Strategic renewal is important for organisations, but putting it into practice is challenging. Our ongoing research explores how strategic capabilities and competencies can be identified, defined, and implemented to support an organisation's ability to renew itself and drive business success. In this blog, we explore the background and objectives of our research and why this topic is more relevant than ever.
Why is strategic renewal more important now than ever before?
Companies are operating in an era where constant change has become the new normal. Technological advancement, geopolitical uncertainty, and the transformation of working life are all pushing organisations to renew themselves, not just on paper, but through concrete actions in everyday operations. At the same time, strategy work has evolved: it is no longer just a plan crafted by leadership, but a shared journey for the entire organisation towards the future.
In this context, it is increasingly important to understand which strategic capabilities and competencies genuinely support an organisation’s ability to renew itself. How are they identified? How are they put into practice? And above all, how are they made visible and meaningful to employees?
These are the very questions we are exploring in our ongoing research on Strategic Renewal. The aim of the study is to generate new insights into how defining strategic capabilities and competencies can support an organisation’s ability to implement its strategy and embed it into daily practices.
The research focuses on four key questions:
- How does defining strategic capabilities and competencies support an organisation’s strategic readiness?
- How does the working process support open strategy practices and the experience of participation?
- What best practices can be identified in implementing processes for strategic competencies and capabilities? (For example, timing, leadership, execution.)
- How does the working process help individuals to implement the strategy and navigate in a changing business environment?
Talking about strategic capabilities and competencies can easily come across as traditional management jargon. However, we believe that a shared process of identifying the key success factors and skills for the future can, at its best, significantly enhance both the sense of meaning in one’s work and the strategic coherence of the organisation.
In other words, when people understand where the organisation is heading and what skills are needed to get there, the strategy doesn’t stay only in a PowerPoint presentation. It transforms into action and becomes a unified movement forward.
Background and implementation of the research
The research is currently in the data collection phase and is being carried out in collaboration with Hanken School of Economics. The study involves leaders and experts from Finnish technology and engineering companies. It is an academic, qualitative research project that offers new insights into a topic that has, so far, received relatively little attention, despite its growing significance.
The research supports leadership in understanding how dynamic and strategic capabilities can genuinely contribute to achieving organisational goals and, ultimately, business success. In addition, it gives insight into how the principles of open strategy can be applied in a practical, hands-on way within organisations.
Concrete benefits for Finnish companies
The aim of the research is practical: to help organisations connect strategy with everyday work through concepts developed based on the best practices and data gathered from the study.
This translates into the following benefits, among others, when capability and competency work is successfully integrated into strategic dialogue:
- Focus and prioritisation: Not everything needs to be developed; the emphasis is on those areas that provide a competitive advantage
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Shared thinking evolves: Open strategy work involves people and improves the organisation’s collective sense of direction.
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Change capability increases: Knowing one’s strengths and areas for development enhances strategic agility.
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Work becomes more meaningful: When skills are linked to strategy and the future direction, people experience their work as more significant.
This is a multiple-case study that generates knowledge both for practical development and for building a scientific framework. The challenging topic takes on a concrete form that is easier to grasp and through which strategic renewal can genuinely take place.
Join us in renewing strategy work
The research is still ongoing, with results scheduled for publication during 2025. We want to share our learnings openly and collaboratively build better practices for working life in Finland. If you’d like to hear more, join the conversation, or be among the first to receive the research findings, contact us and follow our social media channels. Strategic renewal begins with a shared understanding. Let’s make it a reality together!