It’s Not Your People

It’s your structure. Peter Schutz (1930-2017), former CEO at Porsche quipped, “the successful companies are those that get extraordinary results from ordinary people.” It’s not your people, it’s your structure.

Structure is the way you think about your company. That includes your business model, who you think your customers are, how you think they use your product or service, why you think they use your company vs a competitor. It’s your structure.

Organizational structure is way we define the working relationships between people. The first level is every person playing their role. The second level is the way those roles work together. It’s your systems. The way we think about roles and the way those roles work together determines the effectiveness of the organization.

Every company has people. Every company thinks their people are special (and they are). It’s the structure that determines the company’s success. Extraordinary results from ordinary people. It’s your structure.

2 thoughts on “It’s Not Your People

  1. Henry Camp

    It was Peter who introduced me to Elliot Jacques’ work. He was a funny and insightful leader who inspired me. (I also appreciated his saving the 911, while heading Porsche during the 1980s.

  2. Brian Gardiner

    Hi Tom
    I’m with you on this idea of structure. Here’s another perspective that supports this approach.
    I’m a strong believer that Better Planning leads to Better Business.
    So, if this is true, how can you become a better planner?
    It starts with the structure of your plan. With a clear and coherent structure, the task of planning is much easier. You simply fill in the content, and Presto! you have a working plan for your business.


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