Two Models Of Strategic Change Management Commerce Essay Example
Two Models Of Strategic Change Management Commerce Essay Example

Two Models Of Strategic Change Management Commerce Essay Example

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  • Pages: 7 (1918 words)
  • Published: July 18, 2017
  • Type: Case Study
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The text discusses the importance and approaches of strategic change in organizations. It emphasizes that organizations need to adapt and change over time to meet new demands and processes. Strategic change involves reorienting an organization's resources, including human and physical assets, products, services, and structure. This helps organizations maintain or enhance their competitive position, achieve growth and stability. The responsibility of bringing about change lies with the directors of an organization. There are various theories and models for strategic change management that directors can use to support their organization's needs (Pasmore, 1994).However, researchers have developed models to enhance the thinking abilities of directors and provide them with a direction. In a literature review, Sadler and Craig (2003) argue that defining a complex concept like strategy in a few words would be unfair. Strategy can be explained through various phrases

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, such as the purpose or mission, policies, decision making, implementation of decisions, analysis and utilization of strengths and opportunities, and gaining competitive advantage. Ultimately, strategy is the path taken to achieve major objectives (Brown and Harvey, 2006). According to Tichy (1983), strategic alteration refers to the alteration in an organization's structure, resources, products, and services. Given the discontinuous and large-scale changes that the world is facing, organizations will need to undergo significant strategic reorientations (Tichy , 1983). There are various reasons for organizations to bring about strategic change , including technological advancements and increased market competition (Brown and Harvey , 2006). When implementing strategic change in an organization , it is crucial to consider the organization's culture , which encompasses its priorities and values (Brown and Harvey , 2006). The main reason for most strategic changes

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failing is the inability of organizations to manage change itself (Hyde,n.d.). In this paper's introduction section,it emphasizes that strategic change cannot be explained or executed through a single standard model .There can be numerous models for organizations worldwide, with some well-known ones existing. This section will discuss three of these models: the CBA Model of Strategic Change, proposed by Black and Gregersen (2002). The model is based on the concepts of Conceive, Believe, and Achieve. These dimensions are considered key barriers to implementing organizational change. Conceiving involves making employees recognize the value of the idea and understand the need to replace existing practices. Believing in the change is crucial as employees must have faith in the chosen approach for implementation and believe they are doing things correctly. Achieving refers to employees' sense of accomplishment after successfully implementing strategic change, marking the end point of transformation. Leadership connects all these aspects together and promotes further endeavors.The CBA model, proposed by Black and Gregersen (2002), asserts that effective strategic change requires proper employee training, support, and education. According to this model, executives must also act as change champions in order to ensure employee commitment. In contrast, Fogg (1994) prioritizes teamwork over leadership in his model for strategic change. This team-based approach emphasizes key factors such as securing the future, creating a roadmap, setting priorities, optimizing resource allocation, seeking input and ideas, gaining commitment from employees, and organizing execution. However, the central element of this model is collaboration and understanding among team members. It should be noted that there are countless models for successful strategic change beyond those discussed in this paper due to the extensive history of

strategic management. Nevertheless, certain elements necessary for successful strategic change can be identified.One crucial aspect is understanding an organization's culture – defined by Brown and Harvey (2006) as the shared values held by its members that differentiate it from other organizations.They further state that organizational culture has the following characteristics:
- Individual liberty
- Sensitivity to the needs of customers
- Support
- Interest in developing and implementing new ideas
- Openness of communication
- Risk management

Understanding the culture is crucial because it is the employees who shape and define it. Furthermore, it is the employees who must embrace and implement the change. Without the participation and belief of all employees, significant strategic change cannot be achieved. Any investment made in such circumstances would be purposeless.

Balogun (2010) emphasizes that the civilization of an organization consists of interconnected subsystems that drive the visible aspects of culture, such as symbols, routines, rituals, stories, control systems, and structures. These assumptions and rituals determine the type of change being implemented in the organization. Therefore, altering these fundamentals will result in a transformational change. However, keeping the culture relatively unchanged while implementing change is known as realignment change (Balogun, 2010).

Planning the Change

Since the strategic change being introduced to the company will impact its future stability and growth, it is crucial to allocate sufficient time to carefully plan every aspect of the change. This involves smoothing out any challenges through expert implementation or incorporation of policies.According to Fogg (1994), successful strategic change requires a tailored planning approach based on the organization's size, complexity, culture, and strategic situation. The planning process will differ depending on whether a company

is facing financial and competitive crises or aiming for expansion. Fogg (1994) suggests that the planning process involves three stages: pre-work evaluation, priority setting, strategic planning, and post-work evaluation.

During the pre-work stage, departments assess the current situation by evaluating strengths, weaknesses, opportunities, and threats. In the priority setting stage, proposals regarding finances, environment, market, customers, and overall reputation are discussed to determine change priorities. The strategic planning stage involves discussing strategies, action plans, resources,and communication methods for implementing change.Finally,the completed plans undergo evaluation in the post-work stage.

