The case study under analysis is concentrated on the strategic management development within an organization aimed at benefiting the working staff through their working quality increase. The central issue is dedicated to the identification of cultural change in the sphere of business and its impact on the company’s productiveness. The project described in the case study managed to highlight the basic elements of international strategic planning covering external and internal environmental factors’ impact to be discussed.
The paper is aimed at demonstrating the reader principle steps in strategic management development based on cultural change; besides, the paper will clarify the central problems faced in business through the challenges in the cultural environment.
The most considerable factors and elements to be addressed in the research paper will be dedicated to cultural change restructuring and recommendations to be considered in strategic management; engineering functions and staff training will be also covered. It is important to cover these aspects to be aware of cultural change strategic management and possible threats of interpersonal interactions impacting the professionalism level of qualified specialists.
Cultural change in the business sphere is considered to be an integral part of business ethics policies introduced within the company; the paper will concentrate on management ethics’ role in strategic planning and organization structuring, based on case study analysis.
The problem of cultural change is to be discussed through possible solutions identifications taking into account management policies and training introduced by executives within the business functioning structure.
Introduction
The problem of intercultural management development in the current business sphere is considered to be especially centralized in the process of the company’s internal structuring. The analysis of the case study dedicated to the Scottish Road Network Authority provides a clear exemplification of the new intercultural change methodology and strategic approaches introduced within the company’s management.
The project to be developed at the company mentioned in the cases study is aimed at making international change through strategic planning; the company strived to reduce the road-building costs of the Government Department, and concentrate on the road network planning for the purpose of internal workforce decrease and much stress on cooperation with external suppliers. It is necessary to underline the idea that the project is focused on providing intensive reliance on resources maintenance and external engineering construction strengthening relationships and partnership with external investors and suppliers; this paper will demonstrate the role of business ethics introduction in intercultural management formation through providing central problems faced by organizations simplifying their internal structure by inappropriate cultural change and planning.
Problem Identification
Scottish Road Network Authority has been always characterized through its male-dominated and conservative methods of management; the change in the company’s structure is aimed at providing certain challenges in the Department’s culture being under complete control of Personnel Manager, Elspeth Stevens, and Director General, Henry Irving. It is necessary to underline the fact that the central point in the new project development was aimed at modeling cultural and strategic shift implications based on values and assumptions of the Department staff and management. The second aspect was directed at the thorough examination of the necessary job competencies to be developed in near future; it was important to conduct an appropriate competency and culture audit in accordance with the company’s hierarchy. The results of the research appeared to be contradicting through certain resistance on the part of organizations’ managers. The culture change based on the new project was perceived by the staff through resistance, antipathy, and hidden resentment. (Burton-Jones, n.d.)
The central problem faced by researchers is connected with the managers’ concentration on short-term outputs of the company, rather than long-term project results. This thing is explained by their desire to provide thorough control over construction quality and road engineering; besides, the staff expressed a pragmatic attitude to decision-making and learning processes. The problem solution was concentrated on the engineering functions restructuring; besides, there were provided workshops for the purpose of strategic planning development and improving knowledge sharing. It is necessary to focus on the new staff recruiting in order to assist with the introduced new activities; the perception of the culture change projects can be characterized as destructive one finding no support on the part of the organization’s executives.
For example, in 1994, the company Chrysler strived to provide certain rapid challenges into the culture of the company having terrible press relations and customer service. The depth of the problem was found in social experience and business ethics mistakes. (Zatz, 1994) It should be stressed that the problem is connected with business ethical issues and their inappropriate development in the company’s structuring; the democratic type of the company is concentrated on the particular type of leadership and requires consultative methods of strategic planning development.
Arguments
Culture change in business management is considered to be analyzed as organization’s soul or spirit consisting of shared values and assumptions shaping the behavior of the staff and helping to realize the principle strategies of the company. In most cases the elements of business culture are presented by the leadership representatives forming the concepts of business ethics or ignoring them, the central goal of business leaders are focused on demonstration strong and deep set of forces in order to maintain effective internal and external company’s structuring. The difficulties of appropriate culture expression are connected with the understanding of its basic elements and tactic assumptions driving visible behavior within organization’s internal structure.
