The big change was not the move from paper memos to computer messages. Oticon realised that the more radical transformation is from written to verbal communication.(11) that adds up to a large number of face-to-face exchanges, a big improvement over memos and the occasional multi-hour sit-down consultation typical of the old culture. People do not send each other memos, they talk. As the CEO puts it, “ We have jumped through the memo wall and gone right to action.”
On the eighth of August 1991 , the company left their old wood-panelled offices .(12) Since then they have cut in half the “ time to market” on new products. The following year, sales and profits grew more than ever before. (13) in fact, despite a downsizing of 15 per cent employee satisfaction is hitting record highs.
Oticon has created an organizational pattern that supports great freedom iof action for individuals and terms. They have tied it together with a minimum hierarchy.
The first clear results to show up were in the greater efficiencies generated by the fact that less time needed to be spent on management activities . (14) they also have some investment in the success of the project they choose. Oticon has succeeded in breaking the mould mould and taking a lead in non-bureaucratic organizational design.
Example :
A This saving was possible because when people have real choice in the nature of their jobs, they commit themselves to being responsible for their areas of choice.
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