• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Submissions
  • About Us
  • Contact Us
  • Aug 16, 2022
  • Startup
    • Creating a Plan
    • Funding a Startup
    • Franchise Center
    • Getting Your Office Ready
    • Making Your Business Official
    • Marketing Your New Business
    • Personal Readiness
  • Run & Grow
    • Customer Service
    • Human Resources
    • Innovation
    • Legal
    • Operations
    • Risk Management
  • Leadership
    • Best Practices
    • Communication
    • Green Initiatives
    • Open Culture
    • Strategic Planning
    • People Skills
  • Sales & Marketing
    • Advertising and Lead Generation
    • Marketing Innovations
    • Marketing Plans
    • Online Marketing
    • Relationships
    • Sales Activities
  • Finance
    • Budgeting and Personal Finance
    • Payments and Collections
    • Tax and Accounting
    • Pricing Strategy
    • Working with Investors
    • Working with Lenders
  • Tech
    • eCommerce
    • Hardware
    • Software
    • Security
    • Tech Reviews
    • Telecom
  • Shop

SmallBizClub

Helping You Succeed

Home / Leadership / Strategic Planning / Keep the Organization Simple
Keep the Organization Simple

Keep the Organization Simple

2729 Views

Dec 19, 2012 By Rick Gossett

Organizations of all kinds have a bad habit of growing more and more complex. But an important feature for an organization focused on growth is keeping things simple.

Whenever a big business fails, we often hear about problems with their organizational structure. It’s a similar story almost every time: The organization grew so big, and as it got big, it grew more complex. It became unmanageable, and turned into a bunch of rival departments that competed against each other for resources and attention, instead of working together.

To maintain and encourage growth, on the other hand, requires a clear and simple organizational structure. It doesn’t matter whether the business is large or small. What is more important is for everyone to understand the different parts of the organization and how they are connected. It should not be a mystery known only to a handful of people in positions of authority—making those individuals, incidentally, indispensable to the business regardless of their contributions.

A simple structure will also help maintain trust between all the different parts of your business. Because everyone understands what is happening in other areas of the business, and how those parts relate to one another, team members can take a big picture view at all times. When things grow overly complex and isolated, distrust spreads between the different corners of the organization, who neither understand what the others are doing nor how those actions relate to their own tasks.

Sometimes, less is more, and simplicity both provides stability to team members and offers a guide to action when making important decisions. An important advantage of simplicity is that it encourages collaboration, instead of boxing individuals into independent departments. Collaboration is an important driver of growth, encouraging new ideas and solutions that might not come up on their own.

In addition to encouraging a relatively simple organizational structure, it is also important to leave room for innovation that comes from collaboration. There should be enough flexibility for individuals to work together and combine their insights and thinking into something new—and beneficial for the overall organization.

A simple organization is more conducive to growth. To keep your business on the path for growth, keep a firm grasp on your organization’s structure and hierarchy to prevent things from growing out of control.

Filed Under: Strategic Planning Tagged With: Communications, Culture, Keep Organization Simple Communications Leadership Managing Employees Planning Relationships Solving Problems Culture, Leadership, Managing Employees, Planning, Relationships, Solving Problems

Rick Gossett

Rick Gossett

As COO of Tarkenton Companies for more than 20 years, Rick has been responsible for business software development, unique partnerships, business educational content and consulting, and more. Rick was the originator of Tarkenton Companies’s consulting service and initially handled all of the questions himself. Prior to joining Tarkenton Companies, Rick owned and operated a private practice as a CPA. Prior to that, he was a Senior Manager at Pannell Kerr Forster in tax and audit, as well as Principal in Ernst & Young's small business advisory group.

Related Posts

  • good-accounting-habits-for-small-business-ownersRunning a Small Business is Hard, But It Doesn’t Have to Be Complicated
  • 5 Ways to Overcome Startup Hurdles
  • 4 Ways to Become a Business Superhero

Primary Sidebar

Random

4 Tips to Keep Your Law Firm Finances On Track

Aug 16, 2022 By Lynn Ruthe

5-signs-you-need-to-revamp-your-inventory-management

5 Easy Ways To Track and Manage Your Inventory

Aug 16, 2022 By Ryan Kidman

5-things-you-should-expect-from-your-business-broker

These Are the 6 Important Factors When Selecting a Business Financing Broker

Aug 15, 2022 By SmallBizClub

Why and How to Align Your Team Through Brand Values

Aug 11, 2022 By Luke Britton

Why Businesses Should Treat Employee Burnout as a Risk Management Issue

Aug 11, 2022 By Andrew Deen

Footer

About Us

Small Biz Club is the premier destination for small business owners and entrepreneurs. To succeed in business, you have to constantly learn about new things, evaluate what you’re doing, and look for ways to improve—that’s what we’re here to help you do.

  • Facebook
  • LinkedIn
  • RSS
  • Twitter

Copyright © 2022 by Tarkenton Institute, Inc. All Rights Reserved | Terms | Privacy