배움과 공유의 시간

 HR's role (constructing organizational structures that can continue to innovate and designing organizational operational mechanisms)

1. Innovative Organizational Mechanism Design

According to experts, the innovation equation is ‘Innovation’ = ‘Smart People’ + ‘Creative Environment’ +
Is ‘Outlet for ice’.
To summarize Google’s product innovation activities in this innovation formula:

Under the 20% rule of Google, all new ideas in the company are proposed by members in the Bottom - up method and engineers are encouraged to spend 20% of their time on projects of their own choosing. And Google's organizational management style can speed up the productivity and speed of innovation by forming a team with a small number of people centered on a small Cross - function team to prevent free rides between team members and focus on what is essential.

In the case of Google, responsibility and authority for new product development are fully delegated to the project team and the operation of these project teams is entirely PM-oriented.The company is responsible for the P&L, delivery time and quality of the product by leading the major decision making of the entire process in which the new product ID is found and commercialized.

Through its own innovation governance, management policies, Google is creating a creative environment where innovation can continue, through the Google Product Council and Strategy Forum, deliberating ideas, assigning people, money to selected ideas, and managing the entire process of innovation such as periodic checks.

In addition to the 20% rule, 70 : 20 : 10 suggests that 70% of engineers' time use should be spent on core business, 20% on expanded projects, and 10% on fundamentally new business projects.

Through Google’s unique innovative organizational operation, it can create an atmosphere where 1) resources are made available to new businesses, products, 2) collaborative structures and processes are used to integrate the overall expertise of the organization in the process of commercializing creative ideas, 3) innovation must be incorporated into organizational strategies, and 4) creative ideas of ceaseless members can be voluntarily proposed.

For the success of innovation, innovation projects, product development should not be viewed or begged to secure the time and resources needed in the process of commercializing new business ideas, but should be coordinated across the boundaries of the organization without silo between each organization, have interest and responsibility for changes in the top management, and have assessment standards and methods for innovation. And based on a clear hierarchy, the idea of innovation cannot be unilaterally brought down from the top.

From this point of view, the IBC organizational aspects of the market are a constant source of disruptive innovation and products.
Organizational operating mechanism for discovery and commercialization should be designed, and the following two big things in design:
Has a task.

1 Building Governance for Innovation
2 Maintaining the PM-centered Project System
3 Finding new product ideas and securing a connection system for commercialization
(including establishment of business/product ID and item pipeline)

Building Governance for Innovation
In the case of leading companies seeking innovation, the company has a ‘innovation governance’ that enables the selected business, product ID, to be commercialized without interruption in the middle of the development and commercialization of new business opportunities.

It is far from easy to persevere with the long journey that the ideas of immature new businesses and products are adopted, loaded and led to commercialization, and to put in large organizational interests and resources. Easy to be crushed by existing short-term, centered organizational systems.

According to research by corporate management experts, companies that maintain their survival and financial performance in a complex, ambiguous and rapidly changing environment simultaneously manage the gradual improvement of products and non-continuous innovation of products within their businesses. It requires a different organizational approach between existing and new businesses.
Ask. Existing businesses in the growth industry require efficiency, control, and clear hierarchy, but flexibility, autonomy, and collaboration must be managed to develop new businesses. Successful companies manage these contradictory structures, procedures and cultures skillfully.

IBM, GE, Google, and others are managing innovation, making it a good fit for different business environments.
If you look at the organizational operation, first, you can separate the organization from the existing organization, like IBM and GE, and separate the new business organizations.
It runs on the road and Google operates in an integrated way within its existing organization.

IBM is the CEO of an EBO organization dedicated to innovation.
EBO Project Team to discover and commercialize a new project that can cost more than $1 billion within 4 years
I'm going to the Global Technology Outlook team at the same time to discover the future technologies that I need for my overconfidence business.
in motion

Google has a separate innovationGovernation, but it's basically a continuation of the Start - up organization.
The company has an easy-to-deploy organizational operation method for discovering new business and product items.
Enterprise-wide, through future investments, new business items are prioritized (Top 100List) + management.
Top's interest in new business, 70 : 20 : 10 rule, 20 percent rule, management policy and small project team
The company manages innovation everyday through the central organizational operation and evaluation/compensation system.

Second, we are building a clear innovation governance, through which we have separate funds to take the lead in finding, experimenting and commercializing the innovation idea.

In this regard, IBM's governance of innovation as a separate organization will be able to recognize how a well-trained competitive approach to business success in past mature markets can impede the evolution of new growth businesses and understand the mechanism of organizational operations for successful innovation in enterprises.

