Thinking about competence, we begin with individual competence. Ultimately, however, we have to think about organizational competence. It not just great output from a single performer, but the output of the organization as people work together.

Organizational structure is simply the way we define the working relationships between people. We represent this on a piece of paper called an organizational chart. We have both vertical working relationships and horizontal working relationships. How well these relationships work will determine the quantity and quality of organizational output.

And, this is where the trouble begins. On the org chart, we draw lines between people, up, down and sideways. We think we understand what those lines mean, but until we specifically define the lines, we will experience organizational friction.

Working relationships are defined by two things, accountability and authority. Most organizational friction looks like a communication problem or a personality conflict, but that’s just a symptom. Underneath, we have a structural problem where we have failed to define, in that working relationship, where and what is the accountability. And, in that working relationship, who has the authority to make what decisions.

People tell me they have a communication problem. I don’t think so. I think you have an accountability and authority problem. Because you failed to define it.