Factors Influencing Employees Resistance to Change

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EBS Business School

MSc Leading Organizational Change

Essay
Employees Resistance to Organizational Change

Student ID: 22030643
Submitted to: Prof. Marjo-Riita, PhD
Submission Date 26th March 2013

Table of Contents

List of Abbreviations………………………………………………….i List of Figures……………………………………………………..….ii

1 Introduction…………………………………. ………....................1 1 Resistance to change……………………...................................…1 2.1 Human’s nature………………………………………..................1 2.2 Sociological aspects…………………………….............................2 2.3 Psychological aspects………………………………..……………2 2.4 Misunderstanding……………………………………..………….2

2 Overcoming on Resistance to Change…………………….……..3

3.5 Education and Communication………………… . ..…………...3 3.6 Participation and Involvement………. …...…………………...3 3.7 Facilitation and Support……… . ………………………………..4 3.8 Negotiation and Agreement…………...………………………….4 3.9 Manipulation and Co option…………………………..…………4 3.10 Implicit and Explicit coercion……………………… …..……….4

3 Example of PTCL(Pakistan Telecommunication Company Limited)………………………………………………………..….5

4 Conclusion…………………………………………………..…….5

References…………………………………………………..…….7

Appendix………………………………………………..…………8

List of Abbreviations
S.No| Abbreviation| Explaination|
1| VSS| Voluntary Separation Scheme|
2| PTCL| Pakistan Telecommunication Company Limited.|
3| UAE| United Arab Emirates|

List of Figures
Appendix 1: Responses to Change…………………………………………………………… 8

1 Introduction
Organizational change is a response to stimulants of changing and dynamic environment, Technological innovations, Business growth or changes in laws and policies. In order to sustain competitive advantage of business and grab new opportunities an organization is subject to adapt its activities to these changes as good as possible. In this age of discontinuity the organizational change becomes inevitable and can play a pivotal role in the success or failure of an organization but on the other hand it is a challenging task for Managers to introduce change to an organization and alleviate the problems of its successful implementation. The following essay is focusing on the factors which influences the employees resistance against organizational change and how Managers can overcome these problems,describes in light of Change Management theories and a practical example from industry. 1.1 Resistance to Change

Organizational change is not merely restructuring or adaption to new organizational operations but before putting the change into effect Managers have to overcome the employees resistace. Employees may have concerns about the type of change, the method of its implementation and its consequences because it effects employee’s work and position and hence organizational change initiatives are usually resisted by employees (Sita C. Amba Rao, 1989). The major reasons which influence this resistance are 1.2 Human’s nature

Its a common trait of Human’s nature to feel wary while entering into a new territory which is unkown for him/her and initially feel reluctant to adapt with the new environment. They feel more comfortable with their old environment even if it does’t work. It is the fear of “new” the definition of which is “unknown” for humans and creates uncertainity and confusion in their minds. By avoiding this discomfort people tends to be more offensive in order to defend themselves. Concerning to this Human’s nature employees often shows resistance to organizational change initiatives. (Stephen & Robert, p 4)

1.3 Sociological Aspects
National culture plays a vital role in setting organizational behavior and it serves as a symbolic meaning to the dwellers of a country. A change would be obviously resisted if it does’t take into account the social norms of a society. Employees perception...
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