This essay has been submitted by a student. This is not an example of the work written by our professional essay writers.
In strategic change management a dynamic capabilities framework is capable of analysing the sources of wealth creation and capturing the private enterprise, operating in the environment of rapid technology change. Within an organization it is a fundamental process. The competitor advantage of an organization is actually the coordinating force. Taking into account new business stands and market demands, an organization has to frame strategic change management. The asset position of an organization for example organization's portfolio of difficult to trade knowledge asset. We need to evaluate the path of evolution it has inherited. The dependencies need to be simplified where the conditions of increasing returns on strategy. The ease of replicability and stability of market demands affect the strategic change management directly. The imitability by the other competitor is second important factor in this regard. The framework proposes that the private wealth creation in the regime of fast technological change depends in vast measure on honing internal technological, organizational and managerial processes inside the cooperation. By identifying available opportunities and organising successfully and efficiently to accept them or mostly more fundamental to private wealth creation, creation than to strategize it. Through dynamic strategy an organization can keep other competitors off balance and exclude the new entrants.
The process of strategic change claims an active and sincere contribution of the stakeholders in an organization. Without any support of stakeholders, no option of change can work. If they are to have a sense of ownership they need to have an opportunity of contribution for the development of change strategy. So the consensus regarding change within an organization can be built through proper communication, input and feedback. A responsible and sensible strategic change plan definitely plays a crucial role in development and progress of an organization.
PERSPECTIVE OF ORGANIZATION
Brixton food has been working for the past 10 years in 29 electric avenue, Brixton market London. It sells food commodities for example sugar, rice, bakery products, milk products, vegetables and various kind of meat. Fortunately I have been able to avail a chance to work here for six months. Thus I had a chance of observing the business status of the organization. Having worked in different sections of the organization with senior staff, I have collected a sufficient data and information and to ply it on changed strategy more successfully. During past 80 years several other competitors have set their work in the same market, selling the same products what has been affecting the sales of Brixton food consistently. So to meet the current situation, it is inevitable to replace the existing strategy with the new strategy addressing all the new challenges of the market.
The main objective of strategic change is to make the organization compete successfully and attract the customers with confidence and satisfaction through providing innovated and renovated services and good quality of products and commodities. And open the new sale points in January 2011 in three other markets.
'Strategic Change Management includes new vision, work, stock management, dynamic contribution of stakeholders, competitive potential, internal communication, consensus on certain model of change or work plan and get over the risks and internal weaknesses of an organization in order to set new targets and goals for the progress of a business fulfilling the demands and expectations of customers and consumers effectively and developing a balanced coordination among all the stakeholders in a beneficial style.'
Strategic change management is discussed defining and explaining the different aspects as follows.
UNDERSTAND THE BAKGROUND OF AN ORGANIZATION FOR STRETEGIC CHANGE MANAGEMENT
What we need to understand and realise before starting work on strategic change is to understand the perspective of organization and the strategies applied in the past years. The critical review of strategies would provide us guidance to develop the new strategy. The background of business of an organization provides a record in the form of data and information, where the different strategies have been working wonders and where they have been failed to meet the challenges and achieve the targets. The performance of staff and of other stakeholders would lead to frame an effective plan for change. The background of organization an organization can provide a dependable raw material for the new strategy so it has a fundamental importance in this regard. The record of stock, products, cost, sales and working hours must be gone through to identify the areas where we need to bring change for better performance of employees and more satisfaction of the consumers and customers.
IMPORTANT ISSUES RELATING TO STRETEGIC CHANGE
An organization has various sections and areas, the work on strategic change claims to identify the areas, not going well, the planners and leadership will be able to frame the issue to be address in the change plan. The areas working well should not be touched because the plenty of issues can't be addressed at the same time, the planning work demands to set priorities and preferences to deal the issues and problems effectively. For example we should mind on the resources of organization first of all because without the resources we are unable to form a change strategy or to implement it. In fact the strategic work has crucial importance within an organization. It has to be performed very carefully keeping all the aspects and factors into account. One wrong or careless decision may spoil the whole strategic world. Regarding issues, the leadership has to take two steps; first to identify the issues and secondly put them in sequence. Orderly, the issues are listed and then the solution is worked out with achievable and feasible manner. The issues are fundamental component of review of an organization's background.
ABILITY TO DEVELOP A CONCENSES ON STRETEGIY FOR CHANGE
The leadership is responsible to convince all stakeholders, internal and external, on the strategic change. It is the basic and vital task to build consensus among stakeholders, investors, debtors and creditors for the active and confident contribution to propagate and implement strategic change. To accomplish this task effective communication serves well. Using communication process information is transmitted to the employees and suppliers. Such communication assist members to achieve individual and organization goal, respond to change and coordinate activities. It holds people together, helps in decision making, knowledge management, developing common mental models and fulfilling social needs. Having built up consensus among the stakeholders through using different techniques a useful technology can be created that is capable of giving significant and desired results.
