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Rule #2: Build an Effective Organization

Installment #2 in my Top 10 Rules for Success in the Software Industry.

Rule #2: Build an effective organization.  Like Rule #1, this one sounds deceptively simple.  Too many businesses, though, have broken organizations, and suffer because of it.  Sometimes those organizations were designed incorrectly to begin with.  More often than not, though, theyve just worn out.   By that I mean that the conditions that caused the organization to be created in the first place have changed, and the company hasnt evolved its organizational model to match.  In my experience, most organizations are worn out within 18 to 24 months of their original design.  Thats because, if youre planning properly (see Rule #1), youre planning on a three year horizon, but you can really only see clearly for 12 to 18 months down the road.

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