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Organizational Change General Motors

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Organizational Change General Motors
Executive Summary

Over the past decades, organizational changes have become recurrent. It then became decisive for managers to perfectly understand this phenomenon in order to lead organizations to efficiency.

The main objective of this report is to gain a better understanding of large scale organizational change. The different changes implemented by General Motors company in an attempt to cope with the economical crisis of 2008 is a perfect example of this concept.
This paper details each change undertaken by the organization by highlighting the different pressures identifying the problems the organization met and ultimately detailing the solutions that General Motors implemented.
For this purpose, different tools and sources from the literature will be used. Such as : SWOT analysis, PESTL analysis and Burke-Litwin model on which this report is based.

The Burke-Litwin model shows that the external environment is the main driver of organizational change. This model is relevant as General Motor's pressures for change are in majority external.

In addition, the sources relied on in this report are from different journals available on internet, such as the Journal of Human Resource Management and Multinational Business Review

Ultimately, the report analyzes the results of the changes on the company performance as well as on its environment.

Table of Contents
Executive Summary 1
Introduction 3
General Motors History 4
From 1908 to 2007 4
From 2008 to 2010 5
Findings from the literature 6
The SWOT Analysis 6
Nature of changes 7
The Burke-Litwin Model 8
PESTLE Analysis 9
Application for General Motors 11
Results 14 14
Conclusion 15
Limitations of Burke and Litwin Model 15
References 16
References 17
Lazlo, C. Laugel, J. F., 1999. Large-Scale Organizational Change. Butterworth-Heinemann 17
Appendix 19
Appendix A: GM Profits and Revenues 19
Appendix B: Unemployment rate in Detroit and USA 20

Introduction

This report attempts to get a better understanding of



References: Bunckley, N., 2010. "G.M said to repaid Government loans this week". New york times online. Available at: http://www.nytimes.com/2010/04/20/business/20auto.html?ref=generalmotorscorporation[Accessed on 19 April 2010]. Bunckley, N., 2011 Constantini, F., 2011. "General Motor Corporation”. New York times online. Available at: http://topics.nytimes.com/top/news/business/companies/general_motors_corporation/index.html?inline=nyt-org[Accessed on 24 February 2011]. Dobodz, J., 2011 Jolly, D., 2009. “GM sells SAAb to Swedish automaker”. New york times online. Available at: http://www.nytimes.com/2009/06/17/business/global/17saab.html[Accessed on 16 June 2009]. Lazlo, C Ledford, G. Mohrman, S. Mohrman, A. & Lawler, E., 1989. The phenomenon of large-scale organizational change. Jossey-Bass, San Francisco,pp. 1-31. Luscombe, B., 2009. "GM 's new ad campaign: Will it restart the engines?".Time magazine online. Available at: http://www.time.com/time/business/article/0,8599,1903780,00.html.[Accessed on 11 June 2009]. Martins, N., 2009 Palmer, I. Dunford, R. and Akin, G., 2009. Managing Organizational Change. 2nd ed. Singapore: McGraw Hill. Perkowski, J., 2011. "Beyond Beinjing, the recovery in U.S. Auto". Forbes magazine online. Available at: http://blogs.forbes.com/jackperkowski/2011/03/10/beyond-beijing-the-recovery-in-u-s-autos/[Accessed on 10 March 2011]. Sloan, A General Motors profits and revenue since 1956 based on Fortune 500 numbers (, 2010) Appendix B: Unemployment rate in Detroit and USA

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