New technologies, rapid market cycles, cultural change, demographic trends - market dynamics and customer requirements change rapidly. Unlike 10 years ago, companies today face the challenge of having to change themselves. That's because markets, technologies, industries and entire industries are undergoing major changes. Companies are forced to be agile and make quick adjustments if they want to be a successful part of this development.
Amazon, Google, Nokia -numerous positive and negative examples from the corporate landscape prove that to be successful tomorrow, you must act today. After all, who uses the second largest search engine, the second largest online retailer, or the second largest video portal? If companies want to keep up with the latest developments, they first need to ask themselves the following questions: Do our available management tools encourage employees to do their best? Do the structural conditions give employees the space for independent entrepreneurial activity? This is the only way companies can achieve genuine innovation and competitiveness in the market.
One thing is for sure: the tried and true hierarchical top-down structure is no cure for a lack of innovation. So, what then?
The answer: a new, broader-based management system that optimizes the reliability and performance of the human capital in business organizations.
Agile network, or rigid command and control? Whenever organizational design coincides with employees' view of themselves, functioning systems arise with a design that follows the requirements of their division. However, many people find themselves in structures that are a poor fit for them. For example, consider the employee who would actually like to work independently, but in his current role only carries out orders from above. Or the supervisor who is a poor top-down leader. Then there's the opposite case: agile structures offering employees maximum freedom, with employees who are able to complete projects by themselves. But what if in this model, an employee actually prefers to receive well-structured tasks every day? An optimal interplay between organizational design and employees' self-concept is a key factor for successful functional management systems.
The Haufe Quadrant depicts this interaction and organization and shows the structural reality of a business.