Join us - Friday 29 September 2023

The Business Improvement Summit


Featuring 'Blog From the Dog


Step 5 of Building a Better Business

Getting your company structure right

Are you the bottleneck in your business? 

How many departments are you leading? Are you doing a good job of them all?

Get the right organisation structure in place and you’ll free up your time and reduce stress.

The ideal structure?

Your ideal structure will allow your business to become more efficient and achieve economies of scale. This increases your bottom line returns at a greater rate than your revenue. Your organisation structure should allow your revenue to increase without creating bottlenecks.

An organisation structure should show all 10 departments in your business, who is responsible for what, and how the hierarchy works.

Each department should have only one leader. The same person can lead more than one department, but two or more people can't lead the same department.

Every organisation has 10 departments:

  1. Shareholder.
  2. Director.
  3. Leadership.
  4. Product / Service Development.
  5. Operations.
  6. Marketing.
  7. Sales.
  8. Finance.
  9. HR.
  10. Admin / Technology.

If you’re the owner of the business and currently lead multiple departments, ask yourself how well you're leading each department. It's likely there are some you don't enjoy as much as others and procrastinate doing the tasks within that role.

Consider other options for your company structure

Consider outsourcing or training one of your team members to take over the leadership of those departments you've been neglecting. They’ll likely do a better job and you’ll free up some time!

Remember, overloaded team members (you included) are more likely to make mistakes. Also, paving the way for your team to grow and develop improves loyalty and engagement.

Keep your structure under review

It’s important that your Organisation Chart is a living and breathing document that your team understands and works in sync with. 

Check in regularly to ensure your team is aligned with the structure and the hierarchy is being respected. 

During performance reviews, discuss whether there have been any changes to each team member’s role and update the chart to reflect these.

Need advice?

We can help you create the best organisation structure for your business, along with job descriptions for each role. 

Please get in touchYou can also follow us on our Rowdens Facebook page and request to join our Rowdens Facebook Group. We're on LinkedIn too!

“Mission defines strategy and strategy defines structure.” - Peter Drucker