Blending hierarchical and network approaches to organisational design can have many advantages. It reduces the 'silo effect', plays to sociological research, and allows for greater agility, to name just a few. It also supports the move to a more transformational culture, with appropriate leadership capability.
Fast-moving global markets and digital disruption have forced companies to innovate rapidly, adapt their products and services, and stay closer than ever to local customers. This has prompted a resurgence of interest in business organization. Our findings in this area are startling: 92 percent of companies believe that redesigning the organization is very important or important, making it No. 1 in ranked importance among this year’s respondents. Companies are decentralizing authority, moving toward product- and customer-centric organizations, and forming dynamic networks of highly empowered teams that communicate and coordinate activities in unique and powerful ways.