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Implications for Organisations


Write an essay about the implications for organisations.



Organizational change can be defined as the activity which the managers and the other authorities of a particular organization implicates for selecting and managing the processes, structure and culture such that to enable the successful achievement of the goals and objectives of the company in the future (Aghina, De Smet and Heywood 2016).

First Gulf Bank is the third largest bank in UAE in terms of the total assets. Being established in the year 1979, the bank has been providing a wide range of financial services in the treasury banking, wholesale and consumer sectors (Kumar and Sujit 2015). Since the last few years, the bank has been compelled to implement the Sarah law governance within its business environment. The company has thus, been planning to implement an appropriate change management strategy within its business processes such that to comply with the change process within its business culture.


McKinsey 7-S framework

McKinsey developed a framework for the organizational structure which could help in developing the effectiveness and the change management within the business environment of a particular organization. According to Aghina, De Smet and Heywood (2016), the 7-S framework comprises of 7 elements related to the change management framework which includes the staff, skills, shared values, style, systems, strategy and structure.

Change management theory

According to Cummings and Worley (2014), the organizational changes within a business organization could be observed through five primary elements related to the organizational design. Any mismatch as found between any of the design elements could be resulting in the distortion in the performance of the organization. 

Organizational structure to be adapted by the Bank

The 7-S framework should be adapted by the bank in order to implement the change process within its business environment.


The 7-S framework as proposed by McKinsey would be enabling the First Gulf Bank to enhance the quality of the business processes, boosting the alignment of the organization and improving on the decision making skills of the company in the future.


However, it should be noted that the structure of the organization could only be formulated after the company has implemented an appropriate change management


Impact of decision making process

The decision making process can be comprised of the strategy, structuring, processes, rewarding system and human practices which are also the organizational units for the successful implementation of the change management process. The main element of decision making process heslp in binding all the above elements together within the business environment is the flexibility (Santos-Vijande, López-Sánchez and Trespalacios 2012). This flexibility would be enabling the organization to improve its business processes through faster reaction to the unexpected events while addressing the adaptation of the organizational strategy.

Impact of decision making process on the external stakeholders

These change management theories and concepts would be enabling the company in remaining competitive and sustainable in the market as they would be enabling the growth and development of the company in the long run. Moreover, the implementation of the change management strategy would be enabling the company to increase in the profitability which could be benefitial for the external stakeholders of the bank including the suppliers, clients and creditors as well.


Aghina, W., De Smet, A. and Heywood, S., 2016. The past and future of global organizations. McKinsey Quarterly. [online] Available at: .

Cummings, T. and Worley, C., 2014. Organization development and change. Cengage learning.

Fabac, R., 2010. Complexity in organizations and environment - adaptive changes and adaptive decision-making. Interdisciplinary Description of Complex Systems, [online] 8(1)(2010), pp.34-48,. 
Kumar, R. and Sujit, K.S., 2015. Wealth Creators in the Banking Sector in UAE during 2010-2015 Period. Asian Journal of Finance & Accounting, 7(2), pp.152-160.

Santos-Vijande, M.L., López-Sánchez, J.Á. and Trespalacios, J.A., 2012. How organizational learning affects a firm's flexibility, competitive strategy, and performance. Journal of Business Research, 65(8), pp.1079-1089.

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