Strategic Change in the Contemporary Business World

In the contemporary business world only thing thatchange; however, one facet of the process that has
seems to be constant is change and the nature of theemerged in recent times of increasing globalisation is
competition is such that companies need to leveragethat of organisational culture (Papers4you.com, 2006).
on the way they manage change to gain aThe role of cultural awareness has become rather
competitive advantage. Moreover, the types ofsignificant, be it international mergers, acquisitions or just
changes the companies experience vary in nature asinternal business process changes. There has been a
well, for instance, as industries consolidate, there arebarrage of literature detailing the ways of diagnosing
increasing number of mergers and acquisitions, thecultural changes and assessing cultural risk in managing
pressures on organisation to compete in a more globalchange and aligning strategy and culture with the
arena are leading to different competitive pressuresintended change. Along with managing cultural diversity
and more strategic alliances (Papers4you.com, 2006).during change processes, it has become a standard
Furthermore, rapid technological changes are forcingpractice for organisations to publish its core values
organisations to embrace new technologies anddefining its organisational culture along with its mission
change the way they work and interface withstatements on their websites and financial statements.
suppliers and customers (Balogun and Hailey, 2004).Be it the construction industry or an Aerospace
However, the phenomenon is not new and has seen aorganisation strategic change is attracting an increased
series of management fads like cultural changeattention from the management. Especially the extent
programmes, total quality management, businessof involvement of the people and stakeholders in the
process re-engineering etc. Unfortunately most of theprocess of strategic has been under a constant
change programs launched within the organisations aredebate. There are organisations like the Brazilian
below par, evident in the figure of around 70% failureSemco, where people decide their own targets and
(Balogun and Hailey, 2004). Hence, strategic change ismanagers their own salaries, which has redefined
becoming a highly sought after managerialstrategic change and involvement of people (Crainer,
competence.1999). The bottom line is that strategic management
Moreover, the change management process is highlyhas many facets and is developing into an area which
complicated and there is no fixed norm that could bewill receive a lot of management attention.
followed. However, like most other areas inReferences
management experts have proposed models forBalogun, J and Hailey. (2004). 'Exploring Strategic
organisational change vis-à-vis Lewin's modelchange'. Prentice Hall, London.
of change, the planning model, the action researchCrainer, S. (1999). '75 Greatest Management Decisions
model and the integrative planning model (Harigopal,Ever Made'. Amacom, NY.
2006). These models cover various aspects of theHarigopal, K. (2006). 'Managing organisational change'.
change management process enabling planned2nd Ed. Response Books, New Delhi.