Interpretive Structural Modeling for Strategic Renewal Drivers in Iranian Development Organizations

Abstract

Purpose: Transformation of organizations and industries requires strategic renewal, and due to the uncertainty in competitive environments, managers can provide the basis for renewal in organizations by identifying and ranking the drivers of renewal and transformation. Accordingly, the purpose of this study was to identify and categorize the drivers of strategic renewal drivers in Iranian development organizations. Methodology: The drivers of strategic renewal were identified through semi-structured interviews with 22 former and current IDRO professors and managers based on theoretical saturation technique. To categorize the identified propellants, the opinions of 58 senior and middle managers of state-owned companies affiliated to IDRO were gathered. Purposive sampling method and questionnaires were used. Findings: MAXQDA software was used, and the coding of the interviews led to the identification of 15 drivers in the formation of strategic renewal. The drivers identified by the interpretive structural method led to the formation of six levels, of which the capabilities of the organization and the power of adaptability were the most effective. Besides, the competencies of the employees and the correct analysis of the market were the most affected ones. Originality: Modeling the drivers of strategic renewal can narrow the theoretical gap in the research in this area. Moreover, the contribution of the current research for the managers and key decision makers of public companies affiliated to IDRO is that it helps them to identify the drivers of strategic renewal and to provide the basis for the renewal and transformation of their companies by investing in the most effective factors.

Keywords

• strategic renewal
• professional managers
• organizational development
• idro
• interpretive structural modeling.‌‌