Achieving a balanced value system for continuity and change

The increasing level of competition has had a major influence on the value system which defines the characteristics of an organization and its relation to internal and external environments. The value system is central to the reward structure and therefore determines the organization′s goals which in turn form the basis of strategy formulation. While the increasing level of competition has satisfied a growing level of expectations there has also been a number of negative repercussions which have arisen due to the conflicting nature of value systems on which organizations operate. The solution to this disequilibrium lies in the question of whether endless progress is desirable or a more balanced approach between progress and conservation is necessary. Describes the value system on which organizations operate,then examines the way in which an appropriate balance may be achieved between progress and conservation, together with its implications on strategy formulation.