Managing strategic change: An integrated approach

This paper sets out to identify and discuss an integrated approach to the management of strategic changes. Managing effectiveness, dealing with organizational cultures and managing organizational politics are discussed, focusing upon how to do so in order to encourage risk-taking, creativity and learning and to build self-esteem and performance. Such an approach allows the achievement of major changes in ways which lead to employees developing a fuller understanding of the nature of the business, its problems and its future.     

New business development in mature firms

New business development (NBD) is one of the main strategic options for the ‘mature’ company. The authors discuss the reasons why NBD should be considered and suggest a framework for developing new businesses. The results of a two year investigation of a sample of 14 UK companies' NBD initiatives are presented. Half of the sample have either abandoned or are reducing their new business activities. The reasons are manifold and relate to a failure to define specifically the role of the NBD initiatives; a lack of appreciation of the risks, long time spans for development and the high financial commitment associated with NBD; a weakening of the mainstream business (this in itself suggesting that companies often leave NBD ‘too late’); and a naive approach toward marketing. Some lessons for mature companies' future involvement in NBD are drawn.     

Managing business portfolios in German companies

This study analyzes the behavior of top managers in managing their firms' business portfolios. A review of the existing literature provides a conceptual framework for a research design combining quantitative and qualitative techniques. Data were collected through interviews with 35 top managers of well-known German business firms and the findings of this study translated into guidelines for managers. The results suggest that successful top managers should be concerned with the social relationships and management processes within the corporate office, as well as with their use of management concepts in managing the business portfolio.     

Managing strategy through business processes

The work presented in this paper, following an in depth review of literature, developed a set of requirements for a Dynamic Strategy Management Process. Having evaluated the existing strategy management frameworks, models, methodologies, tools and techniques, the research concluded that although all approaches reviewed collectively met all the requirements, individually none of the approaches fulfilled all of these requirements. To fulfil these dynamic strategy management process requirements, PROPHESY ( P rocess O riented P erformance H eaded S trategy) was developed. The paper describes in some detail, the evaluation of the PROPHESY process and demonstrates its application through a case study. The paper concludes that strategy should focus on creating value that is independent for each business unit. This means developing horizontal strategies that have objectives of co-ordinating business processes and developing objectives that encourage the sharing of resources and skills.     

Using strategic planning to drive strategic change

This article describes a case history of strategic planning, learning and change within a major division of Dowty plc. At Dowty CASE, a telecommunications company, the management team used strategic planning as a structured learning process to generate strategic change. There are many lessons which academics and practitioners alike can learn from this case of strategic planning and change in action.     

The role of strategic planning in small business

One of the important reasons for the tremendous interest in corporate strategy and strategic planning is that managers realize that a good strategy greatly increases the likelihood of a firm's success. Strategic planning is not the only reason for success, but there have been several studies which show that firms that plan their strategies are more effective. Taking the relationship of strategy and success as given, this paper considers the need to develop strategic planning for small businesses, and summarizes the findings of a recent survey on strategy of small businesses.Sixty-two minority and 58 non-minority small businesses were studied in this survey. A Likert-type questionnaire was used for the study. The survey indicates that the small businessmen fail, cope, and learn in the struggle for survival. Judgment, experience and intuition seem to play a more important role than any well structured technique of strategic planning. The businessmen were found to be ‘growth maniacs’, since growth may be the most tangible manifestation of achievement. The study leads to the conclusion that efforts should be made to improve the planning knowledge of this vital sector of economy.     

Managing strategic change--strategy, culture and action

One of the major problems facing senior executives is that of effecting significant strategic change in their organizations. This paper develops a number of explanatory frameworks which address the links between the development of strategy in organizations, dimensions of corporate culture and managerial action. In considering such linkages, and by illustrating them with examples from work undertaken in companies, the paper also seeks to advance our understanding of the problems and means of managing strategic change.     

Managing green productivity: Some strategic directions

The twentieth century has been the hallmark for managing total productivity, where the emphasis is towards maximization of outputs commensurate with the consumption of inputs. This is being challenged now to evolve the world class manufacturing strategy requiring a paradigm shift. This shift is towards green productivity, which looks forward to socially appropriate production and consumption aiming at value innovation and resource conservation. This paper is an attempt to outline the concepts and experiential learning about green productivity.     

