Strategy and Change

1. IntroductionAfter the fall of the European communist regimes the global business environment has evolved very rapidly in an unpredictable way. In the age of uncertainty change represents one of the most important challenges for all types of organizations. Change occurs often daily and either the organization keeps up with it or becomes obsolete and doesn't survive (Palmer et ak, 2008). In fact, 'the pace of change has never been greater than in the current business environment, affecting all organizations in all industries' (Fenton, 2007, p. 104). This is why 'competitiveness of enterprises in hard international competition depends on ability to react and adapt to changes in close and wider environment' (Sujova and Rajnoha, 2012, p. 1286). In other words, changeability constitutes today a key competitiveness factor for any company. As companies around the world are facing hyper-competition in all industries and markets, they often initiate strategic changes in order to improve their competitiveness.The aim of our paper is to show that strategy and change are two related concepts in the business literature. The methodologucal approach is literature review.Our paper is divided in four main sections. Tire next section deals with the literature review. The definitions of strategy and change are presented in the third section of the paper. The fourth section outlines the relationship between the two above mentioned concepts. Our paper ends with conclusions.2. Literature reviewThere are several studies in the business literature regarding the relationship between strategy and change. As today's companies are facing a multitude of changes (e.g., political, economical, social, technological, environmental, legal) they cope with increasing uncertainty. In this respect, 'underestimating uncertainty can lead to strategies that neither defend a company against the threats nor take advantage of the opportunities that higher levels of uncertainty provide' (Courtney et ak, 2000, p. 1).Companies have to have 'the ability to drive and sustain large-scale change and to anticipate and adapt to an increasingly volatile environment' (Bhalla et ak, 2011, p. 3). As maintaining its competitiveness in the market environment outlines a continuous pressure on permanent adaptation, the company needs to design and implement strategic changes within its processes and activities. This is why 'sustainable competitiveness can be achieved only if changes in enterprises are ahead of the changes in environment and reactions of competitors' (Sujova and Rajnoha, 2012, p. 1286). This means that 'whatever form of strategy is adopted, it will require the organization to achieve a fit between its external environment and internal structures, culture and practices' (Bumes, 2004, p. 245).3. Defining strategy and changeThe importance of the concepts of strategy and change is generally accepted all over the world in the business environment. There are many definitions of them, but none is universally valid.The English word 'strategy' derives from the Greek word 'strategia', meaning generalship. Strategy:* 'is the means by which individuals or organizations achieve their objectives' (Grant, 2013, p. 15).* 'is the system of value creation that underlies a company's competitive position and uniqueness' (Montgomery, 2012, p. 4).* 'describes the way in which the firm will accomplish the vision it has established and... is the theme incorporated in a set of strategic decisions' (Fitzroy et al., 2012, p. 28).* 'is concerned with the establishment of a clear direction for the organization and for every business, product and service, and a means for getting there which requires the creation of strong competitive positions' (Thompson and Martin, 2010, p. 13).* 'outlines the means by which a firm intends to create unique value for customers and other important stakeholders' (Carpenter and Sanders, 2009, p. …