When he took office, Lugersner emphasized innovation to emerge from IBM’s business crisis and instructed each business to allocate and execute one growth project.
However, most projects are not pushed forward and are scaled down or suspended.After looking at the reasons, Mr. Lugusner found that it was an over-obsessed obsession with existing businesses. "It's hard to work for a new business at a time when we need to focus our budget and manpower on the existing project and the project itself is not reflected in the quarterly results," said the heads of the business division.

As a result, Lugusner concluded that new growth projects within IBM cannot evolve from the existing business operating system. At IBM, the barriers to innovation could be addressed as follows:

• Existing management system provides value for strategic business development and rewards at the center of short-term performance execution
a poor hand
• The company is currently interested in the market and existing Offers.
- Product development process focused on existing markets and customers
• Stable profit over high price and profit, emphasis on profit and loss improvement
- unrealistic expectations that the new project requires more than a break-even point within a year or two.
• ‘Factor based Financial analysis’ new business based on market insight
a hindrance to the business development of an idea
• Lack of diskipline in which the company selects, tests, punishes and terminates new growth projects
- crushing new business opportunities with existing management systems
• Business leadership that IBM designs and develops new business models
Lack of Skills, New Start - up Requires Patience, Lack of Continuity

Through these results, Lugusner said, "The growth industry (Hrizon1), which is currently the main focus of the business, is the mature business (Hrizon1).
Differentiate between Hrizon2 and new business (Hrizon3) and organizational operation and management methods by project.
became aware of In the end, Lugusner created a separate new business organization and EBO organization, separate from the existing business, to intensively foster Hrizon3 and integrated the Horizon2 growth project from exploration of promising items to full transfer to related business units.

IBM's Innovation Governance is characterized by the interest of CEOs in existing business units.
It operates in a way that leads to cooperation. In the EBO organization, the EBO Chief Executive is appointed
A new business executive is in charge of each growth project team after reporting the folding idea or implementation situation in person.
In addition, the chairman directly participates and not only new business executives, but also heads of business units and executives related to business units.
A monthly meeting attended by the participants to share the current status of the new project in the conference room and the existing project.
It is required to check the level of resources

And to have a Sponsorship for new business projects to senior executives in the business sector and business units.
I'm doing this, and I'm transferring one senior business executive to a project within the EBO.
is responsible for the success of the project and is supposed to provide organizational cooperation and support.
EBO Chief Executive is managed to prevent the elimination of business items that have no benefit to the project manager but have a negative impact on the profit or loss of the business unit in the short term but have a financial effect on the company in the long term.
(Of course, it is important to come up with an exit strategy that can ‘quick stop’ quickly when progress is judged to be insufficient or customer value creation is not feasible during the new project.)

In conclusion, companies in uncertain and rapidly changing industrial environments such as IBM and GE need separate organizational structures, governance and other business capabilities to manage innovation, so they need separate organizational operating systems, incentives and procedures in conjunction.

Project-oriented organizations are project-oriented because the organizational form itself is project-shaped.
Organic cooperation of each expert, led by Liza, and coordination of organizational operations.
The project manager has all the responsibility and decision-making authority associated with product development and is responsible for the entire operation.
The goal and responsibility for product development are clear and systematic schedule control is carried out.
dexterity

Relevant with diverse perspectives and capabilities, including complex technologies and services, through project organizational and operational methods
The simple sum of individual efforts can be achieved through simultaneous mutual communication and collaboration among members.
No, we can do more than that.

The project-driven, integrated organization has the following objectives:

< Purpose목적
1. Horizontal integration of projects throughout the product lifecycle, including business strategy, officers planning, development, delivery, and sales
2. Vertical integration between project portfolios (correlation between company strategies and projects)
3. Build an integrated project governance structure to create and deliver value

Project-oriented organizations also standardize the PM process by having a permanent Project Management Office, realize the economy of scale of project execution, manage indicators, staff Staffing PM managers and professionals, provide best practices, project guides, and methodologies.

Recent businesses such as Convergence, Smart Home, Smart Car, and Internet of Things are rapidly evolving.
With innovative new technologies and new products, the innovation cycle is short, whenever and wherever (the industry is free of boundaries).
Companies survive in market conditions where an armed competitor may emerge and shake the landscape of the game.
In order to grow, the framework of the project perspective is increasingly emphasized in organizational design.

So the IT-based smart product business is the first Mover, and the market is driven by the preoccupancy of the competition.
Concurrently because the impact is devastating and it is currently uncertain which product will standardize the market.
We need to explore and experiment with the possibilities of a variety of products, and the time pressures of rapid product development are high.
Getting stronger.

So we need to create a new market through new products, that is, gradual improvement, non-continuous rather than innovation.
Organizations that need to innovate will be driven by a project team based on a horizontal organizational structure
Must be done and new product rich release of ideas, empowering members to make quick decisions
This delegated and horizontal communication and cooperation must be assumed.

