The relationship between strategic planning and strategic thinking in relation to the management of change Strategic planning involves analysis, establishment, and formalization of procedures and systems. Strategic thinking synthesizes and encourages creativity and intuition across all organizational levels. It aims at innovating and imagining a better future that may cause an organization to redefine its major strategies and/or industry. Strategic planning, on the other hand, aims at realizing and encouraging strategies initiated in the strategic thinking processes. Formulating and implementing strategic thinking is interactive, whereas strategic planning involves specialization. In strategic thinking, subordinate managers participate directly in strategy-making. However, in strategic planning, senior managers gather information from subordinate managers and apply it in creating a plan that all managers use for implementation. Graetz’s study of the “Communications Co.” indicates that an organisation needs leaders with emotional intelligence to lead the way in strategic thinking. This is because the process requires full concentration on details. The two thought processes maintain each other in order to promote effective strategic management. The sphere of strategic planning is deliberate, rational and analytical. Strategic thinking involves intuitive, creative, and emergent thinking. Good planning encompasses both strategies. Balancing between the two helps in avoiding problems related to the adoption of either over-rationalistic, prescriptive schemes, or unrealistic designs, which have high chances of failure. Differences between leadership and management in relation to management of change Leadership triggers action that initiates change while management aims at making change operations effective. Change leadership focuses on aligning people to the vision of the organization. Leadership is the ability to communicate, inspire, and influence employees to work toward the realization of the organization’s goals. Leadership in the 21 st Century seeks to understand and manage situational and follower attributes, rather than to divide and control them. Change management involves a set of fundamental processes aimed at controlling any development effort. These processes weigh performance, staffing, budgeting, planning, and problem-solving in cases where the outcome is not as expected. Effective running of an organization requires proper balancing between leadership and management. The target-setting approach works well when there is good leadership. Target-setting is useful in focusing attention on individual operations. Successful operations require organizations to demonstrate leadership by placing emphasis on the significance of the operation. Leaders should inspire employees by demonstrating the manner in which set targets contribute toward the organization’s aims. Whereas leadership and management are different, the skills required in both concepts naturally overlap. Great managers are also leaders. A manager must also demonstrate great leadership skills when managing a team. Emotional intelligence is a key requirement for leaders in the contemporary business world. Reward and performance management strategies that change employee behavior There are different reward and performance management strategies that organizations use to leverage change in employee behavior. HRM strategies are a major function of human resource professionals and managers. The types of strateg