Strategic Shocks: Managing Discontinuous Change

Abstract

In the 1990s, demands for change in public organizations are reaching new and unfamiliar levels. The continuing fiscal crisis and widespread disenchantment with governing institutions suggest that traditional change practices that gradually adapt public organizations to their environment are losing credibility. Abrupt discontinuities such as severe budget cuts or the wholesale reassignment of a mandate are becoming more common. These discontinuous changes present public managers with an extraordinary challenge to transform their organizations. Managing such change requires different skills and techniques and will be a conclusive test of leadership. Develops a conceptual framework to help managers to think about managing strategic shocks that have no precedent.