Optimizing Organization Design: Executive Experience
"With the full benefit of hindsight I can only reiterate the statement I made to you following your final presentation, ′This is the best value for money I have ever experienced from any consultant.′"
Isadore Sharp, Founder and Chairman, Four Seasons Hotels and Resorts, and author, Four Seasons: The Story of a Business Philosophy
"We are now in the eighth year from the time that you initially supported us with an organization design assessment and implementation ... all of the key foundational organization design principles have remained intact within Allstate ... in 2013, we have been selected by AON Hewitt as one of the Best Employers in Canada ... In addition, over the last three years, we have outperformed the industry on all key performance metrics."
Eric Pickering, Vice President, Human Resources, Allstate Canada Group
"We have recently been awarded the Great Workplace Award by the Gallup organization. The award positions LS as being one of the most engaging companies in the world. In 2013 only 32 companies globally received this special recognition, with LS being the sole retailer in the group ... we believe that our organization design practices have provided an important foundation for the deployment of our employee engagement initiatives and would like to thank Capelle Associates for their support in that regard."
Gerry Savaria, President & CEO, LS travel retail North America
"The organization assessment you carried out provided excellent insights, and your recommendations set a baseline for improvements that we have made to the organization. In addition, the implementation consulting support provided us with methods, materials, and training, so we did not have to ′reinvent the wheel.′ There is no question that you have helped us to achieve the significant improvements in our organization."
George Weber, President & CEO, Royal Ottawa Health Care Group
List of Research Studies xi
1 Why Organization Design Matters 1
Employee Satisfaction 2
Customer Satisfaction 5
Financial Performance 6
Competitive Advantage 7
Significant Return on Investment 8
Foundation of Strategy Implementation 9
Foundation of Human Resources Management 10
Client Experience 12
Research Support 13
Special Topics 15
2 Organization Design Assessment 20
Organization Systems Functioning Model 23
Organization Systems Change Model 28
Organization Alignment Model 29
Vertical Alignment of Positions 32
Functional Alignment of Positions 58
Aligning Accountabilities and Authorities 73
Aligning People with Positions 103
Aligning Deliverables 112
Aligning Tasks 126
Organization Design Principles 135
3 Organization Design Implementation 138
Objectives of an Organization Design Implementation 140
Organization Design Implementation Components Model 141
Organization Design Implementation Process Model 150
Organization Design Implementation Principles 155
Strengthening the Organization Design Implementation 157
Internal–External Team Approach 160
4 An Overview of the Process 164
Initial Discussion, Proposal, and Contract 165
Assessment, Report, and Meetings 167
5 Additional Topics of Importance 175
The Role of the Board 175
Project Management 184
Process Management 189
6 A Call to Action 195
Appendix A: Client Experience 201
Appendix B: Research 225
Appendix C: Case Studies 362
Allstate Insurance Case Study 363
Canadian Pacific Case Study 377
Capital Power Case Study 390
Royal Ottawa Health Care Group Case Study 404
About the Author 440
Ronald G. Capelle has over 35 years of organization experience. He and his colleagues have developed the Optimizing Organization Design® approach. This approach is based on over 100 large scale projects and 24 research studies that they have conducted over the past 25 years. The research and client experience shows that this approach leads to better employee satisfaction, better customer satisfaction and better financial performance.
Ron has successfully completed many very complex projects, including improving the operations of an organization in over 60 countries. He has consulted with virtually all types of organizations in the private sector, non–profit sector and the government sector. He has supported global clients with operations in North America, South America, Europe, Asia, and Africa.
As well as consulting, Ron has completed extensive research into organization design and uses the data to offer clients a customized, proven approach to strategic organization design. This includes benchmarking databases with over 59,000 manager – direct report relationships and over 13,000 employee satisfaction questionnaire responses.
With a Ph.D. from York University, Ron is also a Certified Management Consultant (CMC); a Certified Organization Development Consultant; a Registered Psychologist (CPsych); a Certified Human Resources Professional (CHRP); and has completed the academic requirements for the Directors Education Program (University of Toronto Rotman School of Management and ICD Corporate Governance College).