Manage Your Business with a Structured Approach

MANAGE YOUR BUSINESS WITH A STRUCTURED APPROACH
© 2017 Structured Business Group, LLC
Visit us online at thestructured.com
1 Organizational Development Framework
2 Evaluate your Organization & Build a Development Roadmap
3 Common Development Services
Contributors: KyNam Doan, Nguyen Thuy Anh, Phan Tra My
Latest updated day: 22 April 2017

CONTENTS
1. ORGANIZATIONAL DEVELOPMENT FRAMEWORK
• Organizational Stages of Growth
• Management & Functional Systems
• Management Systems Development Path
• Functional Systems Development Path
2. EVALUATE YOUR ORGANIZATION &
BUILD A DEVELOPMENT ROADMAP
3. COMMON DEVELOPMENT SERVICES
• Organizational Effectiveness Evaluation
• Capability Evaluation
• Roadmap – Gap Analysis
• Performance Management System (KPIs)
• Corporate Governance
• Organizational Re-Structuring
• Department Re-Structuring
• As-Is Business Process Development

1
O R G A N I Z AT I O N A L
D E V E L O P M E N T
F R A M E W O R K

G2 G3 G4 G5G1G0
Structured Business Group 4
Years
Employees
Revenue ($)
Manufacturing/Construction
Revenue ($)
Service/F&B/Retail
0-2 3-5 6-10 10-20 >15
2-20 20-50 51-1000 500-2000 >1000
<1mio 1-10 mio 10-100 mio 100-300 mio >300 mio
<200k 200k-2m 2m-75m >75m >100m
Examples
Your Organization
5-Year Goal
Maturity
New Venture
Locally
Established
Expansion Mature Re-innovation Internationalization
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>20
>2000
>500 mio
>150m
Organizational Stages of Growth
You can plot where your
organization currently sits
and you intend to go in the
next 5 years.
Organizations can be
categorized into 6 levels
of growth – G0 to G5

Performance Management System
Planning
Financial Management
Project Management
Legal & Risk Control
Organizational Structure
Management Information System
Manage External Relationship
Total Quality Management
Leadership
Change capability
Vision Strategy
Product/Service Development
Marketing and Sales
Logistics of Products & Services
Customer Management
Human Resource
Information Technology
Accounting
Purchasing
External Project Management
MANAGEMENT
SYSTEMS
FUNCTIONAL
SYSTEMS
(Departments)
Decomposition of
your Organization
into Management &
Functional
Systems
5
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Your organization is naturally broken into the
work you do (functions) and how you manage
them.
Next we’ll look at Management and
Functional Systems separately.

Management Systems Development Path
Organizational Growth
Stage
Management System
G0
New
Venture
G1
Locally
Established
G2
Growth
G3
Mature
G4
Re-
innovation
G5
Internation
alization
Leadership Team 1 2 4 5 5 5
Vision, Strategy & Planning 1 3 4 5 5 5
Organizational Structure 2 4 5 5 5
Business Intelligence 2 3 4 5 5
Performance Management 2 3 4 5 5
Risk & Compliance 1 2 4 5 5
Corporate Governance 1 2 4 5 5
Quality Management 1 3 4 5 5
Business Process Management 1 3 4 5 5
Finance Management & Control 1 3 4 5 5 5
External Relationship Management 2 3 4 5 5
Internal Project Management (Change
Management)
2 3 4 5 5
For Example, an organization
seeking to grow effectively (Growth
stage 2) should focus on developing
an integrated (3) Performance
Management System, Business
Process Management System and
optimizing (4) their Organizational
Structure and Finance Management
and Control System.
This table illustrates the maturity
level of management systems
corresponding a company’s
growth stage.
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5
Strategic
3
Integrated
4
Optimized
2
Capable
1
Basic
0
None
Management systems can also be
categorized into 6 levels of maturity
(Just like Organizational Maturity):

For Example, an organization
seeking to grow effectively (Growth
stage 2) should focus on integrating
(3) their Human Resource and IT
Departments while optimizing (4)
Marketing & Sales as well as
Accounting.
Functional Systems Development Path
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Organizational Growth
Stage
Functional System
G0
New
Venture
G1
Locally
Established
G2
Growth
G3
Mature
G4
Re-
innovation
G5
Internatio
nalization
Product/Service Development 2 3 4 5 5 5
Marketing and Sales 2 3 4 5 5 5
Logistics of Products & Services 1 2 3 4 5 5
Customer Management 1 3 4 5 5
Human Resource 1 2 3 4 5 5
Information Technology 1 3 4 5 5
Accounting 1 2 4 5 5 5
Purchasing 1 3 4 5 5
External Project Management 2 3 4 5 5 5
5
Strategic
3
Integrated
4
Optimized
2
Capable
1
Basic
0
None
This table illustrates the maturity
level of functional systems in
corresponding to an company’s
growth stages.
Functional systems can also be
categorized into 6 levels of maturity
(Just like Organizational Maturity):