Organizations must be able to manage their existing and innovative product businesses simultaneously from an enterprise perspective to succeed and grow
Because it can be done, one business unit operates a traditional organization and the other business unit is a professional.
It is possible to develop the organization operation in the form of a project.

As an example of project-centric organizational operations, smart TVs based on current IT technologies and services, s
The way Google operates its organization, which is expanding into the market, smart cars, and the Internet of Things.
a review box

If you look at Google's enterprise organizational chart, it's basically built into a matrix system between the Product Management organization and the functional organization, and it's project-driven in the way organizations operate.
In the offing, i.e. operating a small cross - functional team consisting of personnel from each relevant functional organization.

One of the reasons why Google can bring innovative products to the market that can change the world is because of the PM-led collaborative project operating system.
Work around projects, trying to have fewer middle layers of possible functional organizations.
For continuous development and research of ideas, the project consists of 3 to 4 people (up to 12 people).
It is a team of size, with over 1,000 projects carried out annually.
Therefore, it is not important that he belongs to him.
Responsibility and authority for a project can be delegated to a team led by the PM, which can lead to high morale and accountability, and can be derived from rigidity and slow handling caused by the high level of decision-making, which is a disadvantage of bureaucracy.
How Google operates its organization (concept diagram)

At Google, PM has full responsibility for the success and failure of the new product development from product concept to theoretical, leading the major decision making at each stage.

Chief executives and executives from Google's functional groups, sectors, can help each small team work.
Support personnel, etc. and have always open communication and cooperative relationship with PM.

In case of a complex project, Google operates a Program Management organization in relation to the project organization, a Program Manager is deployed to help members focus on Big Picture during the project and supports scheduling, risk analysis, resource-staffing, and so on the project.

before going in

This data is ultimately prepared to explore the organizational operational mechanism in which innovation is sustainable.
Smart company whose product business combines software, design, service, hardware, etc. from technology to hardware-centric
Evolving into business. The smart business today is fast evolving and innovative anywhere.
An environment in which powerful competitors armed with new technologies and new products can emerge and shake the market.
in

In such a complex and rapidly changing business environment, companies must continue to grow for survival and perpetuity.
We need to be able to ‘innovate products and businesses’ without the need to internalize those capabilities and constitution into the organization’s DNA.
what should be done.

Innovative organizations in cases like Google, IBM, GE, etc. are considered successful in business innovation
To discover the principles of operation and to help design the mechanism of our innovation organization operation.
(In particular, it applies to the Innovation BusinessCenter that is created to develop a smart-based business.)

First of all, in terms of exploring sustainable products, organizational structures that are relevant to business innovation
The development phase of the organization of the product business unit, especially in terms of the evolution and security of the matrix organization, was reviewed.
Highly innovative products, organized with a framework that sets the way organizations operate their businesses.

This data is based on 1) the evolution of matrix organizations, 2) the HR should be
This focused on the design of the operational mechanism of the innovation organization.
In the design of the operational mechanism of the innovation organization, the governance of innovation is established, and the group is focused on project managers.
Suggests how to design direct operating system, find new business ideas, and establish a commercialized linkage system.

The Evolution and Organizational Mechanism Design of Matrix Organization : HR's Role in the Establishment of Innovation Organization
 Evolution phase of product business organization
Describe the evolutionary stages of an organization based on the organization that performs new product development within a business unit.

The most common characteristic of matrix organizations is that traditional vertical hierarchies are organizational forms that are intersected by horizontal authority, horizontal communication.The second characteristic is that the traditional boss-centered hierarchy of power was suspended and responsibilities and authority were divided into dual lines.

Matrix organization is a collaborative structure that combines project-oriented and function-oriented structure.
Functional organizations have the advantage that individuals can develop new technologies in each area of expertise, but due to the features that focus on the expertise of specific functions, the functional structure exposes weaknesses in terms of cooperation and synergies among each specialty, and the product-oriented business unit organization can reduce these weaknesses by focusing the attention of members of the functional organization on product requirements, but at the same time it is difficult to accumulate expertise.
May lead to the obsolescence of the literary world

Matrix organization is an alternative to achieving both functional-oriented and product-centric benefits by providing appropriate cooperation while maintaining functional expertise.

These matrix organizations and the organizational evolution to complement matrix organizations are functional organizations  matrix organizations (weak matrix strong matrix) project-oriented organizations that go through evolutionary steps.

