Question

The dynamic changes occurring in the world today have profound implications for organizations as they adapt to remain competitive. How have changes in the world such as a globalized economy, increasing workplace diversity, and technological innovation affected the way in which organizations must operate in order to remain competitive? How are these issues related to leadership in an organization?

Post a summary of your thoughts regarding the implications of globalization, diversity, and technological innovation on organizations and their leaders. Based on your resources, include suggestions for strategies leaders should use to ensure that their organizations remain competitive.

Answer 1

Q1) Below is how the changes in the world over the past decade or two affected the way in which organizations must operate in order to remain competitive -

1.Globalization resulted in companies from one country expanding their businesses by entering other countries to reap the benefits of a new customer base, cheap and skilled labor, ease of setting up businesses, availability of land and natural resources etc.

2. Organizations have been increasingly recruiting individuals from various backgrounds to ensure that there is diversity in the workplace. Diversity is expected to foster creativity and innovation in the firm due to the difference in the way the individuals from various backgrounds think. Once the individuals are recruited, it is important that they fit well in the organizational culture and work in diverse teams.

3. Technology plays a crucial role in decision making process by providing the agility and accuracy through its implementation. The capital and maintenance costs in implementing technology might be on the higher side but the results that a successful implementation brings to the firm are manifold.

Q2) It is the leadership of the firm that needs to be well aware and be both proactive and reactive to these changes to remain competitive in the marketplace. Below are the strategies that leaders should use to ensure that their organizations remain competitive -

1. Adopt new technologies as per the relevance and the requirement for the businesses.

2. Focus on global business expansion strategies like diversification, strategic alliance with local partners, joint ventures, mergers and acquisitions etc.

3. Focus on competitive strategies like cost leadership, differentiation etc.