Arthur D. LittleArthur D. Little

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The Headquarters Redesign

The Headquarters Redesign

A New Paradigm for Corporate Governance in Turbulent Times

For a long time, steering a corporation from its head offices was like a long-distance drive on a straight and broad highway: a smooth and comfortable ride – no sharp turns, constant speed and high reliability. For most corporations, the global economic crisis in 2009 changed this driving mode to “off-road”. Today we frequently need radical turns to steer the corporation in the right direction. The role and effectiveness of a corporate headquarters become more important to mastering megatrends as well as industry specific changes. This development affects whole industries.

In this Viewpoint, Arthur D. Little portrays a new governance paradigm and a lean head office set-up that adds significant value to the organization. We have to focus on the governance methodology. There are four levers that we have been using successfully to improve governance. Such an exercise touches habits, roles, responsibilities, traditional workflows and beliefs. It can be extremely effective – replacing frustrations with ineffective headquarters with pride in a truly agile organization that steers well.

Released: April 2014

Download File S_O_2014_HeadquartersRedesign.pdf (.PDF, 635 Kb)

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