Organizational transformation for today’s leaders Strategy: A key element in Organizational Transformation

“A strategy is something you can touch; you can motivate people with; be number one and number two in every business. You can energize people around the message” – Jack Welch


There are two parts to basic strategy:      business  and organizational. Let's see why they differ and why it is important to recognize their roles.


Business strategy


A set of conscious strategic choices that seeks to achieve explicit results to fulfill marketplace needs and external demands. It identifies the purpose, direction and market position of the organization.

Good business strategy includes product/service development plans, differentiation from competitors and core competencies of the business. It should provide direction and guidance for the execution of all practices and decisions pertaining to the business model.


Organizational Strategy


Described as the character or voice of the organization. Explains who the business is, their motivation for existing, and how they wish to conduct business.


This includes the mission and vision statements, guiding principles and management philosophies. Good strategies inspire employees to do their best work and serve as a reminder to why the organization is committed to what they do.


Where are we?


Think about the difference between these two types of strategies. Does your organization makesa distinction between them? What can you do to clearly define and develop each type of strategy?


This evaluation is crucial to the transformation process. Assess the current of your institution from a both a business and organizational perspective. In what direction are you currently focusing business practices? Does your vision and mission statements reflect your organizational culture? Do both strategies work together or are they in opposition?


Engaging Employees


Think about how you can involve ­employees in the assessment process to ensure they understand both the heart and heart plan behind your organization. If your employees fully understand business and organizational strategies, they will begin to see how their individual contributions play into the success of the entire business.


This will increase performance levels and employee moral. It also allows those who work day-to-day at the root of your organization to offer solution or point out areas in which these strategies are not successful.


“Gaining quantum leaps in performance requires rethinking the way work gets done. Instead of creating a structure around functions or department build the company around its core process,” The Horizontal Corporation said regarding maximizing performance and efficiency.


This is the basis of the Transformation Model. In order to achieve these objectives, organizations must reevaluate their current business and organizational strategies. Ensuring the two work together in favor of the business and involving employees in the process will increase performance and overall success.



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