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January 9, 2017 101

101: Reorganization

The new year is a time for reorganizing closets, pantry shelves, and – maybe – your company. Perhaps your company had a recent merger or acquisition. Or a reshuffling of sorts is needed for myriad other reasons. A reorganization executed correctly can hold value for a company and put it on the path to a brighter 2017.

Be on the lookout for signs reorganization is needed.

According to ManagementHelp.org, these reasons may include high-employee turnover; employees complaining they are reporting to more than one boss; employees complaining their responsibilities run the gamut in terms of tasks; employees who do not have enough work to do or recurring problems in a particular division or department. “It is not always problems that provoke the need for reorganizing,” the website states. “For example, if the organization has been conducting strategic planning and produced new goals, these goals may require the organization to reorganize.”

Know people only care about how they are directly impacted.

“Change management is as much about strategy as it is about communication. So communicate clearly, and communicate often … until you are blue in the face,” writes Nur-e Rahman Nichols at Forbes.com. Once you address the gorilla in the room, she says, you can begin assigning change champions to put your strategy to work.

Don't clock out too soon.

Says Stephen Heidari-Robinson, Suzanne Heywood and Barry Edmonstone-West at HBR.org: “In M&A situations … detailed information becomes available only relatively late in the process,” the article states. “A McKinsey survey in 2014 confirmed … this is the hardest part of the reorganization to get right.” Circle back and ensure that understanding of strengths and weaknesses, assumed synergies and other factors don’t need fine tuning.

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