5 strategies to establish the “right-sized” team

Implementing these strategies will not only optimise your team’s structure and productivity but it’ll also strengthen your company’s financial health and agility in responding to changing market demands.

Re-evaluate organisational structure

When re-evaluating your organisational structure, it’s essential to begin by asking: does the current setup support your strategic goals, or are there bottlenecks preventing progress? Start with a clear understanding of your vision and business objectives, and then assess if your teams are aligned to meet these goals. Are roles and responsibilities distributed to encourage cross-functional collaboration, or are there silos that interfere with or delay information flow?

Consider whether your hierarchy is too rigid or too flat. A traditional top-down structure may slow decision-making and leave managers overburdened, while an overly flat structure can result in a lack of accountability or confusion around decision-making authority. Realigning teams to encourage better communication and more fluid collaboration can significantly boost both productivity and morale. Also, think about emerging roles in technology, data analytics, or customer experience, and how these might fit into your structure to drive innovation and growth.

Takeaway: Align your organisational structure with your vision and objectives. Assess if your teams are collaborating effectively or if a realignment could enhance productivity and outcomes. 

Balance workloads

Unbalanced workloads are a common problem that often go unnoticed until team members are burnt out or disengaged. Regularly review your employees’ work capacity and look for patterns in where the bottlenecks occur. For example, is one department consistently staying late to meet deadlines, while another is consistently light on work?

Implementing a task management system can help visualise these disparities and make it easier to redistribute tasks. It may also help to conduct employee surveys or individual check-ins to get feedback on their workload and any challenges they’re facing. Beyond redistribution, this may also be the time to consider whether you need to upskill or hire additional team members, particularly in fast-growing areas of the business.

Additionally, workload imbalances can be addressed through process improvements—look at whether repetitive tasks can be automated or simplified to free up your team’s time for more strategic work. By ensuring everyone has a manageable workload, you not only improve productivity but also foster better employee wellbeing and retention.

Takeaway: Ultimately your goal is to balance workloads across the team. Identify areas of overload or underutilisation and consider task reallocation, role adjustments, or more significant organisational changes to achieve balance. 

Define clear accountabilities

A lack of clarity in roles can cause significant inefficiencies in your team. Each employee should have a well-defined role that aligns with the company’s goals, and it should be clear how their work contributes to overall success. Ambiguity leads to overlap, where two people might be working on the same task unnecessarily, or to gaps where important tasks fall through the cracks.

Begin by reviewing job descriptions and updating them to reflect current responsibilities. Hold one-on-one meetings with employees to ensure they understand their roles, and use these opportunities to clarify expectations. Consider using key performance indicators (KPIs) to measure outcomes and ensure that each team member is contributing in a meaningful way. It’s also important to foster an environment where employees feel empowered to take ownership of their roles and make decisions without constantly needing approval, which can help reduce bottlenecks.

Takeaway: Ensure every team member understands their key responsibilities and how these contribute to the company’s success. Ambiguity in role definitions can lead to inefficiencies and misdirected efforts.

Enhance system efficiency

In many SMEs, inefficiencies stem not from a lack of effort but from outdated or overly complex processes. Technology can be a game-changer in this regard. By introducing automation, cloud-based collaboration tools, or software to streamline your operations, you can free up your team to focus on higher-value activities.

Start by mapping out your current processes. Identify repetitive, manual tasks that could be automated. For instance, automating payroll, invoicing, or customer support through chatbots can reduce human error and save valuable time. Look at whether your current tools—like project management software, CRM systems, or communication platforms—are the best fit for your team. If your tools are outdated or don’t integrate well with other systems, it may be time for an upgrade.

Process improvement initiatives, such as Lean or Six Sigma methodologies, can also help you eliminate waste and reduce inefficiencies. This isn’t just about cutting costs—it’s about enabling your team to focus on strategic initiatives that drive growth and innovation.

Takeaway: Leverage automation and process improvements to free up your team for higher-value tasks. Streamlining operations can lead to substantial cost savings and set the stage for future growth.

Embrace workforce flexibility

The need for workforce flexibility has never been greater than it is right now. A flexible workforce allows you to scale up or down as needed, avoiding the costs and risks of overstaffing while still ensuring you can meet peak demands.

Consider alternative staffing solutions like outsourcing, hiring contractors, or bringing in casual staff during busier periods. These options give you the ability to match staffing levels to the ebb and flow of work without the overhead of permanent hires. Additionally, offering flexible work arrangements—such as remote work or flexible hours—can help you attract and retain talent, particularly in tight labour markets like New Zealand.

Workforce flexibility isn’t just about temporary solutions. It’s about designing a model that allows your business to adapt as market conditions change. Evaluate your staffing model regularly and be open to creating hybrid roles or part-time positions where it makes sense. This allows you to maintain agility and keeps your business resilient in the face of uncertainty.

Takeaway: Recognise the ebb and flow of work volume and adapt your staffing accordingly. Exploring outsourcing, contracting, and casual staffing options can offer more cost-effective solutions and provide the flexibility to scale workforce size as needed.