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ACCA Strategic Professional · Strategic Business Leader · Managing strategic change

Marlow Telecom's managers have a tradition of regular small improvements to services and processes within the existing culture. A consultant argues that this approach is no longer enough because a new technology has made the company's recipes obsolete. In Balogun and Hope Hailey's terms, which change is the consultant implicitly saying is needed, rather than the current approach?

Transformational change is needed. The company currently uses adaptation, which realigns within the existing paradigm in small steps. Because the new technology makes the existing way of working obsolete, the consultant is implying the paradigm itself must change, which is the defining feature of transformational scope.

  1. AAdaptation, because incremental steps continue to realign the organisation without disruption
  2. BTransformational change, because the paradigm itself must change rather than be realignedCorrect
  3. CRealignment through evolution, because the existing culture can be retained
  4. DIncrementalism, because small steps reduce resistance among staff

Explanation

The current approach is adaptation, which is incremental realignment within the existing paradigm. The consultant says it is inadequate because the technology has made the current way of doing business obsolete, so the scope must be transformational, meaning a change in the paradigm. Options retaining the existing culture or relying on small steps repeat the approach the consultant rejects.

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