Managing design and designers for strategic renewal

For producers of traditional or high-tech consumer durables seeking to differentiate themselves from their competitors, the role of the product designer is increasingly taking a key role. In fact design and designers can contribute to corporate strategic renewal, and this paper proposes a framework for understanding how this can be achieved. Building on a study of outstanding innovators in product design – names such as Apple, Alessi and Bang & Olufsen – the authors describe design-driven renewal as a four-phase process stimulated and supported by design, combining continuous product innovation with the periodic revision of the strategic course of the company. For each phase, it discusses the specific role of managers and the most common pitfalls that arise from poor management of the process.     

Managing organizational change—A strategic approach

Developing the competence, commitment and capacity for change of people is a vital element in the creation and maintenance of competitive advantage and should be an integral part of the strategic equations and business plans of any firm. This theme, examples of ‘good’ practice, and strategies to implement a strategic approach to people have been explained and developed in a brief case ‘action pack’ produce by the authors of this article for the MSC and NEDO. Key factors identified in the development of the three ‘C’s are effective leadership, involvement and good employee communications, stress on performance management, appropriate reward systems and training and development.     

Reconsidering ordinary and dynamic capabilities in strategic change

Dynamic capabilities research explains the ability of firms to respond to dynamic environments by reconfiguring inert and insufficiently flexible ordinary capabilities. However, more recent research ascribes the routines that constitute ordinary capabilities the ability to evolve endogenously. This study aims to develop dynamic capability research by increasing our understanding of the relations between and the roles played by ordinary and dynamic capabilities in producing purposeful responses to environmental dynamism. Drawing on longitudinal, qualitative data, we show how ordinary capabilities make important contributions to organizational responses to dynamic environments. Our findings pose challenges to key assumptions of extant dynamic capabilities research and allow us to explicate new roles for ordinary and dynamic capabilities, thus advancing the understanding of the relation between dynamic and ordinary capabilities and advancing understanding of one of the central issues in dynamic capabilities research: firms’ capacity to respond to changing environments.     

Business innovation through strategic community creation: a case study of multimedia business field in Japan

For the last few years, the video conferencing system market represented by multimedia technology has enjoyed strong growth in Japan. Behind the recent upturn in this market was the strategic alliance of NTT, Japan’s largest telecommunications carrier, and PictureTel of the US, followed by the birth of business communities centered around or outside NTT, thus intensively creating and boosting a new market referred to as interactive video communication. This case study reviews the challenges that faced NTT, one of the big businesses in Japan, followed by PictureTel and other players within and outside NTT, all of which were lined up to create various strategic business communities. The article gives careful consideration to the measures taken by these players who achieved success in such a way as to alter employee consciousness, vitalize organizational morale, entrench the new NTT “Phoenix” brand (video conferencing system) in the Japanese market, and create an emergent new video conferencing market.     

Globalization and cultural change in international business research

The four articles in this special issue invite the reader to reflect on the impact of global business on values, ideas, and ethics around the world. In this comment, I advance four arguments that question assumptions regarding the impact of global business on culture. First, national cultures are not homogeneous and the impact of globalization on heterogeneous cultures is not easily predicted. Second, culture is not the same as cultural practice. The spread of practice does not equate with the spread of culture. Third, globalization does not represent a rupture with the past but is a continuation of prior trends. Fourth, globalization is only one of many processes involved in cultural change. By questioning these assumptions, we can build on the work of the authors of this special issue in order to develop a more accurate understanding of cultural change around the world.     

Managing relations with government and society—The business perspective

This paper addresses the theme ‘Facing Realities’ which was the subject of the EFMD Dublin Conference. The author believes that the future of democracy depends on the style and quality of management. A narrow and authoritarian view of business management now will ultimately lead to a centralized state bureaucracy. An enlightened and knowledgeable approach by management, designed to secure the voluntary consent of employees, will safeguard the future of democracy.