2
E V A L U AT E Y O U R
O R G A N I Z AT I O N &
B U I L D A D E V E L O P M E N T
R O A D M A P

Organizational Effectiveness Evaluation
Criteria 1 2 3 4 5
1
Is the organization clear about the top 5 priorities for making our
business more valuable?
2 Is our leadership team cohesive and aligned?
3
Are individual roles, accountabilities and authority clear for the
most important decisions?
4
Does the organization’s structure reflect the sources of value in
the business? Support the business objectives and capabilities?
5
Do we have enough high performing people, in the jobs where
they can have the most impact?
6
Do we measure what matters—and link incentives for our people
to those measures?
7
Does our front line consistently execute well on the activities that
are critical to success?
8
Does our back office support contribute value commensurate with
its cost?
9 Do we have a high performance culture?
10 Do we have the capacity to change?
Little or none Excellent
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We use two types of
organizational effectiveness
evaluations – one borrowed
from Bain and the other from
Wes Wertz. These two have
been proven to be very quick,
but effective techniques to
identify strengths and
weaknesses.
An effective organization is
one that is effective in
translating objectives into
results.

Systems Capability Evaluations
ID Functional Group Value Weight w.Score Score Developed Implemented Communicated Adopted
1 Develop Visionand Strategy 3 5% 2.2 2.1 3.0 1.7 2.0 1.7
2 Develop and Manage Products and Services 5 9% 3.6 2.0 2.0 2.0 2.0 2.0
3 Market and Sell Products and Services 3 5% 2.9 2.7 3.4 2.4 2.6 2.4
4 Deliver Physical Products 5 9% 4.8 2.7 3.5 2.0 2.8 2.5
5 Deliver Services 5 9% 3.6 2.0 2.0 2.0 2.0 2.0
6 Manage Customer Service 4 7% 3.0 2.1 2.4 2.0 2.0 2.0
7 Develop and Manage HumanCapital 5 9% 2.4 1.3 1.4 1.2 1.3 1.3
8 Manage InformationTechnology(IT) 5 9% 3.2 1.8 2.0 1.3 2.1 1.7
9 Manage Financial Resources 3 5% 2.9 2.7 3.3 2.0 2.9 2.7
10 Acquire,Construct,and Manage Assets 3 5% 3.2 3.0 3.0 3.0 3.0 3.0
11
Manage Enterprise Risk,Compliance,
Remediation,and Resiliency 5 9% 2.2 1.3
1.5 1.0 1.0 1.5
12 Manage External Relationships 5 9% 3.9 2.2 3.0 1.2 2.4 2.2
13 Develop and Manage Business Capabilities 5 9% 3.1 1.7 1.9 1.7 1.7 1.6
Business Structure Rating 100% 41.0 2.1 2.5 1.8 2.1 2.0
Each category is
evaluated on four
criteria from
1 (Little to None) to
5 (Excellent)
Sample Dashboard Capability Evaluation of 13 systems
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We’ve adapted APQC’s process frameworks to form the core of our systems capability evaluations
Adoption: Do your employees
know how to use it? Do they
use it?
Development: How well
developed is it?
Implemented: How well
documented is it? What type of
system is used?
Communication: Do your
employees know about it?
Where to find and use it?
We evaluate the capabilities
of your management and
operational systems using
four (4) criteria:

Systems Capability Evaluations
Each category is
evaluated on four
criteria from
1 (Little to None) to
5 (Excellent)
Sample Dashboard Capability Evaluation of an HR system
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ID Name Developed Implemented Communicated Adopted
7.0 Develop and Manage HumanCapital 1.4 1.2 1.3 1.3
7.1 Develop and manage humanresources planning,policies &strategies 2 2 2 2
7.2 Recruit,source,and select employees 2 2 2 2
7.3 Develop and counsel employees 1 1 1 1
7.4 Manage employee relations 1 1 1 1
7.5 Reward and retainemployees 1 1 1 1
7.6 Redeployand retire employees 1 1 1 1
7.7 Manage employee informationand analytics 1 1 1 1
7.8 Manage employee communication 2 1 1 1
Adoption: Do your employees
know how to use it? Do they
use it?
Development: How well
developed is it?
Implemented: How well
documented is it? What type of
system is used?
Communication: Do your
employees know about it?
Where to find and use it?
We evaluate the capabilities
of your management and
operational systems using
four (4) criteria:
We’ve adapted APQC’s process frameworks to form the core of our systems capability evaluations