MODELS OF STRETEGIC CHANGE
Different models for strategic change should be discussed to have guidance and specific direction. In this regard the leadership needs to keep in mind the level of analysis in strategic change and the map of change. Trends of strategic changes at organizational level are important for the new plan of change. Some popular models of change with effective and popular solution are reviewed. Programmatic approaches and change process are debated. The models of leadership governess are derived. The role of board of director and top leadership is critically reviewed. The structure of culture and knowledge in the environment and organizational knowledge based is reviewed.
The choice or selection of model for change is a stage of crucial importance because the whole process and next procedure revolves around the model of change. A proper team work in this regard proves helpful. One thing of vital importance while creating the model for changes the leadership and planners have to be careful about the internal and external factors causing the change in strategy along with the range of an organization. The relevance of models is essential element of the strategic change. Planners should not choose the high and ideal models which have nothing to do the organizational structure, they are working for. Unnecessary details and targets will lead to the failure. Evaluation of strategic models relevance in current economy of an organization is assessed and then compared with the strategic modals thus the relevance is found between the economy of an organization and new modal. If no relevance is traced the strategy will work for the organization. If a plan contains potential to obtain substantial benefits as well as the problem encounter in the planning process then it is relevant. The researchers and practioners should eliminate the irrelevant points from the modal to get it objective and functional. To validate the framework, a research model is developed and empirically validated using data collected from the survey of the planning practices in an organization. The relevance between information, input and planning resources is judged by the results. The relation between the quality of integration and the quality of planning process should be the moderate one. It is a critical issue to ensure organization it in alignment and provide support for the business strategy. Despite this, business strategy and strategic alignment issues are all but ignored in the requirements engineering research literature. The modal should be capable of addressing the business strategy and alignment and its requirement with that strategy directly. The framework of modal should contain three themes of strategy, context and process using a requirement engineering notation for each of theme. Explicit traceability between business process and business strategy should be vivid. The scoop of requirement and problem should be in well-defined form in modal framework. Approaches should be illustrated by applying examples easy to demonstrate and comparison of approaches should be presented.
ASSESS THE VALUE USING STRETEGIC INTERVENTIONS TECHNIQUES
The value of strategic change can be assessed effectively by using the tools and techniques that analyse the business status and overall performance of an organization. We can apply SWOT and STEEP analysis techniques for assessment. These techniques are successfully working in assessing of internal and external factors of the organizational run of business. Application of such techniques enables the leadership of organization gather the key data and information helpful to the dynamic strategy for fruitful change in the business because the techniques involve the core issues of service, presentation, innovation, renovation, qualitative and quantitative research. There is no alternative tool technique for factual and realistic analysis of the business activity of an organization.
EXAMINE THE NEED FOR CHANGE IN ORGANIZATION
Needs and requirements for change are the key factors which cause an organization construct a strategic change plan. For example when we concentrate on customers' satisfaction, we need to know the customer's choice and preference to realise the demands of customers and consumers are the key players who need to be focussed while making a vision mission statement of an organization. Survival, run of business and growth of firm or corporate depends upon customer. If we are able to find or attract customers then an organization has no justification of survival or growth in the market.
Secondly we need to get over internal weaknesses for example servicing the customers. We need efficient and active staff to entire satisfaction of customers. There might be communication problem because the U.K is a multi-cultural state. It is a matter of general observation that a salesman or a service man remains failure to convince and guide the customers due to poor communication in English and French language and resultantly the customers leave the shop without purchasing any item. This is a serious weakness that must be addressed in the strategic change. Thirdly we need to examine the innovation that includes the application of modern technology with improved efficiency visible at the sale point. The attractive lighting system and fastidiousness in the different sections of products the organization sells out. The innovative measures enable an organization preserves the products in a good manner and provides everything fresh and fine form to the customer to avoid any complains or dissatisfaction of customer.
Fourthly if an organization is in the state of decline and business losses then it needs an instant strategy change because the current strategy has almost failed to run the business smoothly and cause the present stage due to its drawbacks and flows. In short, necessity is the mother of invention. The planners should mind on the needs that are demanding change than their strategy would enable them to address the relevant issues of an organization.
ASSESS THE FACTORS DRIVING THE NEED FOR CHANGE
The research and planning regarding the strategic change need to study and assess the factors that are driving the need for change. Unless the identification of such factors any strategic plan cannot prove to be successful. By focusing on factors demanding for strategic change the leadership of an organization is able to find out the sectors and issues upon which the framework will be applied.
Three essential variables regarding consumer's attentions need to be examined:
Convenience characteristic of shopping channels:
Consumers and customers always seek the convenient approach to the shop. Any sort of inconvenience would lead an organization lose the customers. So we need to assess how far we are convenient to the customers regarding our services and products of business.
Product type characteristic:
The types of product an organization sells are also important for the customers. If the product is up to the standard, the customer would like to purchase it and if it is in the form of substandard it will not attract the customer. That is actually qualitative matter which affects the business of an organization strongly.
Price perception of product:
Mostly the costumers take care about the prices of the products. If the perception of a product an organization is selling is so high and undesirable it would definitely repel the customers away. So all factors that are driving the change should be identified well to create a dynamic strategic plan for change.
