Strategic and Organizational Flexibility

Raditya Bariq,  2301918073

Strategic and Organizational Flexibility

Strategic flexibility can be identified as the extent to which a company is prepared to change its strategy in response to opportunities, threats, and changes in the external environment. Strategic flexibility helps businesses perceive critical changes in the environment, prevent organizational inertia, and enhance creativity and innovation. Thus, strategic flexibility can have an impact on a company’s performance.  Strategic flexibility is known as an important source of competitive advantage in a dynamic and challenging-SNS environment. Many studies examine the relationship between strategic flexibility and corporate flexibility, but agreement on that relationship has not been fully reached but is inconsistent because the flexibility of strategies impacting a company’s performance can depend on the context of the type of company or organization.   As dynamic and turbulence in the environment continue to increase, the traditional strategic management paradigm is not found to be sufficient to address the growth of uncertainty. And then paradigm strategic flexibility came to the forefront of industrial practice, which synthesized the power of most of the previous theories of strategic management in new ways to fill the gap. It’s about evolving and becoming an adult and taking a combination of both a proactive and reactive strategic approach to responding to an ever-grizzled market. It connotes the type of flexibility that meets both high and high-speed varieties.   The company provides value to customers and other stakeholders by providing more variety of options and that too, with high speed and agility.

Determinants of flexibility should be considered as factors whose events and events decide the organizational flexibility of an organization and its management. Regrettably, there is no objective method that allows the determination of such a set of factors for a particular organization. Making such a list requires noting contemporary management trends and the resulting postulates of flexibility, organizational-specific character, and flexibility in the field of flexibility. However, some determinants of universal flexibility can be discussed. According to Hautum &Pettigrew, they may be a derivative of applied structural solutions or the culture and behaviour of organizational members, consciously seeking to increase organizational flexibility. In a highly flexible organization, these two determinants are present.

Organizational Flexibility is one of the major challenges facing contemporary management, growing from developments in business environment change, rapid technological and communication developments,  ongoing globalization, new forms of organizational structure are important factors driving continuous change in organizational management processes. Under such circumstances, only the organization that is able to keep pace with the changes and turn them into opportunities will be able to maintain a high competitive advantage and safe conditions for development. Not that issue is specific to business but just as important in the field of public activity, and it has become one of the prerequisites for adjusting the operations of such entities to changing social needs.

Organizational flexibility is one of the prerequisites for success in contemporary business. The theoretical aspects of the problem have been extensively explained. However, despite many publications and research, many problems still need solutions. One is the measurement of organizational flexibility which first requires identifying flexibility factors specific to an organization. There is no objective method for defining their set. What’s more, it should be noted that factors can change along with the development of management theories and concepts. Flexibility measurement requires the application of a variety of methods: index analysis, stakeholder polls. Nevertheless, the crucial problem is the establishment of a flexible organizational system. It is a long-term process that requires the proper hiring of staff, as well as the establishment of an organizational system to facilitate and stimulate flexible behaviour. These factors must be developed uniformly.

References

Kabeyi, M. J. (2019). Organizational strategic planning, implementation and evaluation with an analysis of challenges and benefits for-profit and nonprofit organizations.

Liyanage U.S., Weerasinghe T.D. (2018). The Effect of Strategic Flexibility on Strategy-Performance Nexus: A Conceptual Model.

Piotr Bula, Bernard Ziebicki. (2011). ORGANIZATIONAL FLEXIBILITY AS A CHALLENGE OF CONTEMPORARY. DETERMINANTS AND METHODS OF MEASUREMENT.

Sushil. (2015). Strategic Flexibility: The Evolving Paradigm of Strategic Management.