Transform Your Organizational Chart Into A Growth Accelerator

Every company has an organization chart, but most of them serve little value other than some color on a page of paper.  Sure, we can we tell who reports to whom on them, but does that help you hit your growth targets?  Not at all.

The Power Of A Functional Accountability Chart

When I work with clients, we build a functional accountability chart, one that directly links functions to financial outcomes (on the income statement and/or balance sheet typically), along with identifying the key leading indicators (drivers) that each function is accountable for in order for those financial outcomes to be met.  It is hard work getting the functional accountably chart right, but in the end, it is some of the most rewarding work for every client I have coached.

Why?   Often for the first time, there is an accountability chart with a spine.  Now a CEO or board can look directly at each function, who is accountable for each function, and see how that function is performing where it matters – the financials. Additionally, if the leading indicators (what I am doing today to influence the end result on the financials) are not producing the results, it stimulates a discussion on what should we be measuring and influencing instead. Finally, there are clear lines of site on who is accountable. With a well-defined functional accountability chart, everyone knows who is accountable for each function (sales, marketing, finance)  what that person and function will be measured on in terms of financial performance, and what specific leading metrics they must hit in order to achieve those financial results.  

The Bottom Line

Clarity, Accountability, Performance.  They all to hand-in-hand. Taking the time to work through an create a spot-on functional accountability chart is worth it. Frankly, any other type of organizational chart is insufficient, and lack of a strong functional accountability chart will cause results to be less than desired.