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Essays Organizational Change

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A Strategy for Organizational Change

The situation of AB Organisation is very complex and difficult, due to the unstable situation given in the external environment and in the internal structure of the company.

The first step that the new Managing Director of the AB Organisation must take is to analyse the past and present situation of the company, to know the reasons of the situation nowadays.

Through the SWOT (Strengths, Weaknesses, Opportunities and Threats) analyse and the PESTEL (Political, Economic, Sociocultural, Technological, Environmental and Legal) framework the company will know their own strengths and weaknesses, the needs of their customers and nature of the environment in…show more content…

This will be reached by visioning techniques and scenario building, so we could create different organisational realities and select the most favourable for the company.

To apply this vision in the company, we have to use a changing program or strategy. Due to the situation of the AB Organisation company we consider that the best strategy for change is the Four Phase Model of planned change of Bullock and Batten(1985).

This strategy will describes Planned change through two major dimensions: change phase and change process.

So we are going to follow 4 steps in our change program, to change the present situation of AB Organisation.4

The first phase consist in explore and decide if we want to realise changes in the AB Organisational company. Due to the situation of the company with its under-performing and counterproductive Management, and the change of the industry, we consider absolutely necessary to put in practice a radical change. Our first task is to plan the changes.

For this first step we are going to need an impartial part in this process, which has

Task 1

Organizational change is the management of realigning an organization to meet the changing demands of its business environment, including improving service delivery and capitalizing on business opportunities, underpinned by business process improvement and technologies. It includes the management of changes to the organizational culture, business processes, physical environment, job design/responsibilities, staff skills/knowledge and policies/procedures.

Types of changes

  • Anticipatory changes: planned changes based on expected situations.

  • Reactive changes: changes made in response to unexpected situations.

  • Incremental changes: subsystem adjustments required to keep the organization on course.

  • Strategic changes: altering the overall shape or direction of the organization.

This changes or explains using ABC manufacturing company this company is a leading company in the Hong Kong toys manufacturing being establish, being original tools producer, they specialize in mass production of both promotional and conventional toys for major toy marketing companies. Recently, in the United States, retailers have adopted a cautious ordering pattern. This was mainly attributable to a grouping of issue in the toy industry. The toy industry is experience a transforming period, in which the nature of toys and the mode of doing business are both evolving. The core of this change is technology

The current review of the modify writing will focus on 3 main process-oriented perspectives, which demonstrate considerably different conceptualization of how modify affects organizations:

  1. The change is typified by sure pattern that involve organizations similarly

  2. The organizations are challenge to keep up their entity and identities all over a transition and

  3. The change have an effect on the individuals inside an organization additional basically than it does the organization as a whole

Each viewpoint is illustrated below.

Patterns in the change process

Currently a basic explanation of change that has been included into many organizational consultants' and managers' developing models of organizations in their efforts to recognize and straight the method of systemic change.

Lewin's points of view explain 3 basic steps that are inbuilt in any change process.The first one he called "unfreezing". It includes overcoming inertia and taking apart the existing "mind set". Defense mechanisms have to be bypassed.An model of this unfreezing would be a sequence of management guidance sessions in which the require for change is indisputably exposed. The 2nd step is called movement and engages taking achievement to change the organization's community system from its unique stage of activities or procedure to a new stage.This is typically a period of confusion. We are aware that the old ways are being challenged but we do not have a clear picture to replace them with yet.Finally, the 3rd step is called "refreezing". This engages establishing a process that makes sure the new stages of performance will be comparatively protected beside deterioration to prior modes of procedure.

Supply a model of a modern approach to organizational change that improvements from Lewin's 3-stage process. For him, unfreezing is the procedure of making motivation and readiness for change. In common, there are 3 ways of completing this:

  • Disconfirmation, when peoples of the organization skilled a need for modify which, in turn, inspired them to hold in your arms modify;

  • Induction of responsibility or nervousness linking the founding of a apparent gap among what is not at present operational well and a preferred future state; and

  • Creation of mental protection provided that a surroundings in which people feel secure enough to skill disconfirmation and induction.

