Organisational change as an important element of a corporate philosophy essay


TITLE:Organisational change as an important element of a corporatephilosophy



Inany organization, change is inevitable. It is the key determinant ofsuccess because it is the only way to gain competitiveness in bothdomestic and international markets. Change implies consistently doingthings differently from others. It is, therefore, a continuousprocess and a core component of the corporate philosophy which shouldbe embedded in the organization culture and integrated with its corevalues. Just like other companies, Medco Oil and Gas Company wish togain competitiveness and expand its business beyond borders. Howeverto do so, this company acknowledges the need to change some of itskey drivers and marketing strategies. For instance, innovation of newoil products that are environmentally friendly and takes care of allpeople regardless of their economic classes. The need to change themode of packaging, for instance, packaging their products intodifferent volumes that caters for various social classes of peopleboth nationally and internationally (Medco Energi 2015). Theinnovation of new products and change in marketing strategies hasenabled this company gain competitiveness both domestically andinternationally and command a significant market share.

Inthe event of any change, the organization is expected to face aseries of challenges to their accepted way of doing things this isas a result of resistance to change among some employees and therelevant stakeholders. However, in the case of motivation to changethere is always a commitment both joint and individual among theemployees towards adjustment of their way of doing things such asdressing, how they act and how they perform their jobs in pursuit ofan improved proposition for the customer. Effective communication anddisciplined implementation are the major contributing factors. Changeis a continuous process and a naturally reoccurring process and anopportunity for organizational development and therefore the need forfull involvement in the process of implementation of a requiredchange. Effective communication is one of the strategies that hasenabled MedcoEnergi Oil and Gas Company to implement their changessuccessfully. It is seen as a key success factor since it explainsthe reason behind adopting any of the new strategies and why thechange is urgent (Medco Energi 2015). Challenges such as conflictswhich result from resistance to change will always be inevitable inthe process of change. Open communication has always been employed toconvince both the internal and external public the need for theproposed change. It has also been used to lure the stakeholders intofull involvement and contribution towards the change required throughfinancial and moral support. Mobilization of key participants in theplanned change also has been achieved through effectivecommunication.

Anychange within an organization occurs due to variations in theexternal environment. The primary objective of implementation is,therefore, to ensure that everyone works towards meeting the changesin demand. Adoption of any new strategy always results- oriented andmust lead into an improved value proposition in the eyes of thecustomers. Disciplined implementation, therefore, becomes a crucialpart of successful change. All stakeholders need to show interest,motivation, consistency and accountability in the process ofimplementing the proposed change.

Changeresults in enormous benefits. For instance, as a consequence of somesignificant changes in the organization structure, which not onlyallows the company to accelerate the growth of its core business inoil and gas, but also to improve its other energy-related business.MedcoEnergi Oil and Gas Company has sharply increased its productionand sales capacity resulting into a sharp increase in its operatingincome and lower costs of financing and other expenses in 2011 ascompared to previous years (Medco Energi 2011).


MedcoEnergi, (2011). Runningfor growth extending the reach: Medco Energi annual report.Retrieved from

MedcoEnergi, (2015). Oiland gas,retrieved from