Balancing Tradition and Transformation: Leadership Challenges in a Changing Organization

Abstract

This study examines the impact of organizational transformation at Ikano Bostad, a Swedish property development and property management company, with a focus on their adherence to predetermined values and leadership practices. Using a qualitative case study approach, it draws on semi-structured interviews with 34 employees and managers across various levels. The research explores how the company’s values; working together, common sense and simplicity, and daring to be different are being upheld and challenged due to strategic shifts aimed at improving efficiency and long-term sustainability. Findings indicate a growing gap between their stated values and current operational realities. While management describes a commitment to its values, employees report reduced collaboration, fewer development opportunities, and increased anxiety around job security, particularly following restructuring efforts such as cost cuts and outsourcing. The study also highlights difficulties in promoting self-leadership, as shifting roles and responsibilities lead to uncertainty. This underscores the need for communicative, supportive leadership during change. Overall, the study contributes to the literature on organizational change and value-based leadership, emphasizing the importance of aligning values with practice and ensuring transparent communication, inclusive decision-making, and consistent leadership engagement.