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Article
Publication date: 24 July 2023

Carmenza Gallego Giraldo and Gregorio Calderon-Hernandez

The present document presents the possible contributions of strategic design to organizational transformation, as a part of business intellectual capital.

Abstract

Purpose

The present document presents the possible contributions of strategic design to organizational transformation, as a part of business intellectual capital.

Design/methodology/approach

A case study from a Colombian family business group, with three business units, industrial, commercial and service, were used. Interviews regarding critical events and semi-structured interviews were employed. Data were processed with NVivo software.

Findings

It was found that abductive, empathetic and creative competencies (human capital) that may facilitate the comprehension of nature, needs and alternatives to be employed in organizational change processes. Further, the importance of the participative design approach in co-creation, with interest groups, transformation projects (relational capital), and design thought, as a methodology for the implementation of the preceding (structural capital), was identified.

Research limitations/implications

The results revealed, in this case, suggest several future investigative routes. Firstly, increased empirical research, based on this proposal, is suggested. Specifically, it would be relevant to perform causal studies that report the contribution of each of the components of strategic design to the diverse organizational transformation processes. A third line of investigation might include delving into certain relationships that have already been identified, but require further comparison. One of these might be the role of design thought as a method to perform specific organizational transformation projects.

Practical implications

As a result of the present investigation, a model is established (see Figure 2) which may be useful to companies to address organizational transformation, capitalizing on the benefits offered by strategic design. In summary, the proposal considers four phases (see the central circle in Figure 2). Phase 1: understanding organizational occurrences and situations, the basis upon which to determine the nature of an organizational transformation. This activity alludes to the work that is collaboratively managed with different interest groups, in the systematic comprehension of the business organizational transformation chain of events. Phase 2: determining the path to be followed or the route for collaborative action. Doing so in participative fashion permits the representation of a diversity of ideas and opinions on a given problem/potential identified in the preceding process. This stimulates and strengthens the creative competency in company personnel (Jeffries, 2007). If this competency is incorporated into the corporate culture, differential factors may be established, in an environment with broad competency, thus achieving transformations appropriate for a competitive environment.

Social implications

Co-creation, the central axis of the organizational transformation process. At the base of all organizational transformation processes is an approach focused on human beings, whose principal questions include: What place do individuals have in strategic problem resolution, like those of organizational transformation, in companies? How are human competencies strengthened when applied to organizational transformation processes? What types of ties are made, beyond the establishment of natural relationships (work, purchase, sell), with interest groups? And most importantly: How do they achieve the construction of new business realities together? To do this, participative and co-creative methods must be employed as a scenario to jointly achieve multiple satisfaction realities, in which understanding the essence of the participative design approach becomes meaningful (Jones, 2015).

Originality/value

Design thought, as a methodological proposal for organizational transformation projects. The use of inspiration, ideation, and implementation stages, iteratively and permanently, is suggested. Continuous review of the point of departure, the path trodden and the goals to be achieved should be prioritized, such that they may act as compasses for organizational transformation, considering strategic design to be a key motor (Yee et al., 2017).

Details

Journal of Organizational Change Management, vol. 36 no. 4
Type: Research Article
ISSN: 0953-4814

Keywords

Article
Publication date: 6 May 2021

Carmenza Gallego and Gregorio Calderón Hernández

This paper aims to comprehend organizational transformation (OT) as a permanent, continuous and iterative system, which integrates large transformations that, in turn, require…

Abstract

Purpose

This paper aims to comprehend organizational transformation (OT) as a permanent, continuous and iterative system, which integrates large transformations that, in turn, require smaller, additional transformations. For OT implementation, a conceptual model is proposed, called the four orders of OT.

Design/methodology/approach

Case study with a qualitative approach, used critical incident interviews, which were applied to describe both successful and unsuccessful events. Participants were chosen by convenience, and information was processed with Nvivo software.

Findings

The Colombian family holding studied was founded in 1974, and in its 47 years of existence, has implemented important transformations in its three companies. These showcase the four types of OT proposed, although third order support has been applied most often. The events that triggered said transformations are mainly of exogenous character, and broad responsibility was found on both the upper management and work team levels for implementation processes. This was also found for the indicator use and the various planning approaches used, depending upon the transformation type.

Practical implications

Future research is required, so as to refine and validate the conceptual OT model proposed in other types of companies and development contexts. The proposed construct permits company managers to design and more efficiently manage transformations, while satisfying the diverse orders proposed in the theoretical model.

Originality/value

An integrative conceptual model called “the four orders of OT” is proposed and validated in a Colombian family businesses group, which is composed of three companies.

Details

Journal of Accounting & Organizational Change, vol. 17 no. 5
Type: Research Article
ISSN: 1832-5912

Keywords

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