The 2nd step foris changing, which is like to the association in Lewin's model. This is the procedure of helping people to see effects in a different way and respond in a different way in the future. Changing can be complete by recognition through a new role model, manager or advisor, which allows one to see effects from another's point of view, or by examine the setting for new and relevant data. The 3rd step, refreezing, involves integrating the change procedure during individual refreezing, which engage taking the latest, tainted way of responsibility things and appropriate it contentedly into one's total self-concept, and relational refreezing which engage successfully integrating the new performance in connections with important others.


Challenges to organizational identity

Andfocus on the significance of the transition status all the way through which the organization should discover the way in arrange to improvement as of its "present state" toward its "desired future state". Member of an organization first recognize their frustration with the present state and then recognize a preferred future status, thus telling the new role, function, or arrangement that the organization requirements to adopt. To administer this transition efficiently,andsuggest creating a transition management team (TMT) self-possessed of leaders who are valued by the organization and contain insight, objectivity and effective interpersonal talents. This team should be also have the capital and power to manage the change procedure. Andadditional suggest "activity planning" as a instrument for making a complete road map of all the tasks so as to should be accomplished through the transition stage in order to pull off the preferred future state. Increase onandmove toward, importance the active nature of modify and the significance of a valuable transition management team collected of people who account straight to the top management and be able to commit every one their time and attempt to managing the change procedure.

Frompoint of view, for successful change to happen it is serious for the transition management team to manage the "dynamic" inspection of modify, not just the character piece of it. The best part of this procedure is efficiently communicating, all through the entire organization; the fresh effort procedures that force describe the changed organization. In adding up, the TMT should be answerable for managing the touching connections that are necessary for the successful achievement of every transformation.


Impacts on individuals

The third set of move toward to modify anxiety the knowledge of individuals in the change process.In 1986 and1990 focus on the psychosomatic modification that individual workers of an organization should build throughout modify. These authors expand a regularly ignored feature of organizational change, the crash on the each and every.

There a 3 part independent transition process to accompany Lewin's 3 stages of change. The 1st stages engage leasing goes of one's old state of affairs and individuality. For ex: a manager who is person encouraged to improve a additional participative environment in her work group might be to believe the loss of the additional control, which she might be working hard in excess of a number of years to protected, then she is to be successful. The 2nd stage is explained as the "neutral zone", wherever organizational employs move throughout a phase of disagreement as they looking for a new framework and identity so as to they can utilize to found themselves in the modifying organization. Follows, connection situation with the aim of the "new beginning or final stage of transition" cannot happen awaiting the different fatalities knowledgeable in the first 2 stages be acknowledged, accepted, and resolved.


Integration of change process models

All of the theoretical frameworks totally explained on top of focus our thoughts in relation to organizational modify from the broader, common patterns of modify that influence the organization as an entire, behind to the complicated psychological modification individual staff of the organization should build all through the actual improvement procedure. Taken only or mutually, though, these 3 viewpoints do not supply a all-inclusive or integrated considerate of the organizational change procedure that is helpful for managers who discover themselves in the situation of planning or execute modify.These frameworks integrate the strengths of the theoretical perspectives presented above and incorporate main issues concerned in assess the on the whole efficiency of the modify procedure.

The models consist of the following elements:

  • Individual response to change: relating to the nature, prevalence, and service of resistance to change.

  • The general nature of change: relating to whether valuable big system change is evolutionary or radical in nature and the attribute patterns that place for the change hard work in organizations.

  • Planning change: relating to the reason of modify in organizations, link of the idea, how to get from the present to the prospect, and blockade to effectual transitions.

  • Managing the organizational side of change: relating to the plan and structural issue of systemic and longtime modify labors.

  • Managing the people side of change: relating to how, at what time and how a great deal to communicate on modify inside the organization, and emotional issues linked to transition.

  • Evaluating the change effort:relating to markers of a modify attempt's success.

Task 2

Management Objectives

  1. To allow changes while, at the same time, maintaining or improving service stability and availability.

  2. To increase the probability of change success.

  3. To reduce or minimize the ratio of changes that need to be backed out of due to inadequate preparation.

  4. To ensure that all parties affected are informed of planned changes.

  5. To provide a record of changes implemented to assist with and shorten problem determination time.

  6. To ensure that technical and management accountability for all changes is identified.

  7. To assist with the accuracy of predictions of impact, such as response time, utilization, etc.

  8. To ensure that all affected parties are not only informed, but necessary documentation and training is in place prior to the implementation.