1. Phase 1: Starting with traditional or functional type hierarchical structure as a functional organization
2. Step 2: As a matrix organization,
1) As traditional functional hierarchy exists as the foundation of the organization, a ‘weak matrix organization’ is formed in which project organizations are temporarily created to address new complexity and cross functional organizations.
2) The project structure became permanent and developed into a "strong matrix organization" in which project functions had relatively stronger authority than functional organizations in forming such a permanent project structure and functional inter-organization matrix organizations.
3) As a mature step of matrices, there is a functional hierarchy and a balance of authority between project organizations at this stage.
3. Step 3: ‘Beyond the matrix’. At this stage, the whole organization is represented in the form of Project Oriented Organization.

weak matrix tissue
The matrix organization is responsible for maintaining and strengthening the expertise of functional organizations and for delivering products that are the strengths of project organizations.
A type of organization that combines the characteristics of organic cooperation and coordination among related functions.

Small organization size, various product types, and the need for technical accumulation and expertise
In this high case, it is appropriate to operate as a functional organization.
However, the variety of products and variety of technologies, contents, services, etc.
When products become more complex, such as home appliances, and at the same time emphasize the efficiency of new technology accumulation and resource utilization.
You will run a U-matrix organization.
To provide differentiated value for products, the same product concept is maintained consistently throughout the entire commercialization process.
In addition, we need to develop new products quickly and at the same time secure core technologies for new product development.
It is a well-organized system.

In these matrix organizations, the weak matrix structure is the result of the project manager being compared to the functional managers.
Having weak authority and decision-making authority. In practice, project managers are responsible for the project's fusill
Considered to be the presence of the rutters. They plan and supervise the implementation, but they are responsible for the development of human resources.
Having no set control and relying almost on functional organization managers to secure resources.
In addition, project managers typically have lower positions than functional organization managers.

Because authority (human rights, etc.) is concentrated in the manager of a functional organization, ideas from various functional departments as well as customer needs may not be fully reflected in new product development activities. In many cases, the product business is a technology-driven product development.

Members are not as loyal to project managers as they are to managers of functional organizations that determine their growth. Their performance is measured not by project work but by the work done for their functional organization managers.For members, participating in a project is likely to cause complaints that they cannot concentrate on the project and project managers are not motivated because it is seen by functional organization managers who evaluate themselves as neglecting their function.
The failure of project managers to have real control over members leads to criticism of functional managers and creates conflicts with each other.

Although the basic organizational structure of a company or a business unit works as a functional organization and as a project when necessary, the PM acts as a coordinator or communicator, mainly as a way to perform their assigned roles in each functional organization.

strong matrix structure
Privileges and responsibilities related to product development by project managers gradually under the matrix structure
It operates as a strong matrix organization with a consistent product concept for customer needs.
Can be maintained during product development.

Full autonomy in a strong matrix structure is given to project managers. about the members
It is common for project managers to exercise performance management responsibilities and authority.At the same time as the project
In , project managers ask managers of functional organizations to hire more people, and functional managers are required to do so.
Request project plans to support personnel and identify the duration of input personnel's project.

In weak matrix organizations, project managers exist in functional organizations, but they're not going to be able to create strong matrix organizations.
Line Always has project management capabilities and is part of the Project Management (PMO)
Office" exists.

B2B Company has shown that Project Manager has strong rights to perform order projects to customers.
With each functional organization (sometimes involving the functional organization personnel of various product business groups in the company)
Can be done. For B2B companies, the functional organization is responsible for the management, promotion, and technology development of the members of the organization.
Joint responsibility for the project development and the origin of the project for the project development organization being responsible for the success
Has responsibility to provide active manpower (KPIs, etc.).

balanced matrix organization
Conflict between the two organizations over control and authority creates a desire for one group to dominate the other
Doing and harming the entire organization.The dominant project manager always tells himself
To ensure the best team composition, the functional organization’s managers will be pressed to gain outstanding talent.
And so the mechanism of reducing this conflict is to figure out who's going to manage the members, and to change the environment.
Having a rule within the organization that can be changed accordingly.Set up many potential rules to have equal rights between project managers and functional organization managers.A balanced architecture can create a win-win situation for both sides by establishing policies that guide the allocation of authority between project managers and functional managers.
"The same member shall not be put into a series of projects for the same project manager"
That is one example. "All engineers spend 20 to 30 hours on the New Product Development Project."
Another example is the time-sharing of members for existing product improvements, new product development, and non-continuous innovation.
organization through rules on division, coordination of departmental conflicts, etc.
It can be the way to zero.
The underlying structure of an organization can be taken to a matrix organization and rules can be operated in a complementary manner.
Well, even a weak matrix works seamlessly when members themselves have the ability, experience, and maturity.
Can.

Project Oriented Organization
The matrix organization has no clear responsibilities and no reporting lines to determine the potential for conflict over power.
Many. Also, I have inherent shortcomings such as excessive meeting and delay of decision making. And the river
Under one matrix organization, the functional director will try to regain the power he has lost.

As an alternative, a project-driven, integrated organization emerges.