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Management is nothing more than motivating other people. Lee Iacocca

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Decipher the unofficial side of the organization

Decipher the unofficial side of the organization

Companies operate based not only on official rules, but also unofficial phenomena. How to integrate the latter in managing the organization?


Smoothly coordinating the various units of the company is critical to performance. However, this often proves more difficult than it seems. Coordination is made all the more difficult by the often contradictory need to create independent units, focused on their own objectives, e.g. innovation, production quality, or customer service.

Faced with this dilemma, many executives see their role as architects. They concentrate on defining the rules that govern how units interact in terms of structure, strategic planning, budgeting, procedures, etc. They think that if these rules are clear and well designed, people will behave accordingly and the organization will operate smoothly.

This mindset blinds them to an essential dimension of smooth organizational operation:

– Recognize the importance of the unofficial side of the organization.

– Manage the impact of this unofficial dimension on performance.

Synopsis n.111b