you+communicate+your+org+chart%2C+everyone+will+understand+how+promotion+and+advancement+work+in+your+company+and+it+sends+a+strong+and+clear+signal+to+young+successors.+It+can+also+remove+perceived+bias+from+decision+making+and+illustrate+a+clear+career+path+for+those+motivated+to+grow+with+your+company.%3C%2Fli%3E%0D%0A%3C%2Fol%3E%0D%0A%3Cp%3EMaybe+you%27re+avoiding+your+org+chart+because+it+may+elicit+difficult+questions+and+decisions.+And+you+may+be+right+but+in+the+absence+of+a+clearly+defined+and+communicated+org+chart%2C+business+owners+%3Cem%3Ewill%3C%2Fem%3E+experience+the+following+symptoms%3A%3C%2Fp%3E%0D%0A%3Cul%3E%0D%0A%3Cli%3EManagers+engaging+in+unnecessary+and+unproductive+turf+warfare.%3C%2Fli%3E%0D%0A%3Cli%3EAllowing+only+naturally+dominant+managers+to+rise+to+prominence+because+they+are+conveying+a+sense+of+entitlement+and+power+established+through+a+survival+of+the+fittest+environment+rather+than+the+required+skills%2C+knowledge%2C+and+attitude.%3C%2Fli%3E%0D%0A%3Cli%3ERisk+losing+some+of+their+best+talent+because+top+performers+want+to+work+for+a+well-run+organization+where+they+can+see+potential+for+their+own+career+goals.%3C%2Fli%3E%0D%0A%3Cli%3EEven+more+harmful+to+your+business+is+when+you+indirectly+or+unknowingly+demotivate+staff+because+they+view+advancement+as+being+biased%2C+yet+rather+than+leave+your+organization+they+choose+to+stay.%3C%2Fli%3E%0D%0A%3C%2Ful%3E%0D%0A%3Cp%3ESometimes+the+%3Cem%3Efamily%3C%2Fem%3E+aspect+of+your+family+business+will+keep+you+from+taking+the+time+to+fully+develop+an+org+chart+or+to+purposefully+think+through+the+accompanying+job+requirements.+A+family+priority+suggests+that+the+business+represents+an+opportunity+to+fulfill+family+ambitions.+But+what+if+your+first+born+is+more+interested+in+running+your+business+than+learning+it.+Meanwhile%2C+your+second+born+has+applied+herself+fully+to+earning+her+business+degree+and+has+worked+every+operational+job+in+your+organization+to+develop+first-hand+experience+and+knowledge+of+what+is+needed+to+perform+those+functions+successfully.+Now+the+waters+start+to+get+murkier+and+the+anxiety+level+among+the+entire+family+starts+to+rise.+This+is+just+one+of+the+many+situations+family+businesses+may+have+to+face%2C+which+is+why+it+is+absolutely+critical+to+position+any+successor+for+success+and+it+is+equally+critical+to+teach+your+family+successor+to+be+an+employee+first.%3C%2Fp%3E%0D%0A%3Cp%3EThis+would+subscribe+to+the+belief+that+the+family+represents+an+opportunity+to+not+only+preserve+the+business+but+lead+it+towards+even+greater+prosperity.+While+there+is+a+balance+that+must+be+maintained+between+the+two+approaches%2C+it+is+imperative+that+a+successor+can+hear+AC%2FDC+playing+as+they+look+at+an+org+chart+-+%3Cem%3E%22It%27s+a+long+way+to+the+top+if+you+wanna+rock+%27n+roll%21%22%3C%2Fem%3E+and+a+successful+leader+must+prioritize+the+organization+before+themselves+and+focus+on+what+is+good+for+the+business+and+family+long+term.%3C%2Fp%3E%0D%0A%3Cp+style%3D%22border-top%3A+1px+solid+%23DDDDDD%3B+padding-top%3A+5px%3B%22%3E%26nbsp%3B%3Cem%3E%3Cstrong%3EJeff+Bannon%3C%2Fstrong%3E+is+a+partner+with+The+Rawls+Group+-+Business+Succession+Planners.+Entrepreneurial+owned+businesses+are+close+to+Jeff%27s+heart.+With+the+recent+passing+of+the+baton+of+his+family%27s+law+firm+between+his+grandfather+to+his+sister%2C+Jeff+has+witnessed+the+benefits+and+rewards+the+planning+process.+For+more+information+visit+%3Ca+href%3D%22http%3A%2F%2Fwww.rawlsgroup.com%22+target%3D%22_blank%22+rel%3D%22noopener%22%3Ewww.rawlsgroup.com%3C%2Fa%3E+or+email+%3Ca+href%3D%22mailto%3Ainfo%40rawlsgroup.com%3Fsubject%3D%22+target%3D%22_blank%22+rel%3D%22noopener%22%3Einfo%40rawlsgroup.com%3C%2Fa%3E%3C%2Fem%3E.%3C%2Fp%3E
Published: December 25th, 2018

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