A strategy is the central concept within organization that explains how the organization will achieve its goals.

Therefore, the organizational setup consiting of:

  • Resources & capabilities
  • Processes
  • Structure & systems
  • Culture

must be aligned to the strategy in order to support it.

If the organizational alignment is poor or partial, by principle, organization is not capable to achieve its goals fully or at all.

This implies that with each new strategy or adjustments to the current strategy, organization must perform restructuring to meet the strategy needs.

Moreover, it is needed to regularly reassess whether the organizational setup is in fact supporting strategy execution.