BMA505: Structure Class

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BMA505 Structure (Class 2)

• Winter, 2007

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Tonights agenda

• Frames and framing
• The Structural Frame
• Citibank Dyno

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What is a frame?

• Mental map to read and negotiate a territory
• The better the map, the easier it is to know
  where you are and get around (a map of New York
  wont help in San Francisco)
• Frame as window enables you to see some things,
  but not others
• Frame as tool effectiveness depends on choosing
  the right tool and knowing how to use it

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A Structural View

• Metaphor complex machine
• Leader analyst, architect
• Strategy do your homework, analyze, design new
  approach, implement
• Focus data, logic, structure, plans, policies,

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One side of structure Letterman at GE
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(No Transcript)
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Another side of structure Joe Clark in his first
day in a new job
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(No Transcript)
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A Structural View

• Metaphor complex machine
• Leader analyst, architect
• Strategy do your homework, analyze, design new
  approach, implement
• Focus data, logic, structure, plans, policies,

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Alfred P. Sloan at General Motors

• Appointed CEO 1923
• In first year, GMs share dropped from 20 to 17
  Fords increased to 55
• GM passed Ford 5 years later
• Structure Sloan inherited feudal baronies
• One option functional organization

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B.C. Ministry of Management Services
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Alfred P. Sloan at General Motors

• Appointed CEO 1923
• In first year, GMs share dropped from 20 to 17
  Fords increased to 55
• GM passed Ford 5 years later
• Structure Sloan inherited feudal barony
• One option functional organization
• Structure he built product divisions with strong
  central staff

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Options for dividing the work
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Options for dividing the work
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Integration pulling it together

• Formal vs. informal
• Vertical
• Authority
• Policies, procedures, rules
• Systems (accounting, I.T.,etc.)
• Incentives
• Lateral
• Committees, teams, task forces
• Coordinating roles
• Networking

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Why cases?

• Virtual tour learn from immersion in different
  issues and contexts
• Application of theory to practice
• Diagnostic skills increase ability to size up
  situations and develop strategies
• Test your ideas against others ideas

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Citibank

• What were the most significant structural changes
  that Reed and White made at Citibank?
• Overall, what grade would you give Reed and White
  for their change effort?
• Why?
• What, if anything, should they have done
  differently?

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Citibank and Dyno Software

• Citibank and Dyno both emphasize structure and
  metrics. Are they getting similar results?
• Why or why not?