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Purpose

The purpose of the paper is to demonstrate to the reader that those organisations, which develop a complete explicit organisational paradigm and the strategy to implement it, will guarantee themselves a competitive edge in both short and long‐term profitability.

Design/methodology/approach

The paper defines a paradigm and provides an example of a “prevailing paradigm” or “recipe of success”. It provides the reader with understanding of cognitive thinking styles – adaptive and innovative. The paper considers the adaptive and innovate change management paradigms, the advantages and disadvantages, and suggests an effective explicit change management paradigm. It looks at the importance of culture, why culture change initiatives fail and suggests an effective explicit culture paradigmThe paper sets out a process that will enable any organisation to harness the power of paradigms and hence deliver a competitive edge in profitability.

Findings

If an organisation ensures that its core decision makers collectively develop explicit paradigms in all key business areas, it achieves strategic focus and increases its profitability at a faster rate than its competitors.

Originality/value

Develops an understanding of the nature and power of paradigms and how to harness that power to achieve a competitive edge in profitability.

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