Operational and Strategic Change
Theresa K. Anderson
BUS 370 Organizational Development
Instructor: Christopher T. Foster
January 15, 2016
Operational and strategic changes are a necessary part of staying competitive in business. A company must be able to make changes to their business plans and their day to day running to be able to remain flexible in today’s market place. Operational change is usually done by the production department and Strategic management is done by management and above. Even though the two types of changes happen by different parts of the organization their goals are the same. Strategic changes and operational changes need to work together for the betterment of the organization
An Operational change is a change that an entire organization operates or behaves. The operational change will affect how the day to day functions of an organization are ran. An operational change can include temporarily increasing or decreasing production hours due to product demand or supply issues, and working around a quality or safety issue.
Strategic change is the restructuring of a company’s business or marketing plan. Strategic change is usually implemented to achieve an important objective. A strategic change could include changing company policy, changing the target market, revising the company’s mission or organizational structure. “The chief executive and top managers of an organization are important links between an organization's performance and strategic change. Studying the issue of how change in strategy takes place can provide important insights into the interaction between organizational performance and the role of top management (the chief executive and top management team) in limiting or encouraging strategic change”. (Boeker,1997).
Who is responsible for the change is one difference in operational and strategic changes. According to Tom Somodi, a speaker on change and the author of The Science of Change: Basics Behind...