Research And Application Of Building Enterprise Organizational Fitness

Since the socialist market economy system became the goal of economic system reform at the 14th CPC convention in 1992, our SOEs have survived and developed in the transform period of transforming the planned economy into the market economy for more than ten years. Some enterprises have built their management thinking and management system which adapted to the market environment, while a great many SOEs still keep in their previous conditions. Furthermore, with our country's entry into WTO in the 21st century, economy globalization will further affect the environment of our SOEs'survival and development. Because customer need is more diversified, and market competition is more fury and market environment change more quickly,building our SOEs'organizational fitness has become an urgent focus of management researchers and enterprisers. Firstly, based on studies of organizational theory, organizational learning's theory, and organizational change's theory, the firms'capability of adapting environments are measured by the combination of organizational learning ability and organizational change ability. The businesses'adapting to market environments is split into two interdependent parts: aligning business strategy with outer market environments and aligning inner management and control system with corporate strategy. Secondly, the dynamics of organizational fitness under the market economy and that of under the planned economy are respectively analyzed. Besides, the obstacles about building enterprises'organizational fitness and typical reactions to these obstacles are discussed. Thirdly, in terms of organizational learning, on the basis of the framework model of building organizational fitness, this paper presents that building the communication mechanism among senior managers to reach the agreements about strategic direction, and building the communication mechanism between senior managers and key middle-level managers enable that senior managers learn the all real truth about business operating, and building the communication mechanism between senior managers and common staffs enable that all staffs are willing to change. Also, the process of improving the capability of organizational learning is presented. Fourthly, in terms of organizational change, the author observes it is necessary to take the effective ideas about organizational change and the key fundamental of organizational change for advancing the ability of organizational change. Lastly, taking the DJ industry Group for example, this paper explains how to transform the organizational learning behavior and organizational change movement into the organizational fitness through the process of advancing the organizational fitness.