The class explains the process and pitfalls of implementing any strategy in the organization. Links to additional materials were particularly enlightening.
- Around 70% of change initiatives do not deliver expected results
- On average, acquisitions of public firms result in 5.9% losses in value
Balance Scorecard dimensions
- Customer (Time, quality, performance, cost)
- Internal business processes (Delivery time, time to new product introduction etc.)
- Learning (Employee skills, data)
- Financial (Cost reduction, revenue increase)
Different types of organizational structure (divisional, matrix, etc.) can be beneficial for some strategies and not others.
Organization’s ability to simultaneously pursue efficiency in current operations and be adaptive to changes in the environment.
Interesting insight on the concept of “resistance to change” – technically, there is no “resistance to change” as a monolithic concept – there is resistance to negative consequences of an initiative, and they need to be addressed as specific problems rather than a problem of “change.”
If the anticipated change will result in the loss of status by some employees, then the field must research and develop strategies for dealing with the loss of status. Likewise, if the change will result in the loss of jobs, that issue must be dealt with. Labeling these difficult problems as resistance to change only impedes the change effort.
Interesting (as I read before): strong culture is not helpful for innovation, as it prevents the organization from challenging established conventions.
Netflis Culture presentation – very distinct approach, which makes sense
Interesting perspective on the informal networks of the organization, which can solve non-standard problems for which formal infrastructure may not be sufficient.
If the formal organization is the skeleton of a company, the informal is the central nervous system driving the collective thought processes, actions, and reactions of its business units. Designed to facilitate standard modes of production, the formal organization is set up to handle easily anticipated problems. But when unexpected problems arise, the informal organization kicks in. Its complex webs of social ties form every time colleagues communicate and solidify over time into surprisingly stable networks. Highly adaptive, informal networks move diagonally and elliptically, skipping entire functions to get work done. HBR