Strategic leadership in changing world Essay Example | Topics and Well Written Essays - 2000 words - 1

Strategic leadership in changing world - Essay Example They should analyze the significant initiatives to be taken by the top leaders in the company, and integrate resources in order to create organization change. Denis, Langley and Rouleau (2010, p.67) argue that strategic leaders should change their skills through implementing unique strategies that will enable them to meet the demanding needs of an organization in today’s changing business world. Michael Porter and Gary Hamel offer varied disciplines that managers or leaders should practice in order to achieve success in the global changing business. Therefore, they have employed varied approaches to the paradox of the market and resources, but organizational circumstances or the changing business world affects the choice of strategic leaders when employing their approaches. Porter and Hamel offer varied approaches that strategic leaders should follow, but some of their approaches would affect the choice of strategic decisions because of the ever-changing business environment. One of the approaches employed is the industrial organization in achieving a competitive advantage in a business entity. Hamel, the American economist in management came up with a core competency management concept in order to achieve a competitive advantage. This concept takes varied forms including technical matter of knowhow and close relationship with clients. It also takes into consideration product development or cultural aspects through employee dedication towards creating a successful business environment. The core competency strengthens the industrial relation with other organization and offers fundamental basis for adding value to products. Moreover, Hamel emphasizes that the core competency should enable strategic leaders to employ asset of effective skills or design techniques in order to deliver value to their clients. However, the core competency may affect the deliberate decision of leaders in the current business setting. This is because many companies are nowadays e mploying customer value approach as a way of achieving a competitive advantage. They emphasize on creating product value that satisfies the needs of customers; thus enabling them to become leaders in the global market (Pongsakornrungsilp and Schroeder 2011, 319). Hamel emphasize that the core competencies contributes to the advancement of worth products that meet the needs of customers. The core competency is effective because it is developed continuously with varied organizational improvements overtime. Hamel further use the industry organization approaches in explaining the way strategic leaders can achieve the core competency. The industrial organization method is a based on the financial theory, which deals with competition, distribution of resources and economies of scale issues. The hypotheses behind these  approaches are the rationality  aspects,  profit maximization and  self-discipline behaviors in the work environment. This approach is essential because leaders in the current changing business environment should understand the core competency in an industry. They should predict the future challenges and business opportunities in order to help them stay top in any varying business situations. Hamel reveals that the core competencies are developed through constant changes of brands in order to meet the demanding needs of customers in the changing business world. Therefore, in order for organizations to succeed in the emerging global market economy, they should create the core competen