Several years ago, I had worked in a manufacturing Company, C. Electronic Group, in Mainland China as an administration manager. The company had two factories in South China; they were nearby in order to get the advantage of sharing the resources, total workers were around two thousand. The company was an electronic manufacturing base; In this company, I experienced the strike which was the first time for me to handle. The strike was happened as top management needed to introduce more new machines to improve the efficiency and effectiveness. In fact, the sharp raised the cost of materials and labor in Mainland China, and the new requirement of government in different countries were the pressure of external environment, it made change was inevitable. The new machines could reduce half of manpower and electricity to operate, the speed was 40% faster than old one, but it needed more attention and awareness in operating and maintenance. It was not only the financial but also the technological factors triggered the change. Obviously, it was not accepted by the old workers as they needed more complicated to operate especially learning the maintenance and repair of new machines, they were resisted to learn more and sometime refused to operate the new machines, they always used the old machines for production neglect the warning of managers, they all complained the operating of new machines were too complex to learn. Because of the primary stage to testing the efficiency of new machines, no fierce punishment had been taken by management. But the strike occurred while the annual bonus had released and some level of supervisors had adjusted the salaries basis. By communication with their representative of production department, the reasons of strike were: 1)They all complained that the annual bonus and salary adjustment were not fair which compared with the other department, 2)even on the same production department, some newcomers who had trained by them still achieved the better results and adjustment. 3)They refused to train the newcomers again and argued the Performance Appraisal System was superficial evaluation their working ability. In fact, low efficiency and productivity in those old workers were being recorded in past three months, it reflected in their annual personal appraisal. The case was settled after a half year, but the schedule of new machines installed was delayed, and the morale of workers was in weakening. Besides, it damaged the image and confidence in our clients and recorded a negative growth in that year as a result.
To review the whole case, replacement of machines was the main reason to activate the event, this typical change was inevitable and would happen in anytime as it was under the pressure of external environment, but it could have done better. I would like to revisit this case to take for an example to provide more information; it would be help for our decision making in facing the present problem.
Theories of change model
First of all, some theories I should recommend for supporting my point of view, it would be clearer in our mind when manage the change. 1) “Leading Change: Why transformation efforts fail,” Kotter, JP 2007, He conceptualized eight primary reasons that organizations are unsuccessful when implementing efforts to change: 1 Establish a sense of urgency.
2 Create a guiding coalition.
3 Develop a vision and strategy.
4 Communicate the change vision.
5 Empower employees for broad-based action.
6 Generate short-term wins.
7 Consolidate gains and produce more change.
8 Anchor new approaches in the culture.
It is an eye-opening series of revelations about the mistakes that leaders make and the ineffectiveness of the predominant approaches to organizational change. He emphasized that managing change is the key component of successful leadership.
Submitting the plan of change process
I submit the plan to Board of...