ASSESS THE RESOURCE IMPLECATATION NOT RESPONDING TO STRETEGIC CHANGE
The process of strategic change claims for more resources than the ordinary situation. If the resources do not support some actions to be undertaken then the leadership should exclude such components of action plan. No organization has unlimited resources to employ on strategic change. The assessment of resource implications give the planners a level of strategic change which is matching with the resources of an organization.
DEVELOP SYSTEMS TO INVOLE STAKEHOLDSRS IN THE PLANNING OF CHANGE
The process of strategic change management involves the contribution of all the stakeholders within an organization. To organize the contribution of suggestions, opineionns, observations and experiences of all stakeholders of an organization. We need to develop an effective system to make it convenient and possible. We can achieve this target through communication at different level of organization. Communication refers to the process by which information is transmitted and understood by the people or group of people. It includes a communicator, an encoder, a message, a medium, a decoder, a receiver, feedback and noise. Effective communication assists members and stakeholders to achieve individual and organizational goals, respond to change and coordinate activities in good manner.
COMMUNICATION WITHIN AN ORGANIZATRION
In order to build a consensus among stakeholders different models of communication are applied are detailed as follow.
Where information and instructions from higher level i.e. leadership or managerial level ,this is called downward communication. This kind of communication includes instructions, memos, procedures and manuals.
Where the direction of communication is upward from the ground or bottom level it the form upward communication. It includes proposals, suggestion boxes, group meetings, workshops and appeals. This type of communication aims at collecting more and more data to strengthen the strategic management. From ordinary workers to directors can give their suggestion through such communication.
It is an exclusive form of communication that does not involve every one. Information's, requests and suggestion are shared and exchanged with the people or employee or stakeholders bearing equal status.
Communication with the people not in hierarches is defined as direct communication. To identify the external factors for change strategy this type of communication works effectively. Especially, the opinion of public on some issue relating the organization can be taken directly.
Exchange of views on certain issues is points of different individuals are a kind of interpersonal communication. In face to face conversation and discussion the views and solutions of certain matters can be collected. Selective listening, value judgment, communication overloads and source credibility are important points in interpersonal communication. The improvement in strategy includes obtaining feedback, congruence of verbal and non-verbal messages, matching listener's frame of reference and asking right questions.
DEVELOP A CHANGE MANAGEMENT STRETEGY WITH STAKEHOLDERS
An important phase of research is to construct an effective strategy for change with an active collaboration of stakeholders. The collaboration of stakeholders provides proper solution in strategy. The leadership is responsible for managing the process to get input from all the stakeholders. Because their suggestion are important and reality based. From the feedback and input of the actors of an organization the planning team can extract useful data and information for a successful change strategy.
EVALUATE THE SYSTEM USED TO INVOLVE THE STAKEHOLDERS
To feedback, monitoring and vigilance the planners are able to evaluate the system employed to involve the stakeholders in a process of change. At any stage or area where the system is not working properly the planners need to resolve the issues for good contribution of stakeholder. The defects in the system could no longer be allowed because the whole planning may fail due to the drawbacks and weaknesses in the system involving the stakeholders in strategic change process of an organization.
PLANNING FOR CHANGE
While planning the modal for change the leadership owes the responsibility to lead and convince stakeholders about the motives, goals and actions of a plan properly. In reply to the question raised by the stakeholders leadership should answer rationally and logically in a realistic manner to satisfy the stakeholders.
CREAT STRETEGY FOR MANAGING RESISTANCE TO CHANGE
While working on strategic change plan leadership may face resisting and hindering elements to the new strategy. To get over the resistances and reluctance the planner should apply his skills and knowledge. Where he finds no way out he should consult other planner and senior leadership of the organization. The causes and roots of resisting elements should be identified than the solution would become possible. Hesitations, imaginary threats, cultural gaps and communication gap include the resisting element to change.
DEVELOP APPROPRIATE MODAL FOR CHANGE
The creation of an appropriate modal for change is the outcome of planning and research ir should be suitable, relevant, achievable and practicable. A strategic modal requiring bigger and bigger human resource and capital would prove difficult to implement because the required source would be hard to be provided.
PLAN TO IMPLEMENT A MODAL OF CHANGE
A modal for change should contain all the essential information and action plan to be implemented. The clarity of every content is basic requirement. The schedule of different actions with time, date and place should be given. Proper sources for example technology, allowances and facilitators should be provided to implement the strategic plan. For the evaluation of efficiency, continuous feedback should be taken.
DEVELOP APPROPRIATE MEASURES TO MONITOR PROGRESS
The last stage of strategic plan is to measure and evaluate the progress of a strategic plan. For this purpose the leadership needs to institute a monitoring team. The authorised members of monitoring team would check the pace of strategic plan and its effects on business and they are duty-bound to give a weekly report to measure the progress of the plan. The monitoring team would consist of two senior managers and three middle managers. The review of report by the leadership wills gauge the progress of strategic change plan.