McGuire (2003) study evaluates the application of leadership strategies to enhance cultural change in an organization. In this context, the leadership strategies help to bring change in leadership and management of an organization. According to McGuire (2003), though businesses can achieve goals without strategic business process, there is a need to combine leadership and business strategy. This will help to come up with new core capabilities that are important in the future growth of an organization. Leadership helps to achieve organization goals through organizing, directing resources, and motivating employees to achieve a common goal (McGuire, 2003). Organizations that require change need to develop new core capabilities (McGuire, 2003). McGuire (2003) gives an example of IBM Company where the success of the corporations is due to culture within the organization besides the management system. When assessing change in an organization, McGuire focuses on human, cultural, and informal systems (McGuire, 2003).McGuire also gives a structural diagram showing the interaction of change in leadership and management to develop new core capabilities within an organization (McGuire, 2003).
According to McGuire (2003), core capability is new paths that guide organizations towards venturing into new markets, intensifying competition, and developing new products. However, there are core challenges facing organizations. These include mergers and acquisition of corporations, collaboration of organizations in shared work, leadership readiness to maintain and advance business in competitive environments and developing and pursuing strategies in environments characterized by stiff competition and emerging technologies(McGuire, 2003). The human systems are vital in developing and implementing new capabilities within an organization. However, this can only be achieved through leadership, which provides direction towards organizational goals (McGuire, 2003). It is possible to achieve anticipated change in an organization when the top leadership is willing and committed to the new change.
In the case study of Littleton Regional Hospital, the top management developed new vision aimed at making Littleton to a customer-focused hospital (McGuire, 2003). Similarly, Alpha Technology Company was transforming into a process organization (McGuire, 2003). The two companies were successful in their business environments, but they needed to improve their performance. McGuire (2003) combined rational and creative competencies in developing appropriate strategies that will enable Littleton to achieve its goals. In the combination process, McGuire came up with four questions. These include why, what, how and what if, which geared towards organizational change(McGuire, 2003). The four questions are vital in enhancing change within an organization and encourage participation of all stakeholders in the change process. The leaders come together and generate answers to each question in relation to anticipated change. The questions help to encourage in-depth thinking regarding change. In answering the questions, the leaders agree on desired outcome and strategy for achieving the outcome for each of the four questions (McGuire, 2003).
McGuire (2003) describes a retreat organized by Littleton leaders to discuss on organizational change. In the retreat, the leadership first reviewed the organizational challenges, which provided basis for developing creative competency (McGuire, 2003). A discussion of participants helped eliminate fears existing in the company such as people being afraid of the CEO (McGuire, 2003). The participants shared past experiences, which helped to identify the root causes and develop a strategy for the new vision. A similar strategy was used in enhancing change in Alpha Technology. According to McGuire (2003), a web of connections characterizes the modern organizations. These connections and sound leadership help to steer the organization growth in the market. However, when there are disconnections, an organization is likely to suffer from destructive politics and turbulent environment thereby preventing change in the organization (McGuire, 2003).
McGuire, J. B. (2003). Leadership Strategies for Culture Change: Developing Change Leadership as an Organizational Core Capability.