Why organisation need to change




















Incremental change is more of an evolutionary form of change and usually internally driven. Discontinuous change is a revolutionary form of change, often unplanned and externally driven. Organizational change management is designed to reduce potential negative fallout of any general, structural changes in a business.

Specifically, organizational change management focuses on both the micro and the macro levels. Whether requiring workers to learn new skills, reallocating responsibilities and priorities or investing in new tools or software, organizational change management process involves a top-down approach to managing change. While change at the project level is important, it ultimately does not tend to extend beyond the boundaries of the project itself.

That is to say, project-level change can be somewhat isolated, or specific, in impact. Change at the organizational level, however, affects all employees in a particular company, including the individuals and teams working on various projects. One might say that organizational change encompasses project-level change. For this reason, organizational change tends to be felt at a deeper level and for a longer period of time.

It is, therefore, important for companies to manage any organizational change as effectively as possible. Managing a successful organizational change can increase morale among workers and drive positive teamwork and job enrichment. These factors can directly and positively affect productivity and quality of work while shortening production cycles and reducing costs.

Effective organizational change management allows the company to maintain a constant state of evolution and facilitate periods of general business change, allowing workers to remain motivated and productive during the introduction of new technologies or procedures.

The COVID pandemic has created a situation of rapid change and disruption for organisations and an ongoing need to respond and adapt: changing their focus, expanding or contracting their activities and rethinking their platforms, products, and services. In the wake of the pandemic, financial pressures, corporate scandals and greater public scrutiny, organisations are developing a more balanced view of their stakeholders, and taking account of a greater range of considerations beyond financial in making decisions.

Meanwhile, technology is driving new forms of employment relationship and fundamentally changing the way businesses operate. In this context, organisations need to introduce and manage change to achieve organisational objectives, maintaining the commitment of their people, both during and after implementation.

Often, at the same time, they must also ensure that business continues as usual. People are at the centre of many of the changes in the workplace.

People professionals and HR functions are among those best placed to drive effective change. They have a role and responsibility to ensure that organisation development, re design, due process, employee voice and clear communications are appropriately and effectively addressed as part of the change process.

Failure to introduce effective change can have a high impact: loss of market position, removal of senior management, loss of stakeholder credibility, loss of key employees, and reduction in employee engagement and motivation. Organisational forms are themselves evolving. Increasing competitive challenges and the need to be responsive to changing environments are resulting in new organisational models.

Traditional models following functional or matrix lines are being supplemented by models that rely on project teams, networks and virtual structures. The COVID crisis has seen many organisations rapidly shift their model of how and where work gets done. Change management responses will also have to be adaptive. In theory, some of these newer models, for example virtual and project-based structures, allow increased flexibility to respond to change.

However, they are not always introduced uniformly, and in practice often bring other issues that affect change management, for example ability to share knowledge and to operate efficiently. They may also impact communication or employee commitment, which themselves have implications for change effectiveness. Individual change initiatives are not always done as part of a wider coherent change plan.

For example, a change that considers a new structure, but fails to establish the need to introduce new systems or processes to support such a structure, is less likely to succeed. Lack of effective project management and programme management disciplines can lead to slipped timings, not achieving desired outcomes or ensuring that the projects do deliver as planned. Insufficient relevant training, for example in project management, change management and leadership skills, can all impact negatively on the effectiveness of any change initiative.

Poor communication can be linked to achieving effective change in various ways. For example, imposed change can lead to greater employee resistance see below or misaligned expectations. Change initiatives can also be over-managed, with too much energy spent on project management and too little on enacting change.

Resistance to change can be defined as an individual or group engaging in acts to block or disrupt an attempt to introduce change. Resistance is not necessarily negative, as it may be a clear signal that the change initiative requires rethinking or reframing see below.

Resistance itself can take many different forms from subtle undermining of change initiatives and withholding of information to active resistance, such as through strikes. They can also result in lower employee morale and competent skill development. Ultimately, a lack of effective change management can lead the organization to fail. Within an organization, every employee has a different role in assisting with change. While many staff members may complete heavily detailed work, senior-level executives with longer tenure might have different goals.

Even within management, leaders and managers perform different tasks. Leaders, for example, have to be courageous by taking on risks. To be successful as a leader , you must be insightful and know who to put in charge of carrying out change processes.

Managers are more concentrated on making business transitions successful. They focus on implementing change by determining the discrete steps that need to happen and their sequence. Managers are also typically responsible for allocating resources, such as personnel, and determining how success is measured. To achieve this, managers must have a wide array of skills , such as:. Then, create a roadmap that clearly articulates and measures success, and explains how the business—and its employees, customers, and constituencies—will be affected.

Performance gaps: This occurs when an organization's goals and objectives are not being met or other organizational needs are not being satisfied. Changes are required to close these gaps.

New technology : The identification of new technology can lead to more efficient and economical methods to perform work. Identification of opportunities: Opportunities are identified in the market place that the organization needs to pursue in order to increase its competitiveness. Reaction to internal and external pressure: Management and employees, particularly those in organized unions often exert pressure for change.

External pressures come from many areas, including customers, competition, changing government regulations, shareholders and financial markets in the organization's external environment. Mergers and acquisitions: Mergers and acquisitions create change in a number of areas often negatively impacting employees when two organizations are merged and employees in duel functions are made redundant.

Change for the sake of change : Often an organization will appoint a new CEO. In order to prove to the board they are doing something, they will make changes just for their own sake. Something sounds good: Another reason organizations may institute certain changes is that other organizations are doing so, such as the old quality circles and reengineering fads. It sounds good, so the organization tries it. Planned abandonment: Changes as a result of abandoning declining products, markets, or subsidiaries and allocating resources to innovation and new opportunities.

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