“The Power of Leadership”

Continuing with our thoughts on focused training and development needed for centralized organizations versus decentralized organizations.

To know for sure what kind of an organization you have, you need to know the “right” questions to ask.

* Is there a person in charge? If you see a CEO, chances are you’re looking at a centralized organization. An open system is normally found in a decentralized organization.

* Are there headquarters? Every centralized organization has a physical headquarters. A decentralized organization is not dependent on a physical headquarters.

* If you loose the leader, will it suffer? If you take out the leader or take out the headquarters, chances are you’ll kill a centralized organization.

* Is there a clear division of roles? Most centralized organizations are divided into departments. In decentralized organizations, anyone can do anything.

* If you take out a unit, is the organization harmed? Units of a decentralized organization are by definition completely autonomous. Loose of a unit and the organization does just fine. In a centralized organization, all department are important to the survival of the organization. The loss of key department personnel in a centralize organization could effect the very survival of the organization.

* Are knowledge and power concentrated or distributed? In centralized organizations, power and knowledge are concentrated at the top. In decentralized organizations, power is spread throughout.

* Is the organization flexible or rigid? Decentralized organizations are amorphous and fluid. Departments and divisions have relative freedom, they can go in a multitude of directions. Centralized organizations depend more on rigid structure. Change is slow and labored.

* Are working groups funded by the organization, or are they self-funding? In open organizations, there is often no central well of money. Things are different in centralized organizations. Without central funding, departments cannot survive.

* Do working groups communicate directly or through intermediaries? Typically, important information in centralized organizations is processed through headquarters. In open systems, communication occurs directly between members.

While training and development is important to any organization, you must know what kind of an organization you have in order to put your focus where it is most needed during a crisis period.

“The best vision is insight” … Malcolm S. Forbes.

Have A Good Day!

Russ
Performance Institute – A Global Leader in Human Capital Development

Russ M. Miller, LLIF, Chairman & CEO
Sunny Hong Zhang, Managing Partner – China
Shawn M. Miller, Managing Partner USA