Knowledge Objectives

  • Explain how organizations and individuals respond to change

  • Explain how management can reduce resistance to change.

  • Describe why unfreezing-change-refreezing is important for OD

  • Identify and describe conflict resolution techniques, and elements of effective negotiation

The objectives of ABC Company this are:

  • analysis the literature of Change Management;

  • analysis the Change Process;

  • supply learning result to shows the change develop the company presentation;

  • show up the resistance of the process;

  • suggestion to the company for additional change improvement.

In ABC Company using a Lewin's model and Integration of change process models in this models using to solve the ABC Company problems. In this the Lewin's model is a 3 stage method if we tack biggest ice cube, but realize that you want the cone of ice, what action you tack? First you should melt the ice to create it agreeable to change (unfreeze). After that you should pattern the iced water into the shape you want (change). Lastly, you should freeze the new shape (refreeze).

By look at modify as procedure through separate stages, you can arrange yourself for what is near-term and create a plan to supervise the transition, looking previous to you jump, so to speak. Every one as well frequently, people go into modify blindly, reasoning much redundant turmoil and chaos.

To start on any successful modify procedure; you have to first start by considerate why to modify should take place. Since Lewin place it, "inspiration for modify should be produced ahead of change can take place. One should be helped to return to lots of esteemed statement on oneself and one's dealings to others." it is the unfreezing stage from which change begins.


Unfreeze

This first stage of modify engage plan the organization to recognize that modify is required, which involves break down the existing status quo before you can build up a new way of operating.

Key to this is implementing a convincing note presentation why the presented way of responsibility things cannot keep on. This is easiest to border when you can point to waning sales records, poor economic results, worrying client satisfaction review, or anything: These illustrate that stuff have to modify in a way that each person can recognize.

To plan the organization productively, you require starting at its center, you require braving the viewpoint, values, attitudes, and behaviors that at present describe it. Using the similarity of a structure, you should observe and be organized to modify the presented foundations as they strength not support append storey's; except this is complete, the entire structure may risk fall down.

By forcing the organization to reconsider its core, you efficiently make a crisis, which in rotate canister make a strong incentive to search for out a new stability. Without this inspiration, you won't catch the buy-in and contribution needed to achieve any significant change.


Change

Later than the improbability formed in the unfreeze stage; the modify stage is wherever people start on to decide their improbability and seem for new way to do things. People begin to consider and act in ways that maintain the new direction.

The evolution from unfreeze to change do not take place immediately: People get time to squeeze the new path and contribute proactively in modify. A associated change model, the Change Curve, presented on the exact issue of individual transitions in a modifying setting and is helpful for sympathetic this exact feature in extra fact. In arrange to recognize the modify and contribute to building modify successful, people require to recognize how the modify will advantage them.

Not everybody will fall in line just since modify is needed and will advantage the company. This is a general statement and drawback that must be avoided.


Refreeze

When modifies are taking shape and people have hold the new ways of working, the organization is prepared to refreeze. The external signs of the refreeze are a steady organization diagram, dependable job metaphors, and so on. The refreeze stage also requirements to help community and the organization internalize or institutionalize modifications. This means building definite that the modifications are used every one of the time; and so as to they are built-in into daily business. With a new wisdom of strength, staff feels convinced and contented with the new ways of working.

The foundation for generate a new wisdom of strength in our each modifications world is often question. Even although modifications are a stable in a lot of organizations, this refreezing stage is still significant. Without it, workers get caught in a transition trap where they aren't certain how equipment must be done, so nobody always gets done to full capability. In the absence of a new frozen stage, it is very complex to begin the next modifications proposal efficiently. How do you go about believable people that amazing requirements modifications if you haven't permitted the most recent modifications to sink in? Modifications will be apparent as modification for change's sake, and the inspiration necessary to execute new modifications simply won't be there.

As element of the Refreezing procedure, build sure that you rejoice the victory of the modify, this helps people to discover finish, thanks them for lasting a aching time, and helps them consider that expectations modification will be successful.

Change management using to find requirements and tells the managers of ABC Company. For ABC Company, change management is a significant feature of the organization and their assignment is to make sure that modifications made to the manufacture atmosphere are track, review, tested, communicate, execute and authorize; dropping/eliminate harmful collision to the business. The services of universal competition have sent shock effect that has gone very little organizations untouched.