Hitt,Ireland,and Hoskisson(2009) suggest that executives who overestimate their ability to make no mistakes are more likely to make strategic errors.Therefore,it is vital for managers and executives to work as a team when implementing major structural changes in an organization.To ensure open communication with employees who possess valuable firsthand knowledge of the organization's work,integrating them into a bigger picture can lead to successful strategic change.Teams can also be divided into different divisions. Hitt, Ireland and Hoskisson (2009) mention that organizations with diverse top management teams tend to perform better. Executives from various educational and experiential backgrounds can hold different positions within a company. Working as a team requires a leader who plays a crucial role in uniting and guiding individuals. The leader is like the central figure, someone to whom people can bring their ideas and tasks. Without a leader, the organization may become chaotic, resembling a cooking show where everyone is preparing their own dish, resulting in a spoiled main course. Thus, it is essential for someone to take charge and host the show.

Evaluation is necessary once the change strategy has been implemented. Hyde (n.d.) suggests that changes in

employee behavior or shifts in organizational culture are only visible after implementation. Therefore, after completing the execution of the plans, top management should conduct a thorough evaluation of the transformed organization. This step is crucial for several reasons. Firstly, it allows for an assessment of whether the results align with the proposed changes.

Punjab University (PU), established in 1882 in Lahore by the British, holds significance as it is the first university in Asian Sub-continent.This institution has produced notable individuals such as Dr.Iqbal Mohan Singh Seehra who invented new chemical compounds during his time at PUAbdus Salam and Har Gobind Korana are notable figures in the history of Punjab University, located in Lahore, Pakistan. This educational institution has a rich history and remains significant today. It is affiliated with over 500 colleges and conducts numerous examinations for a large student population of more than 450,000 (Punjab University, 2010). Despite the emergence of new universities in Pakistan, Punjab University maintains its reputable position in the field of education. However, it is important to acknowledge that Islamic Jamiat-e-tulaba, a student organization promoting conservative Islamic views, has exerted influence on the university. Many members of this organization are graduates who prolong their stay in campus hostels to maintain their power. Funding primarily comes from members and financial support is also obtained from Vice Chancellors. Consequently, Punjab University's overall atmosphere has become more conservative. Additionally, it is no longer considered the top choice for students residing in Lahore and is often ranked as the third or fourth option. This sentiment is even lower among students from outside Lahore. Notably, many professors teaching at renowned universities like LUMS, LSE, IBA began

their careers at Punjab University (Punjab University).However, differences in salary structure and the overall atmosphere at Punjab University have led to changes. Talented professors and promising students are now choosing other universities, causing a decrease in the budget for infrastructure and technology. As a result, Punjab University's reputation and educational abilities have been affected. Despite having campuses nationwide and a larger area, Punjab University has been surpassed by well-managed universities in terms of organization, administration, educational capabilities, and investment. To restore its fame and respect from the twentieth century, Punjab University needs a well-managed strategic change. This change would involve increasing the budget as it is necessary for any organizational transformation. The surplus funds should be used to restore classrooms, research labs, libraries, and hire new professors. Additionally, these funds can be utilized to refurbish accommodations for students from outside Lahore. The goal is to reduce the influence of Islamic Jamiat student body due to their association with acts of terrorism. Their monitoring of un-Islamic activities on campus and aggressive punishments have made parents hesitant about sending their children to such an environment.Consequently, there has been a decrease in the number of exceptional students enrolling at Punjab University (PU), particularly those who have completed their Oxygen and A levels instead of the government matriculation program. One contributing factor to this decline is the strong influence of a strict Islamic organization. In order to address this issue, PU's management should strategically loosen their control on this union. Despite providing quality education, PU's reputation largely relies on effective marketing efforts. As PU essentially sells education and a memorable university life experience, it should place strong emphasis on

marketing initiatives. Although this may require initial investment, the results would be remarkable.

The text suggests that Punjab University can assist individuals who are seeking refuge from conservative and strict environments. Moreover, students would perceive PU as an excellent choice for their future endeavors. To achieve these goals, the board of managers can devise strategic plans for change implementation. Additionally, selecting one student representative from each department allows stakeholders -the students- to actively participate in the Strategic Change process by presenting ideas, needs, and existing problems. Furthermore, to further enhance stakeholder involvement in the change process, a faculty member can be chosen from each campus to represent specific campus or department issues.

In conclusion, organizations must evolve and grow over timeIn the past two decades, Pakistan has undergone significant social changes, necessitating growth and adaptation in organizations within the country. Punjab University is a well-known institution in Pakistan; however, it appears that its social development has not kept pace with these changes. While there have been some educational advancements such as the establishment of computer labs, more efforts are required. Students come to university not only for education but also to embrace a full life before entering the practical world. Given the vulnerable age of university entrants, it becomes vital to provide them with memorable experiences through sports, social events, and seminars. This will help prevent feelings of missing out on what other students are experiencing at different universities. Consequently, PU should strategically modify its approach by reducing dependence on Islamic brotherhood connections, investing in infrastructure enhancements, and focusing on marketing endeavors.

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