Introduction

This model depicts the organisation in a circle, rather than a hierarchy, to emphasise the inter-relatedness and interdependency of all the parts of the whole.

The company, with its Mission, Vision, and Strategy (MVS), is in the middle and equally connected to each department. The company provides a central MVS, which needs to be broken down in departmental goals and objectives.

The links between departments indicate the interdependency between departments. We will later describe the internal supplier-customer value chain which require each department to agree and deliver upon targets with internal suppliers and customers.

For a company to be efficient, everyone should be working in the same direction. This requires goal alignment, which means the company strategies/goals should be cascaded to each department. The best way to get buy in to the company strategy from all departments and levels is to involve a sample group across departments and levels in your strategic planning session. So, apart from your department heads, who would usually attend the strategic planning, also involve your union chairperson, workplace forum representative, employment equity representative, etc.

Once the company has completed its strategic plan, each department, should agree on the goals of the department that will contribute towards the organisation meeting its strategic objectives. This means goals are formulated and agreed at all levels and aligned top-down and bottom-up.

The next step is for each department to identify it’s internal customers and suppliers. These are the departments within the organisation which either provide your department with a service, or to whom you render a service. Internal service level agreements will ensure that the customer supplier value chain within the company is unbreakable.

But the company is not an island! It has a network of external relationships which are equally important. We will later focus on the management of external networks and how these networks can be used to the benefit of the company internally.

As with all relationships, as soon as the honeymoon passes, conflict starts lurking. It is therefore important, as we talk about relationships, that we also discuss ways of effective conflict management.