Continued existence in today's world stress that organizations implement the competence to struggle on lots of fronts: speed, cost, quality, service, technology, innovation, knowledge management, and new goods, to name a few. More and more, the only sustainable spirited improvement is the aptitude to organize in actual fact, react to modification, and manage well. The component of modification is obvious and it is the majority risky for any business to discount it. The enveloping nature of modification affecting so lots of pieces of the business scene has optional the watching that the only lasting component in the setting of business is modifications. Of exacting significance are possibly the modifications linked to the next factors: automation, science, electronic data processing, simulation and models and lots of other factors linked to manufacture, giving out and economy. The simplest idea of modifications is most likely the incremental model, and must be what ABC Company must go after.

There are many benefits to effective Change Management, including

  • Reduce time to implement changes

  • Better cost estimates for proposed changes

  • Enhanced management information regarding changes

  • Improved ability to smoothly regress to a previous state in the event of change failure or unanticipated results

  • Disruptions to ongoing service provision are minimized.


Task 3

Resistance to Change

"People resist change." This belief has been deeply ingrained within the organizational life. A number of organization theories has focused on the process of change and suggest that in most cases, organizations resist change. Resistance to change occurs because organizations are embedded in the institutional and technical structures of their environment. Structural resistance to change lengthens the time that is necessary to implement a change.

Summarized the research on resistance and explored how such information can be used to successfully navigate change. It has been emphasized that the resistance to change is the barrier to organizational change attempts. It encompasses a variety of behaviors from passive resistance to active resistance or even aggressive resistance. Resistance to change is an outcome and a natural product of change. Because of this, resistance to change or to the consequences of change (e.g. loss of status, alteration of work, discomfort, perceived disadvantages to work alteration) has been considered to be managerial pariah. Much of the change literature and management on the subject is devoted on forestalling or reversing resistance.

However, the universal axiom that people resist change has been challenged. For exampleargued that individual resistance to change is quite rare. Instead, the obstacles to change are often found in the organization structure, in its performance appraisal or compensation system which is yet to be aligned to the desired changes.

In their empirical study, and concluded that resistance to change is not the fundamental problem that organizations must address. Rather it is usually an indication of more basic problems that underlie a particular situation. Thus, it can serve as a warning signal that may direct the timing of the proposed change. As such, resistance draws the attention to the aspects of the change that may be inappropriate, not well analyzed or plainly wrong. When individuals demonstrate symptoms of resistance, it is important to distinguish between the symptoms of resistance and the causes behind it. Specifically, the management can use the nature of resistance as an indicator of the cause of resistance. It will be helpful if the management assess the causes when it occurs instead of inhibiting initially.


Management of Resistance

Leading the organization through change involves the constructive balancing of human needs with those of the organization. Since the organization consists mainly of people, organizational change essentially involves personal change. From this perspective, change requires the participation of people who must change first before the organizational change succeeds. This argument is supported by management literature suggesting the participative techniques as the best method to handle resistance.

Classic studies concluded that individuals' involvement in the learning, planning and implementing the stage of the change process influences the commitment to change and lowers resistance. The argument behind the participative management techniques is that a two way communicative process of information sharing and consulting leads the employees to become more committed to the change effort instead of simply exhibiting compliance.

Employee participation has been viewed in the literature in terms of the obligation of the members to work in the best interest of the group; as ego involvement; as a managerial style or as mandated approach that allows the employees to influence decisions. Much of the literature posited the argument that employee participation in organizational decisions facilitates an increased acceptance of change and commitment to the organization's future. Without entering the debate regarding the pros and cons of participative management styles, it becomes apparent that the goal to reduce high levels of resistance is to reduce the level of resistance encountered.

When organizations form for a stage they classically resolve into patterns of perform, thinking and relating. Habits rise up approximately such basics as:

How does equipment get done?

How to communicate to authority?

Who socialize with whom?

How are successes and failures dealt with...?

How do relaxed communication networks function?

How is authority exerted?

