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Regular version of the site

Book chapter

Organizational transformation based on a leadership model

The majority of  Russian industrial companies are currently considered to be low efficient and low competitive, having low productivity and local markets orientation and their inertia of control is accounted for a 3c model (command, control, compartmentalization), et cetera.

Today these problems are mostly solved using a usual, for Russia, repressive management style which practices enforcement of the work discipline and compulsion.

An alternative to a repressive management style can be an organizational transformation using a leadership concept as a platform for upcoming changes. In  course of this transformation,  fundamental structures of a company could also be transformed. The change should target flexible management system, flat structure and increased people initiative, i.e. the 3p (people, purpose, processes), and 3i models (ideas, information, interaction).

The current transformational models, mostly of a western type, normally are of a general nature, they do not come out of the cultural and historical principles and values of Russian industry.

This paper suggests a technology for transformation of the organization based on its guiding principles and values. The fundamental element of this system is considered to be creation of a “Leadership system” as a base of radical organizational changes. The next two elements are – development of a “Strategy of Growth” and a “Process and project oriented management system” which is based on Lean Production. These elements will improve the key organizational indices: qualities, efficiency, supply times, et cetera.