In order to understand the central problem which can be faced in the process of culture shift in the sphere of business, it is important to mention the most significant aspects to be taken into account: values, narratives, assumptions, and symbols. The concept of values covers the development process of philosophy as to company’s attitude towards customers, quality, shareholders, working staff and environment. According to Reschke and Aldag, 2000, the concepts of assumptions and narratives are to be dominating within the culture shift development; they are closely related to strategic planning and mission of the organization, besides, these aspects are an integral part of business effectiveness identification and forecast. (Reschke, & Aldag, 2000)
Peter Bregman, 2009, stressed the importance of corporate culture change on the basis of company’s goals and expectations. It is necessary to stress the idea, that the process requires thorough analysis of senior leadership and organization’s priorities emphasis. The basic problem of every business organization structure is artificial strategic democracy, though most executives are focused on oppressing type of running. Bregman managed to stress the most important elements to be outlined in culture change:
- Concentration of story-worthy things representing the new culture expectations;
- Finding new staff performing story-worthy things.
Specialists and managers are to direct their culture shift strategies at philosophy change sponging the elements of correct business ethics development. (Bregman, 2009)
Robert Bundy, 2007, considers that cultural change is created for the purpose of business transaction support. The difficulties of cultural shift are related to leadership emphasis. It should ne mentioned that the establishment of cultural norms makes the leadership be of great importance; a number of organizations clam that the creation of mission and vision of the company is in the hands of the true leader being responsible for making other staff perceive and follow his strategies. Holistic process is considered to be the background of every cultural shift; it is necessary to provide rational problems solutions for the employees to reach understanding of what they are to do. Besides, the process of culture shift is considered to be a long-term step in organization’s restructuring; so, it is necessary to function in accordance with mistakes and achievements made in the past being on the way to business transaction support. (Bundy, 2007)
One of the methods involved in the company’s culture shift can be analyzed through downsizing; it means that business is to be concentrated on the workforce reduction. The replacement of old workers with new specialists is the way to the establishment of new standards within strategic management. Dr Franco Gandolfini underlined the fact that such method can result in rapid decrease of the company’s productivity at the first step of functioning; more than 60% of employees will be completely indifferent to innovative assumptions until they feel the benefits of change being involved into new culture policies. (Schutta, 2005)
The concept of business culture is considered to be the reflection of organization’s structure, norms, values and symbols. It is necessary to stress that corporate culture and organizational strategy are to be closely interrelated for effective results and expectations. It is important to cover rationalistic models as a part of sophisticated scientific type management of the company; the problems connected with this phenomenon are in most cases demonstrated through complications in decision making style and leadership forms identifications. It is necessary to stress the fact that the design of organizational strategy is to be built on the basis of organizational culture outcome. (Blair, and Hitchcock, 2000)
Recommendations
For the purpose of effective culture shift process conduct, the company’s structuring is to be concentrated on building a network of supporters and allies. It is necessary to stress that the specialists working in the company can be instrumental to the company’s work; the leadership is to be directed at formation of compliance and ethics in the working environment. The workers are to feel involvement into strategic planning and development; it is important to develop initiatives and motivations for taking responsibility in the process of compliant and ethical conduct promotion. The step is concentrated on creation a so-called ‘compliance umbrella team’ directed at created and development of special ethics policies and procedures, making company’s code revision, and performing other planning aimed at further business benefits and effectiveness.
The development of communication program I considered to be one more important step; the support building within internal organization’s structure can be based on the starting a considerable communications campaign, beginning from the executives’ level and finishing with workers of lower rates. It should be stressed that that method is not only concentrated on the appropriate delivery of factual information, but on the development of special leadership qualities, providing stronger motivation for work, and strengthening cooperation between high and lower levels of company’s hierarchy. (Enlisting Resources to Accelerate Corporate Culture Change, n.d.)
Conclusion
The analysis of cultural shift in the sphere of business development helped to identify the principle problems and threats faced by most modern companies. The most considerable factors and elements addressed in the research paper were dedicated to cultural change restructuring and recommendations to be considered in strategic management; the paper managed to highlight the role of business ethics and strategic planning responsibility.
References
Blair, A. and Hitchcock, D. 2000. Environment and Business. Routledge.
Bregman, P. 2009. A Good Way to change a Corporate Culture. Harvard Business Publishing. Web.
Bundy, R. 2007. Create a cultural Change to Support Business Transaction. Web.
Burton-Jones, A. Managing Change at the Scottish Road Network Authority. Case Study for Research Report.
Enlisting Resources to Accelerate Corporate Culture Change. Business Ethics. Web.
Reschke, W. And Aldag, R. 2000. The Business Case for Culture Change. Center for Organization Effectiveness. Web.
Schutta, J. 2005. Business performance through lean six sigma: linking the knowledge worker, the twelve pillars, and Baldrige. American Society for Quality.
Zatz, D. 1994. Organizational Culture. Toolpack Consulting. Web.