CENTRALIZED OR DECENTRALIZED ORGANIZATION
The establishment of a BACC can be carried out by creating a new, formal organizational entity. It can be created, too, by establishing it as a virtual organization, as illustrated in Exhibit 7.4. On the left-hand side of the exhibit, a BACC is shown as an organizational support function, which indicates that the BACC is given a strategic role in its work. On the right-hand side of the exhibit, a BACC is established as a virtual
Exhibit 7.3 Competency Areas and Types of Tasks in a BACC
Exhibit 7.4 BACC as a Formal Organizational Unit or a Virtual Organizational Unit
function. This indicates that the department to a lesser extent is given a strategic role and to a greater extent has been created as an analytical forum to facilitate synergies, and that the focus is on strengthening the BA function at an operational level. This interpretation, however, is not without exceptions. Small or medium businesses, for example, are more likely to make use of virtual departments or "work teams," as they are often called in this context. These work teams will naturally contain members with a strategic focus, which ensures coordination between BA and strategy. In large organizations, a BACC can easily be created without involving people with strategic focus, and in these cases, the BACC can become a purely operational entity.
As previously illustrated, the way in which we establish our BACC is not of vital importance. It's a question of the organization's ambitions for the BACC. As always, we have to ask ourselves the key question: What are we trying to achieve with this change? In this case, the answer will be along the lines of either more strategic focus or simply an increase in performance.