Friday, May 23, 2025

Perspectives of Organizational Transformation

 Only through mutual understanding and cross-functional collaboration, business and IT can work as a whole to make the promise come true and manage a smooth digital transformation.

In business transformation, the "highs" refer to successes achieved through strategic initiatives, while the "lows" indicate failures or setbacks encountered during the process. Examining these highs and lows can provide valuable lessons for organizations undergoing change. The long-term effects of transformation can be seen in various aspects of an organization, including its culture, structure, and overall success.

Leadership Influence: Leaders must constantly substantiate their claims to leadership by demonstrating the effectiveness of their influence on the followers. Leadership is an influence. As per the “circumstance” point of view, there is a global leadership context - how to lead in the broader global scope; there is “situational leadership” to deal with different circumstances. Contemporary business leaders have unique eyes to discover the unimaginable uniqueness of people, look at all aspects of their individual traits, work ethic, influence, creativity, experience, capability, achievements, and performance, as well as other hidden potentials.

Structural and environmental adaptation: In many circumstances, individuals or organizations with potential haven't performed to the level of desired performance. The organization needs to be realigned to ensure the people are in the right positions to solve the right problems. Organizations must be agile and able to adjust to technological changes to maintain their effectiveness. Some argue that the most efficient organizations persist and prosper, while others believe that organizations can succeed through legitimacy or alliances. It remains debatable whether organizations can actively change their environment or whether they must adapt to it. Organizations need to be agile and able to adjust to the rapid and exceedingly high degrees of technological change in order to maintain their effectiveness.

Cultural Integration: Organizational culture has been referred to as an organization’s psychological assets. It can be viewed as holistic (or more than the sum of its parts), historically determined (a collection of rituals and symbols), socially constructed (or created and preserved by the group that form it), and difficult to change. Organizational change may require cultural change. Therefore, recognition and understanding of the patterns of basic underlying assumptions that guide behavior in an organization are essential. Organizational cultures change through a complex interplay of internal and external factors. Strong cultures can inhibit organizational transformation where greater flexibility and adaptation are required to respond to changes in the external environment. Strong organizational cultures can both help and hinder transformation. While a strong culture with enduring values can guide decision-making and action, it can also inhibit the flexibility and adaptation required to respond to external changes. Recognizing and understanding the basic assumptions that guide behavior in an organization is essential for organizational change, which may require cultural change.

Digital transformation is not just a one-dimensional technology upgrade, but a multidirectional business exploration to get the organization digitally ready. Only through mutual understanding and cross-functional collaboration, business and IT can work as a whole to make the promise come true and manage a smooth digital transformation.


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