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From Adding AI to AI-Centric Organization Design

Many organizations are currently focused on introducing artificial intelligence into their operations. New tools are being added, pilots are being launched, and use cases are expanding across functions. Yet despite this activity, the overall structure of work often remains largely unchanged. What is beginning to emerge, however, is a different approach. Some organizations are moving beyond adding AI and are starting to redesign work around it. This shift marks a transition toward AI-centric organization design, where workflows, roles, and decision-making are reconfigured with AI as an integral component rather than an external addition.

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Topics: Organization Design, Adaptive Organization Design, Adaptability

Beyond AI Adoption: Designing the Next-Level Organization

By 2027, global digital transformation spending is expected to approach $4 trillion, with AI and generative AI among the primary forces driving that investment. According to McKinsey's 2025 State of AI survey, 78% of organizations already use AI in at least one business function, up from 55% only two years earlier. Similarly, Gartner predicts that within the next two years, 33% of enterprise software applications will incorporate agentic AI capabilities and that 15% of day-to-day business decisions will be made autonomously. More than half of enterprise GenAI models are also expected to become tailored to a specific industry or business function, signaling a shift from generic experimentation to embedded business capabilities.

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Topics: Organization Design, Business Innovation, AI, AI Transformation

Organization Design: What AI Leaders Do Differently

For a long time, AI adoption in organizations largely meant introducing tools such as ChatGPT, Gemini, or Copilot into the workplace. Organizations focused on access, experimentation, governance, and enablement. Individuals integrated AI into parts of their daily work, and companies tried to understand where productivity gains could be realized. In many ways, AI initially entered organizations as an additional layer within existing workflows rather than as a catalyst for broader organizational change.

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Topics: Organization Design, Agentic AI, AI Transformation

Are You Designing for the Future or Quick-Fixing the Status Quo?

There’s a unique kind of excitement at the start of a new client engagement.

Nothing is fully defined yet. No fixed endpoint. No pre-set results. 

Just a shared understanding that what lies ahead will require everyone—across levels, teams, and functions—to step into unfamiliar territory. That’s where meaningful design work and change leadership can unfold. This moment also feels powerful because of a crucial early win. If an organization is ready to explore new avenues and move toward a more collaborative rather than top-down approach, a critical shift has already occurred. A willingness to question existing assumptions, involve multiple levels, and step away from predefined answers signals that the organization is not just reacting—it is ready to rethink how it operates at a deeper level.  And yet, even in these moments of openness, something else is at play.

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Topics: Organization Design, Adaptive Organization Design, Adaptability

The Biggest Traps in Organizational Redesigns

Operating model innovation and organizational redesign are often approached as if success depends on getting everything right the first time. Leadership teams invest significant time analyzing structures, benchmarking competitors, redesigning reporting lines, and aligning job descriptions and compensation frameworks. The expectation is often that the “right design” will solve long-standing challenges and unlock a new performance phase. 

 

In practice, successful redesigns rarely unfold this way.

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Topics: Organization Design, Adaptive Organization Design, Adaptability

Navigating Investor Relations During Reorganizations

When an established, mid-sized company reaches the point of reorganization, leadership is rarely operating from a position of calm clarity. Pressures tend to converge from multiple directions. First, legacy structures begin to strain under rising demands for growth and performance. Second, competitive intensity increases, and internal friction becomes more visible. Third, the CEO must answer to the board and investors — stakeholders who often arrive with predefined assumptions about which structural adjustments will deliver fast and efficient results.

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Topics: Organization Design, Adaptive Organization Design, Investor Relations

What a Good Organization Design Can Do for You – and What Not

Organization design is often approached with a sense of anticipation. New structures are drawn, roles clarified, operating models updated—and suddenly collaboration, engagement, and performance are expected to improve. Sometimes they do. Often, the picture is mixed—progress in some areas, persistent friction in others. Not because organization design lacks power, but because its role is misunderstood.

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Topics: Business Transformation, Organization Design, Adaptive Organization Design, OrgDesign

Organization Design for Competition and Disruption Readiness

This week’s DeepSeek incident sent shockwaves through global markets wiping out over 1 trillion in market value in a single day. The Chinese AI startup’s sudden rise—offering an alternative to existing AI models—led to a steep selloff in major tech stocks, including a historic $593 billion drop in Nvidia’s market cap alone. While this sounds like a once in a life-time event, the reality is: It's part of a very normal "faster, cheaper, better" innovation cylce. The sheer speed of brutal competition and disruption raises an essential question: Is your organization designed to embrace competition and stay ahead of disruption?

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Topics: Organization Design, Business Innovation, disruptive change, Disruptive Innovation, Adaptability, OrgDesign

Zombie Structures: Legacy Challenges in Organizational Transformations

When organizations transition to flatter structures, they often aspire to empower teams, foster collaboration, and enable agile decision-making. Yet, one of the most common challenges we encounter when we are being called into an organization is the persistence of "zombie structures." These are legacy habits, processes, and behaviors that refuse to stay buried, undermining the transformation effort.

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Topics: Organization Design, Business Innovation, Adaptability, OrgDesign

Happy 2025: Designing Organizations with Purpose

As we welcome 2025, we want to start by wishing everyone a Happy New Year! Reflecting on the past year, we’re deeply grateful for the positive impact we’ve created together with our clients. Now, we look forward to a year filled with adaptive organization design, business model innovations, and business transformation.

 

While the new year naturally brings action-oriented energy, it’s also a valuable opportunity to reflect, plan, and align with the goals that truly matter. What do we want to achieve in 2025? How can our business create meaningful change? And how can we ensure that the transformation we undertake leads to a positive, lasting impact—both within our organizations and beyond?

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Topics: Organization Design, Business Innovation, Adaptability, OrgDesign