Organisation Models
A value chain map as an operating model All Value Chain Steps Segment A Segment B Segment C Segment D Segment E Segment F Combine/manage together Source of advantage Link or standardise, but manage by segment Separate and manage by segment
Value chain map as an organisation model Combined and centralised Centralised to manage links Head Office plus elements of the value chains that have been centralised BUY MAKE SELL BUY MAKE SELL BUY MAKE SELL Operating Units (value chains focused on different segments Separated with some standardisation/links
Organisations have two kinds of work Operating work Do work aimed at delivering value to “customers” Support work Do work aimed at helping other departments within organisation Operating work can become support work if it is “centralized”
Three ways to structure the operating work Value Chain Function Process Geography Customer Product Project Asset Etc Two boss matrix Front/back Unitised Matrix
Four types of support work Head of structure More powerful Less powerful Key accounts Finance Lean/ Operating excellence HR Policy e.g. Champion/Coordinate e.g. Core resource e.g. Shared service e.g. Finance services Research HR services Marketing Operating Work
Impact of combining/centralising Combining converts “operating work” into “support work” When combining or centralising it is important to define the role of the support work Policy Champion Shared Service Core Resource
The target organisation structure for the regulator Board Chief Regulator CEO Office Executive Director of Strategy, Risk & Research Executive Director for General Qualifications Executive Director for Vocational Qualifications COO Business Planning & Performance Mgmt Reform Programme Strategic Policy & Risk Stakeholder Engagement Stakeholder Engagement Assurance Regulatory Op’s Research & Evaluation Regulatory Development Regulatory Development Authorise Finance Supervise Qualification Policy Qualification Policy Supervise Comms HR Qualification Standards Qualification Standards Enforce IT Ops Mgmt School Qualification Design Lead Legal Super-moderation Customer services
Regulator structure as an organisation model Strategy COO General Educational