Change Management and Strategic Direction

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Exley Chemical Company Analysis

Problems

Macro

Two problems within Exley, at the macro level, are lack of innovation to compete within the industry, and lack of organizational strategy and objectives, to identify how the organization will compete. Both direction and capabilities are important considerations in competing in any business environment or market, if an organization wants to maintain or increase market share. Staying competitive means not only staying in tune with what customers want, but with any new technologies and developments within the industry itself (Volpe, 2008). With a sound strategy, the organization can identify any potential new opportunities and can organize functions or functional units within the organization, to support the new strategy and related objectives.

Micro

At the micro level, problems are lack of cohesiveness between functional units and lack of direction from top level management, down to unit managers. Each department wants to be recognized for its contribution and ideas, but has little knowledge or insight into what is possible, given the organization's limited financial and physical resources. Without clear direction, each department believes it knows best which direction the company should be headed, within the competitive environment. Both task cohesiveness, or willingness to cooperate on shared tasks and goals, an interpersonal cohesiveness, or an individual's willingness to belong to a group, are increased when clear objectives are established (Rawlston, 2005).
Causes of Macro and Micro Problems Within the Organization

Root causes of problems within the organization can come from any level within the organization, from production, up to the executive level, where decisions are typically made. For Exley Chemical Corporation, it is evident that a lack of direction and strategy exists. Upper level management must have a grasp on the situation of current markets in which the company competes, and must have access to data related to the organization's performance ...