The structure is one of the most significant aspects of a business. When a corporation applies the proper structure, it achieves important goals and achieves crucial results. The structure also contributes to culture, and when people enjoy being together in the business, wonderful things happen.
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A synopsis of organizational structure:
An organization is defined as a group of people who work together to achieve a common goal and are connected to the outside world. Organizational structure is a visual diagram of an organization that explains what individuals do, whom they report to, and how decisions are taken. Consider a bee colony, which can have up to 80,000 bees. The clean, perfect hexagonal latticework of its honeycomb hive, an abundance of golden nectar, and each bee’s survival depends on the colony’s organization, cooperation, and communication. Each bee has a distinct job to play: queen, worker, and drone.
Bees use pheromones, undetectable chemical signals, and “dances” to connect. Roles and hierarchies are determined by body composition and age. Similarly, most firms define roles, titles, and communication channels to divide duties and power hierarchies and keep the organization running.
How do tech businesses organize their teams?
For this article, Tech company organizational structure whose business strategies revolve around a key digital product, such as an app or online service. These firms include Uber, Spotify, TikTok, Netflix, and others, and a digital product or service generates the majority of their revenue.
These organizations’ technology team structures are primarily based on the digital product and operate in a nimble atmosphere. A product owner, business analyst, scrum master, several developers, testing leaders, and product heads are common members of the structure.
Most B2C business strategies, on the other hand, revolve around selling products to customers through traditional brick-and-mortar and internet channels. When contrast to tech firms, most B2C organizations merely used technology as a tool to improve performance, and technology was frequently an afterthought or considered as a cost-center until lately.
As B2C organizations try to reinvent themselves and push towards a digital economy (having the majority of their income come from digital channels), they often try to emulate team structures similar to those of tech-first businesses. This is a critical flaw.
How should your digital team be organized?
Here are three ways for team structure that leaders can employ:
Structure to fit your business concept and objectives:
To begin, it is critical to connecting your team structure with your business and technology goals. If you outsource your technology, your team structure will be substantially different from a company that builds products in-house. For example, if you outsource technology advancement, your team structure will contain positions that handle external vendors. If most technology development is done in-house, a product team comprised of developers, product managers, and test leaders would be more appropriate.
Predict major global and micro landscape patterns:
To remain relevant and ahead of the curve, leaders must regularly recognize major technology developments, competitive pressures, and internal company changes, as well as how these may affect your team soon. If market trends reveal that direct-to-consumer channels are growing rapidly, carving off a role to study direct-to-consumer channels may be an alternative.
Create a team of superstars, not a team of superstars:
A team with an average skill that works well together and knows how to execute will always triumph over a team with many superstars but cannot execute. Remember to employ an important person who will allow the team to work like a well-oiled machine when you create your team, rather than trying to hire celebrities without considering fit and culture. The objective here is to identify essential positions or persons who will serve as the focal point of your team and then arrange the remaining roles and team to best support these individuals to maximize productivity.
Final Words:
Regular team structures are no longer applicable as the pace of technology, innovation, and digital disruption continues to accelerate. There is a wide disparity resulting from organizations lacking the proper technology team architecture, particularly in industries experiencing digital transitions.
When determining how to structure a technology team, new technologies, a company’s strategic strategy, brand positioning, and competitive factors must be considered. To keep ahead of the ever-changing world, existing team arrangements should be reassessed every six months.