Organisational structure and Elliot Jaques' stratified systems theory

Organisational design needs to be in line with capabilities of the individual-inrole.The structure of an organization directly impacts the overall effectiveness andultimately the success of such an organization and the number of layersrequired in any given hierarchy is a product of the organization’s mission(Jaques, 1989).Stratified Systems Theory (Jaques, 1989) defines work in seven strata basedon a basis of decision-making complexity. The research presented hereidentifies a specific organisation’s current level of work based on complexityand the time-span of decision-making.Research was done in one specific geographical region of a companyoperating in the Supply Chain and Logistics industry in South Africa.Qualitative data collection was done by means of interviews with a definedsample group that provided an adequate cross-section of the main functionsof the business, however, the sampling technique used may not provideresults representative of the entire population.iiThe Brunel Institute for Organisation and Social Studies’ (BIOSS) Matrix ofWorking Relationships was used as main basis for reporting results.The research indicates that the organisation is presently, according toJaques Stratified Systems Theory (Jaques, 1989), operating at one levelbelow their intended level that will allow them to effectively meet their longtermstrategic objectives.The report identifies shortcomings in terms of the current capabilities of theindividual-in-role and the actual work requirements, setting a foundation forfurther analysis of individual capabilities for effective organisational design.