Ch 19: Continuous Change Flashcards
Finish the sentence. Continuous change Interventions go beyond change interventions into….
nonstop process of strategizing, designing, and implementing.
What is the focus of CC?
addressing the underlying structures, processes, and activities for generating new forms of competitive advantage.
Learning, changing, and adapting
What is Dynamic Strategy Making
An intervention that combines human focus in relationships among org. members with strategic management’s emphasis on strategy and org strategy to help org make strategic change
What are the 6 key elements in the dynamic strategic making?
Speed over delay
Breath over narrowness
Flexibility over rigidity
Empowerment over autocracy
Simplicity over complexity
Unity over Fragmentation
Describe the conceptual framework for the dynamic strategy System
Dynamic and Complex Environments
Strategic System: Strategic Direction Statement and Strategy Process
Evolving Resources and Capabilities
What is the strategic direction statement?
The primary outcome of the situational assessment
Concretizes the Strategic information about the organization and environment and permits revision.
What are the 4 elements of the Strategic Direction
Competitive Logic: Value Proposition that connects the firm’s capabilities to market opportunities
It also includes statements on the organization’s market position(the best one has a unique value) and customer tiebreaker(differentiators that attract and retain customers)
Goals: Unifying target achievement. You need financial goals(direct effort ad measure progress) and single rallying goals(motivates workforce to embrace strategy)
Organization: formal organization design(that we make up/choose) that aligns work, structure, HR practices, and management to the competitive logic and goals.
Action Plan: Describes the initiatives and specific steps required to implement the strategy, and ensue everyone’s daily behavior reflects the strategy.
-Set priorities and what needs to happen over a specific time
-Typically organized around 4-6 broad initiatives that take their cue directly from the other 3 elements
-Each initiative usually requires three or four specific steps to cause implementation.
What is the strategic Process
Has to do with the who and the how of developing the statement and implementing it
Involves identifying the relevant stakeholders who should be directly involved in startegy-making process and engaging them in a highly interactive set of conversations and debates about the organization’s strategic and how to move forward
Application Stages for Dynamic strategy
Choose relevant stakeholders
Hold first Retreat: create an initial draft of the statement of strategic direction, especially the competitive logic and goal elements
Interact with stakeholders between first and second retreat: senior managers reflect on their work and perform reality tests on the validity of assumptions in the statement
Hold the second retreat: review feedback, finalize the competitive logic and goal statements, and complete statement of strategic direction
What are self-designing organisations?
Orgs with Built-in capacity to transform continually and to achieve high levels of performance.
Who developed it?
Moheman and Cummings
What does self-designing organisations involve?
It involves cycles of diagnosing, designing, and implementing activities that managers and employees at all levels of the firm can carry out.
Application stages for self-designing organisations
( note: this typically has a design team-top management or cross-functional/cross-level group of informal leaders, high potential managers and select employees)
- Clarify strategy:This stage clarifies the organization’s strategic objectives, translates the strategy into descriptions of breadth, aggressiveness, and differentiation, and explains how they are changing.
- Laying the Foundation: This stage provides the design team with the basic knowledge and information needed to get large-scale change started.
A. Valuing: determining the beliefs and values that will guide the change process
( like maintaining employee engagement )
B. Acquiring knowledge : getting into on how org functions, about organizing principles for achieving high performance and about the self-designing process
C. Diagnosing: diagnosing the current organization to determine what needs to be changed to enact the strategy and values.
- Creating design criteria: the design team develops the principles and standards that will guide the new organization design. More concreete- but do not specify particular solutions. Shows what needs to be done to achieve strategy, capabilities needed,and hor org must operate
Eg. Facilitate fast reaction to market changes. - Designing: the design team generates alternative organization designs and innovations to reflect the strategy, values, and design criteria.
- Design team describes org design components in a broad way.
- Then design process addressed the specific details on org design comp. and involves generating alternatives and making specific design choices
-Results in overall design for ogr, detailed design for design components, and preliminary implementation plans of how well everything will fit together
- Implementing and assessing: making the new design happen by putting into place the new structures, practices, and systems.
Information about how well implementation is progressing and how well the new organizational design is working is collected and used to clarify design and implementation issues and to make necessary adjustments.
Features active learning
Note too that this is a cycle; it loops around
What are learning organizations?
Helping orgs. develop and use knowledge to change and improve themselves constantly.
(This intervention used knowledge; self-design focuses on org design)
T/F OL can be a
a source
of strategic renewal, and it can enable organizations to acquire and apply knowledge
more quickly and effectively than competitors, thus establishing a potentially long-term
competitive advantage
