organisational change

Topics: Change management, Organization, Management Pages: 26 (8092 words) Published: October 16, 2013

Organizational Behavior
-Stephen P.Robbins
Organizational Behavior
-Shashi k. Gupta
Rosy Joshi

=>what is organizational change?
>What Is the Meaning of Organizational Change?
Organizational change is about reviewing and modifying management structures and business processes. Small businesses must adapt to survive against bigger competitors and grow. However, success should not lead to complacency. To stay a step ahead of the competition, companies need to look for ways to do things more efficiently and cost effectively. There is no need to fear change. Instead, small businesses should embrace change as a way to lay the foundations for enduring success. -Drivers

A company's change drivers include the competitive environment, new technologies, consumer demand, economic conditions and government policy actions. Information technologies have changed how businesses operate and interact with one another. New business models, such as outsourcing and virtual collaboration, would not be possible without high-speed communications and the Internet. Government regulations also force businesses to adapt, as do changing consumer preferences. Recessions usually lead to layoffs, which may require restructuring, and mergers and acquisitions lead to changes in organizational culture. -Significance

Companies that refuse to embrace change may disappear. However, change is difficult because it involves modifying people's behavior. Resistance may come from employees who are generally skeptical of change initiatives, especially if they have lived through botched implementations in the past. Successful organizational change requires top management leadership and a clear explanation of how the contemplated changes can help employees do their jobs more efficiently. -Implementation

Organizational change typically consists of three stages: establishing the need, implementation and monitoring. To establish a need for change, senior management could articulate where the company wants to be in five to 10 years and what it needs to do to get there. For example, a saturated local market may force a company to consider international expansion. The second stage involves changing structures and processes, such as reducing the number of management layers, combining business units, reassigning management, reducing employee headcount and giving division managers more decision-making flexibility. The final stage involves monitoring the results from the organizational changes and making appropriate adjustments. -Issues

Change efforts fail for different reasons, including lack of focus and inadequate communication. Change initiatives that try to do too much tend to fail. It is better to succeed with small change projects, such as improving the response time in customer service centers, and then building on this success to implement complicated changes. Leadership should talk to employees in one-on-one and group settings to answer questions, exchange ideas and generally alleviate concerns. Organizational change management (OCM) is a framework for managing the effect of new business processes, changes in organizational structure or cultural changes within an enterprise. A systematic approach to OCM is beneficial when change requires people throughout an organization to learn new behaviors and skills. By formally setting expectations, employing tools to improve communication and proactively seeking ways to reduce misinformation, stakeholders are more likely to buy into a change initially and remain committed to the change throughout any discomfort associated with it. >Successful OCM strategies include:

-Agreement on a common vision for change -- no competing initiatives. -Strong...
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