Building a Development Roadmap
Develop
•Develop a clear and
unambiguous
understanding of the
current state
01
Define
•Define the desired
end state
02
Conduct
•Conduct a Gap
Analysis exercise
03
Prioritize
•Prioritize the findings
from the Gap Analysis
exercise into
strategies
04
Discover
•Discover the optimum
sequence of actions
05
Develop and
Publish
•Develop and Publish
the Road Map
06
We will evaluate your current state of
management and functional systems, compare
them to what you are desired to achieve to
define which areas you should focus on.
A Road Map is then published to present the
priority and sequences of actions should be
taken to close this gap. A roadmap is
developed for the organization and for each
system individually
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3
C O R E
D E V E L O P M E N T
S E R V I C E S

• System that facilitates the attainment of organization
and its individuals’ goals
• Enable tracking and monitoring the performance of
employees, departments and organization itself
• There must be an alignment in the objectives of the
organization, each department, the
Manager/Supervisor, and the staff.
Perspectives/Key Success Areas
Goals, Objectives & Metrics
PMS Management Software
360-degree Feedback Processes
Quarterly & Annual Feedback
Performance Management System (KPIs)
Is fair, consistent, and reliable
Uses established performance measures
Communicates performance expectations
regularly
Increases employee performance
Can be used for succession planning,
compensation, rewards, and recognition
Promotes continuous employee
development
We will evaluate your current Performance
Management System and propose solutions to
ensure the system:
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Corporate Governance
• A method of governing the company, to
protect business transparency and promote
shareholder trust
• Includes:
• Control and compliance
• Financial control
• Legal control
• Risk control & mitigation
• Quality control
Fairness
Accountability
Responsibility
Transparency
We will evaluate your current
Corporate Governance and propose
solutions to ensure its:
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Organizational Re-Structuring
Typical Organizational Strategies:
• Verticalization – Tall to flat. This
describes the length of command
chains and degree of control. Tall
organizations move slower, but
guarantee higher levels of quality.
• Formalization – Formal to informal.
This describes how strictly rules are
defined, implemented, and audited.
• Departmentalization – Define the
rigidity of departmentalization to
control information, authority
• Centralization – Define decision
centralization to control capability to
change quickly
• Specialization – Team members are
expected to fully specialize or
generalize within a department
The following elements can be
designed/defined to support your
organizational strategies and objectives:
• Grouping – Group your
divisions/departments/and teams by
different characteristics to better control
that specific area
• Integrations – These are the structures
that tie your groups together and have a
high degree of influence on
organizational objectives
• Primary Authority
• Secondary Authority
• Control Authority
• Support Structure
• Communication Structure
• Collaboration Structure
We will evaluate your current
Organizational Structure and propose
solutions to ensure it is well designed
to support your organizational
strategies and objectives
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Department Re-Structuring
We will evaluate the capabilities
and competencies of your
managers/supervisors based on:
• Leadership Quality
• Skill Capability
• Change/Improvement Orientation
• Performance Orientation
• Teamwork Attitude
From the capabilities and
competencies evaluation and based
on department’s responsibilities, we
will recommend re-organization
within your company:
• Replace
• Recruit
• Move
• Keep the same
Sample of
deliverables
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Business Process Development
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2 3 4 510
Acknowledge
Operation
Inefficiencies
Process Aware
Intra-process
Automation and
Control
Inter-process
Automation and
Control
Enterprise
Valuation Control
Agile Business
Structure
Measure and
monitor
business
activities
Source: Gartner
The six phases of BPM maturity:
Model and
analyze
business
processes
Establish
process
performance
metrics
Identify
process
owners and
governance
structure
Direct link
process
model and
rules to
execution
Compare
alternatives
driven by
various
optimization
techniques
in real time
Re-align
process
with market
strategy
Craft
process
automation
and control
across the
enterprise,
customers
and trading
partners
Create a
business
performance
framework that
dynamically links
the valuation of
the business to
process
execution
Innovate new
businesses,
products and
services
through an
agile
business
structure
Sophisticated
Maturity
Most Companies Fall
within these maturity
phases
Integrate
activity based
accounting
with process
steps
Goal-driven
processes
Immature

Business Process Development (cont.)
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Sample of process flow, process document and form
Based on your current business, we
will help you to develop and complete
business process which can be
applied immediately, including:
• Detailed flow
• Full document set of standard
policies, processes, procedures and
forms
• Measurement metrics for each of the
process
The level of development and
documentation of processes are
crucial factors in evaluating the
capability of a management and
functional system.

Our clients & partners
Retail | Services | Production | Real Estates |Food & Beverage and More
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MANAGE YOUR BUSINESS
WITH A STRUCTURED APPROACH
Contact us directly to get your business evaluated at
inquire@thestructured.com or contact one of the contributors
directly.
This document belongs to thestructured.com
Inquiries, information, contact: inquire@thestructured.com
Contributors:
KyNam Doan
Managing Partner
kynam@thestructured.com
Thuy Anh Nguyen
Business Analyst
thuyanh@thestructured.com
My Phan
Business Analyst
my@thestructured.com
SBG Ho Chi Minh City Office
AB Tower, Floor 20
76A Le Lai
District 1, HCMC, Vietnam
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