Centralise or decentralise? Find the middle ground
Jinfo Blog

By Sarah Dillingham

Abstract

Centralise or decentralise: the eternal dance. In a previous article, I explored two models for information teams – a centralised support team and individuals sitting within a particular business area (practice). This post talks about a hybrid model and the variations around offshoring and champion networks.

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In my previous article, Centralise or decentralise: the eternal dance ..., I laid out the two predominant models for information work within a mid to large organisation – a centralised support function or a information professional embedded within a business unit. Organisations have a tendency to swing between these two models; a decision that is often cost driven. As a result of this toing and froing, the reality sits somewhere in the middle, either deliberately or from a long process of evolution.

The hybrid model – best of both worlds?

The reality for most organisations is a hybrid model with information staff hard line reporting to a central information function, with a dotted line to their business unit/practice. The information professional will sit with the practice, and strive to build extremely close relationships with practitioners, whilst maintaining the objectivity of an internal client relationship.

This model is often seen as the best of both worlds. The information professional knows their practice and represents what they need centrally, is working at the top of the value chain and is highly valued, whilst clearly aligned to the strategic objectives of any organisation-wide programmes. This is the holy grail of structuring an information team, but it is achievable with clear leadership vision and talented individuals.

Where this model can fall down is when it has evolved organically and is unrecognised formally. The information professionals need to have clarity around how they work together and how best to serve their practices. Strong leadership and management are necessary.

Champions

Another variation involves champions. Champions are client-facing staff who give up a percentage of their time to an internal activity. They will usually assign 5-10 hours a month to this role. Acting as a KM/information/technology/collaboration champion offers excellent networking opportunities and demonstrates that the individual is committed to the organisation.

Information professionals usually lead these champion networks and are responsible for working with champions as an effective two way communication channel into the business. It’s a great way to get some deep understanding of a practice without losing sight of overarching strategic objectives.

Offshoring

Many larger global organisations now work with offshore teams. Offshore teams operate very much like the centralised model described in “Centralise of decentralise? The eternal dance ...” [link back to it]. The business is the customer and the offshore team makes efficient use of a pool of staff to provide services. Offshoring usually takes place in order to drive down costs, but if it is not done sensibly it can be a false economy. While the balance sheet might look good, hidden costs around time taken for quality assurance activities or ironing out cultural misunderstandings occur daily.

This is not a reflection on the quality of the staff working in offshore teams, who are highly qualified and extremely professional. Rather it is the consequence of the lack of familiarity between the offshore support function and the business they service; a distance which is greater when cultural working practices vary.

As is often the case, investing time in relationships pays dividends. Offshore teams work best when there is a strong connection with the business, perhaps routed though a point person.

With many offshore services starting to move up the value chain, and increasing pressure to drive down costs, only one thing is certain – information services will continue to evolve in terms of structure and focus.

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