The design of an organization is a key element which can greatly influence interpersonal group dynamics. As such, an organization's design should faciliate group dynamics which foster the espoused values of the organization; at the opposite, the wrong design can greatly hinder cultural goals. For example, an organization which values team work and intergroup collaboration, by using a matrix structure, will promote rich interpersonal group dynamics. At the opposite, using a highly structured functional model would promote little lateral interpersonal exchanges and would foster a culture of "them and us".
Organizational design can and will help forge culture and interpersonal group dynamics, however it is probably not the most effective tool to influence or manage aspects such as knowledge management. To often, manager are too quick at using organisation redesign as a tool to manage problems. They wrongfully use the "divide and conquer" approach to organization design under the assumption that if there are issues to be solve in their group, creating smaller and more focused sub-groups will surely be the solution. If the issue is a gap in the KSA (knowledge, skills and aptitudes) of the group, no matter how a group of people is slided and diced, the issue will no be resolved.
Organizational design can and will help forge culture and interpersonal group dynamics, however it is probably not the most effective tool to influence or manage aspects such as knowledge management. To often, manager are too quick at using organisation redesign as a tool to manage problems. They wrongfully use the "divide and conquer" approach to organization design under the assumption that if there are issues to be solve in their group, creating smaller and more focused sub-groups will surely be the solution. If the issue is a gap in the KSA (knowledge, skills and aptitudes) of the group, no matter how a group of people is slided and diced, the issue will no be resolved.
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