All organizations are destined either to perish through business failure from being left behind by the competition or to accept that undertaking change is a natural part of business life in order to keep customer requirements, the need for improvements or customer demands.
The organization ‘s stakeholders have to accept such change is seen as being appropriate for the specific organization and its customer will respond positively to the change. There are a number of reasons for change, through either incremental drift of lagging behind others or the need for a more large scale change initiative through evolution or revolution.
Need for Change- The need for change exits when the manager being a change agent finds that there is a wide gap between the desired and actual states of performance productivity, customer satisfaction, employee satisfaction which help the manager for introducing planned changes. These changes could be;
➢ The economic conditions, which in turn affect the supply and demand for capital, labour, raw material, managerial knowhow; ➢ Technological developments, which render present production methods processes obsolete; ➢ Consumer preferences and tastes and the pace of market competition; ➢ The labour market environment;
➢ The political climate;
➢ Composition and characteristics of union which could aid or obstruct organizational goals and ➢ The government’s role in regulating business and industry.
The process of change implementation needs to be aligned to a three phase approach which is described below:
Phase 1: Organizational pre-positioning- The first phase focuses on the preparations for change through communications with stakeholders. It concentrates on the preparation for the introduction of changes to the organization’s structure and the delivery of general management awareness training to workforce. This important phase is aimed at preparing the organization for change, gaining commitment from those involved and managing the associated risks.
Phase 2: Change management plan implementation- This phase concentrates on the implementation of the changes in accordance with the agreed plans and the business objectives. During this phase any new senior management appointments will be initiated and the new organization structure implemented.
Phase 3: Ongoing support and consolidation phase- The focus will be on continual support and improvements as the changes become embedded within the organization and regarded as the ‘way to do business’. This third phase leads to the longer term and more difficult cultural change into the transformed organization and for employees to understand their new roles and their contribution to the success of the organization.
The basic underlying objectives of change are: 1. modifying the behavioural patterns of members of the organization and 2. improving the ability of the organization to cope with changes in its environment.
Steps to successful change:
1. Increase urgency - inspire people to move, make objectives real and relevant. 2. Build the guiding team - get the right people in place with the right emotional commitment, and the right mix of skills and levels. 3. Get the vision right - get the team to establish a simple vision and strategy, focus on emotional and creative aspects necessary to drive service and efficiency. 4. Communicate for buy-in - Involve as many people as possible, communicate the essentials, simply, and to appeal and respond to people's needs. De-clutter communications - make technology work for you rather than against. 5. Empower action - Remove obstacles, enable constructive feedback and lots of support from leaders - reward and recognize progress and achievements. 6. Create short-term wins - Set aims that are easy to achieve - in bite-size chunks....