The Chicken or The Egg: Does Structure Follow Strategy or Vice Versa?

Introduction: The Age-Old Question in a Digital World

Okay, so which comes first, right? Strategy or structure? It's, like, the business world's version of the chicken and egg thing. Makes you think, doesn't it?

Here's what's swirling around in my head:

• It's a classic conundrum but it's even more relevant now with digital advancements.
• Think about it: strategy is your game plan, telling you what to do, and structure is how you organize to actually do it.
• A Harvard Business School blog Using Network Properties to Overcome the Chicken-or-Egg Problem notes the challenge of "whether to prioritize building a user network or developing services."
• I guess it all boils down to this: Do you build the machine before you know what you're making, or the other way around?

Let's get into why this matters, especially in a landscape that’s changing faster than I can keep up with.

The Case for Strategy Driving Structure

Okay, so you've got your grand vision, right? But how do you actually make it happen? That's where structure comes in, and honestly, it's gotta follow where the strategy leads.

Here's why I'm in this camp:

• Strategy defines the playing field: It's all about figuring out your goals, who you're trying to reach (your target market), and what makes you better than the other guys (your competitive advantages). If you don't nail this down first, you're basically building a house without blueprints.
• Structure is the engine: Once you know what you're doing, structure is how you organize your resources to get it done. Think teams, technology, processes - all that jazz. It's gotta be designed to support the strategy, not the other way around.
• Marketing is a great example: Like, if you're going all-in on content marketing, that means you probably need a dedicated content team, right? Writers, editors, designers - the whole shebang. Can't just expect your sales team to whip up blog posts in their spare time.

Think about companies diving headfirst into digital transformation. They don't just slap some new software on top of their old systems, do they? Nah, they often have to completely revamp their teams, adopt new technologies, and even create whole new departments to handle the digital stuff. It's a big shift, but it's gotta happen if they want to hit those big, hairy, audacious goals.

So, yeah, strategy first. Structure's just there to make sure we actually get somewhere. Now, let's flip the script and see what happens when structure takes the lead.

The Case for Structure Influencing Strategy

Ever felt like your org chart is dictating your strategy more than your CEO is? You're not alone. Sometimes, the structures we already have in place can seriously box in what we think we can do.

It's easy to assume strategy always comes first, but reality is often messier, isn't it? Like, those established hierarchies? They can make it tough to be nimble, you know? Silos between departments? Forget about seamless collaboration. And those legacy systems... oh boy, they can be a real drag on innovation.

• Think about a large, established retail chain. They might want to pivot to a more personalized, digital customer experience. But if their it infrastructure is a tangled mess of outdated systems, that grand plan is gonna hit a wall fast. They're stuck adapting their digital dreams to fit within the tech they already have, kinda backwards, right?
• Or, picture a healthcare org with a really rigid, top-down management style. If they want to roll out a new patient-centric care model that calls for more autonomy for nurses and frontline staff... well, good luck with that culture shift! That existing structure is going to push back hard.

Speaking of tech, those legacy systems... they are digital transformation kryptonite.

• Imaging a bank trying to roll out a cutting-edge mobile app. If their core banking system is a dinosaur built in the 1970s, integrating new features and api's becomes a total nightmare.
• Modernizing those systems? It's a massive undertaking, often requiring years and millions of dollars. All that while competitors are sprinting ahead with newer, more agile setups.

And then there's company culture. Is it all about "play it safe" and "don't rock the boat?" Good luck launching some bold, disruptive strategy.

• A risk-averse culture can stifle innovation faster than you can say "bureaucracy." If everyone's scared of failing, nobody's gonna take the big swings needed for true strategic change.
• If your company values face-time in the office above all else, a remote-first strategy, isn't going to get very far, is it?

So, yeah, sometimes the structure really does call the shots. What happens when this goes too far? We'll explore that next.

Finding the Balance: An Iterative Approach

Alright, so we've seen how strategy can dictate structure, and, conversely, how structure can kinda put the brakes on strategy. So, what's a company to do?

It's gotta be a dance, right? An ongoing conversation. It's not like you pick one and stick with it forever.

• Think of it as an iterative loop. Strategy informs structure, sure, but then the structure you build? It also shapes what strategies are even possible. If you're a small startup, your scrappy structure might let you pivot on a dime. A huge, established company? Not so much.
• Continuous evaluation is key, though. Are your teams set up right to tackle your goals? Is the tech actually helping, or just getting in the way? Don't be afraid to tweak things as you go.
• Take healthcare, for example. A hospital might want to implement a new telemedicine strategy to reach more patients. But, like, if their IT infrastructure is ancient, they'll need to upgrade that before they can really roll out the new strategy effectively.

Agile methodologies can help companies change their structures to changing strategic needs.

What's next, you ask? We'll dive into how agile and flexible structures can help you keep that balance.

Conclusion: A Dynamic Relationship

Okay, so we've been going back and forth, right? Strategy then structure, structure kinda boxing in strategy–it's a push and pull. The real world isn't some neat textbook, is it?

• The big takeaway? It's not about picking a side, strategy or structure. It's more of a continuous feedback loop. What you want to do (strategy) shapes how you do it (structure), but then, that structure? It turns around and influences what's even possible.
• Keep your eyes open, though. Is your team setup even helping you hit your goals? Is that shiny new tech a lifesaver, or just another headache? Don't be afraid to shake things up.

So, you're a brand manager or a cmo, huh? Here's a nugget: don't get stuck in concrete. Be ready to rethink your org chart or tech stack if your strategy's shifting. And listen to people below you; sometimes they know the structural roadblocks better than you do. It's about being agile, not just saying you are.

It's like that old saying, "the only constant is change," ain't it?

Adapting your structure to match your strategic needs is a must.

Now, let's wrap things up with a final thought on how to keep this whole thing dynamic.

Actionable Steps for Brand Managers and CMOs

Alright, so you're at the finish line, huh? Time to get practical, not just philosophical.

• First, do a structural audit. Like, really dig into it. Is your org chart helping or hindering?
• Set clear strategic goals – whatcha really trying to achieve? No vague aspirations, people.
• Experimentation is key. Gotta try new configurations, team setups, tech, even if it feels weird.
• Listen to your team. They're the ones bumping into the roadblocks every day, trust me.

Think of it like tuning an instrument, not building a skyscraper. You're never really done, ya know?