These models develop into the organization's "unwritten rules" and they make up what we would describe the "atmosphere" in an organization. Personnel who modification organization or responsibility notice the variation between working in one situation and another. This difference is frequently intangible and hard to illustrate. It is moderately about environment and frequently about recognized civilization something like the significant issues of working and connecting. Familiar rules are in places which help out be the group "unique" and help the continued existence of the lineup or group.

When new workers join an organization they are socialized keen on the organization's patterns of perform and thinking. The new worker learns the supports and studies how to obtain on in the organization. A group's ritual is passed on from invention to making, so that later than a while the organization is oblivious that these "rules" exist and is power them. This intensely implanted postulation constitutes the organization's culture. When it comes to issues of modification, the intensely implanted traditions and supposition which are held by the workers of the organization play a key role in how modification is facilitated or resisted.

Anyone effort to transport concerning modify in an organization which is well-established should receive the factors of that organization's culture and norm into description and effort to continue them or make possible the organization to recognize how the culture and standard are blocking potentially helpful change. Then, the organization is able to leave on generating new standards once the limits of the offered standards have been recognized and approved on. Implement modifications which break up the organization's culture and break what holds the organization mutually request resistance.

The ABC organization is fundamentally answerable for whatever modification programs the company is responsibility. There are times when modification is slow and is not pleasing in areas where it is required. This could be measured as a human resource purpose, but senior management also drama a role. The senior management should consequently look keen on such condition and take suitable action.



Task 4

As mentioned in the previous question, reactions on the specific changes differ, whether negative or positive. This effect of change had been cited in Lewin's (1951) theory of change. In this theory, Lewin noted that managers should be aware of the two types of resistance forces that can result from change. These forces are derived from customs or social habit and the other is from inner change resistance. The root of change resistance is brought about by the interplay between the group and its individual members. As most group members would want to maintain behavioral norms of the group, the individual resistance from each member would increase. This is the same in organizational application. Some ABC staff would want to maintain their usual work routines and practices; these employees' resistance influences others, thus, the issue worsens.

The company however, did not leave the problem unaddressed. The management encouraged its staff to participate in its training sessions, one-on-one sessions, team meetings, and follow-up sessions. Once the one-on-one sessions got underway, positive word-of-mouth quickly began to change employee attitudes. When people heard about the effectiveness of the belief approach in solving various organizational problems - and how good their co-workers felt after their one-on-one sessions - they became less apprehensive about participating and even began to look forward to meeting with their managers.

The introduction of change at ABC resulted to several effects on its personnel. Although the change project was intended to improve the company's operations, negative issues had also been observed. For instance, the initiation of change in the company has been difficult at first due to the resistance of some employees. The employees believe that change in the company will only take valuable resources such as funds, time and energy. They also believe that changing their work routines will only lead to work disruption. This in turn affected the training programs conducted during the change implementation phase as some employees would refrain to participate in the said programs.

Internal change and external change may highly affect the people involved in the company, co in order for them to be prepared for the changes that would occur within the company, I proposed a meeting that would at least, give them a brief insight on the goings-on within the company. Though this meeting may not change the whole effect of the changes implemented, at least, the people involved would not feel left out.

Significant developments were obtained by the company through its introduction of change. Its ability to develop effective developmental strategies for instance, had been developed. Through the initiation of change, the company management was able to develop a change project that directly addresses its main issues. By developing an appropriate plan, PNS was able to gradually achieve its objectives. This development is important as this allows the company to apply cost-effective projects. The value of this development had been stressed by the contingency theory. Basically, the contingency theory stresses that there is no single way on how one can manage different organizations.

The change allowed the retail company to apply the concepts indicated in the contingency theory. In turn, this enabled the company to increase its competitiveness. Considering that the company is being threatened by the presence of several competitors and new business entrants, the change made it possible for PNS to maintain the business and integrate essential improvements. These include the development of highly-skilled employees, acquisition of better customer relations and enhancement overall store operations. In addition to this, the modifications in the company made its management sector more aware of the different pressures affecting the business. Another important development in the company brought about by change is that it made the company more adaptable, resourceful and creative. In terms of human relations, designing a change project that is directed for the customers and employees made the company more people-oriented, which is an important feature in today's business sector. As people serve as the main support of the company, learning how to give them due value is an important factor for PNS's progress in the future

Source: Essay UK - http://www.essay.uk.com/free-essays/management/organizational-change.php


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