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Understanding Organizational Change Factors

The document discusses the concept of change in organizations, identifying both external and internal forces that drive change, such as competition, economic conditions, and technological advancements. It also addresses resistance to change and strategies for managing it, including effective communication and employee involvement. Finally, the document differentiates between unplanned and planned change, outlining a structured approach to implementing change successfully.
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0% found this document useful (0 votes)
10 views6 pages

Understanding Organizational Change Factors

The document discusses the concept of change in organizations, identifying both external and internal forces that drive change, such as competition, economic conditions, and technological advancements. It also addresses resistance to change and strategies for managing it, including effective communication and employee involvement. Finally, the document differentiates between unplanned and planned change, outlining a structured approach to implementing change successfully.
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© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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ORGANIZATION BEHAVIOUR ASSIGNMENT

WHAT IS CHANGE? It can be referred as an innovation OR

It is the alteration of the existing activities.

CAUSES OF CHANGE

EXTERNAL FORCES

1] COMPETITION: It occurs especially when the competitors change


their methods of operation.

2] ECONOMIC FORCES: Such as poor economic performance might


force the organization to change or to enforce cutting of prices [price
reduction].

3] SOCIAL CULTURE: When organization needs cultural changes such as


change of religion eg Islams don’t eat pork or stay near pigs.

4] POLITICAL: If politics situation becomes very risky you have to change


eg during election period like that of August .

5] CHANGE OF CURRENT TECHNOLOGY TO MODERN: That is the


coloured [Link] which contains wifi/internet from white and black [Link].

6] CHANGE OF WEATHER: This will force managers to change according


to that current weather ie when it is dry one uses irrigation and
fertilizers to boost his crops.

INTERNAL FORCES

1] Change of the existing procedures which have become irrelevant.

2] Existing structures ie line and matrix structures which have become


rigid to flexible one.
3] Change of existing products and services which are no longer
competitive in the market [rechargeables and use of solar products
instead of batteries].

4] Change of training programmes which have become irrelevant in


light of work methods and technology.

5] Change of promotion policy which is no longer professional ie


promoting an employee from one grade to another because of his or
her looks instead of using the papers and his profession.

6] Change to meet the demand of the trade unions ie COTU which deals
with employees and when it introduces a new law people may resist.

RESISTANCE OF CHANGE

THERE ARE INFLUENCING FACTORS WHICH ARE:

1] Fear of the unknown.

2] Fear of losing power.

3] Fear to lose prestige.

4] Failure to understand why change is being introduced due to poor


communication.

5] Fear of losing chance to go for further studies.

6] Resistance due to be transferred to a technology that one does not


know ie computer technology and a person is illiterate.

MANAGEMENT OF RESISTANCE TO CHANGE/REDUCTION

1] Educate and communicate effectively with employees on the need


and benefits of change ie focusing, planning, controlling and training.
2] Involve employees in planning the change process ie managers to
avoid problems in future you introduce a referendum eg yes or no.

3] Negotiate with the employees who are likely to resist change.

4] Negotiate with the department which are likely to resist change ie in


the account department tell them the benefit of that change.

5] Introduce change gradually [slow way].

6] Provide emotional support including time off during the most


difficult period of the change process.

7] Selectively use information which gives emphasis on positive aspects


of change.

8] Employees likely to resist change may be co-opted eg be on the same


side with them and explain why.

9] Assign new positions created to those who resist during the change
process ie professional way of doing it.

10] Demand that members accept change or risk losing rewards and
other benefits ie must accept this.

11] Enforce tentative change or trial.

12] Demand that change is accepted or lose that chance or risk


separation.

TYPES OF CHANGE

UNPLANNED CHANGE: Changes may be introduced in an unplanned


manner in response to a change in the demographic composition of an
organization ie lack of diversity or social equality. This changes are
typically internal unplanned changes.

External factors that include economic uncertainities and changes in


Government regulations, play a crucial role in compelling organizations
to change. These changes are often chaotic and expensive and prompt
companies to act within limited time, it is because of this that solutions
tend to be short term fix to a current problem.

PLANNED CHANGE: This change aims to prepare the total organization


to adapt the significant changes in the organizations goals and
direction. It deliberate design and implementation of a structural
innovation, a new policy or goal or change in operating philosophy,
climate or style. The change is successful if it is taken in planned way
which proceeds in a sequential form :

1] Identifying need for the change: Identify when change in


organization is required because change for the sake of change may
produce much stronger resistance while useful and necessary.

2] Elements to be changed: What elements of the organization should


be changed will largely be decided by need and objectives of change.
While the process of the identification of change will provide clue why
change should take place, it diagnose the problems caused because of
which change is necessary ie declining profit may require change but
does not specify what elements are to be changed it is necessary to
diagnose the factors which are responsible for declining.

3] Planning for change: At this stage, managers should plan about how
the change can be brought in the light. Planning for change includes
who will bring change, when to bring change and how to bring change.
4] Assessing change force: In a group process, there are some forces
favoring change and some opposing it to maintain equilibrium. In a
situation, there are both driving and restraining forces which influence
any change that may occur .Driving forces are those which affect a
situation by pushing it in a particular direction, they tend to initiate a
change and keep it go.

Restraining forces act to restrain change or to decrease the driving


forces. Equilibrium is reached when the sum of driving force equals the
sum of restraining forces.

5] Action for change : It comprise three stages;

a ]Unfreezing: Is the process in which a person casts aside his old


behaviour which might be inappropriate, irrelevant or inadequate to
the changing demands of the situation.

b] Changing: Is the stage at which the individual being changed learn


new behavior methods of working, new thinking, perception of new
roles.

c] Refreezing: It means that what has been learned is integrated into


actual practice .At this stage, the individuals internalize the new beliefs,
feelings and behavior learned during the changing phase. They adopt
these elements as a permanent part of their behavior repertoire [stock
of works that a performer knows or is prepared to perform].
REFERENCE

1] Management of organization behavior by Paul Hersey and Kenneth


H. Blanchard

2]

Common questions

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Departments may resist change due to perceived threats to their roles, processes, or influence within the organization. For instance, accounting departments might resist changes affecting financial procedures if new methods are seen as undermining established protocols. To address this, management must engage these departments early in the change process, providing clear rationales and benefits specifically related to their functions. By involving department leaders in planning and decision-making, management can build trust and reduce fear. Tailored training and support can smooth transitions, while highlighting improvements and efficiencies to be gained can motivate acceptance and collaboration .

Planned change is a deliberate approach where organizations prepare to adapt to significant changes in goals and direction, often involving structural innovations and policy updates. This methodical progression ensures changes are integrated smoothly and sustainably, particularly when they are anticipated and aligned with strategic objectives. In contrast, unplanned changes arise spontaneously due to external pressures like demographic shifts or regulatory changes, often leading to chaotic and costly adaptations with short-term fixes. Planned changes generally yield more positive long-term outcomes, facilitating smooth transitions and minimizing disruptions, while unplanned changes may resolve immediate issues but risk creating instability without addressing underlying problems .

Failing to address resistance during organizational change can lead to stalled progress, decreased morale, reduced productivity, and potentially, failure of the change initiative. It may result in a prolonged adjustment period, heightening disruption and conflict within the organization. To mitigate these risks, leaders should engage in effective communication, involving employees in the change process and addressing concerns transparently. Providing support and resources, such as training or counseling, and recognizing contributions can encourage cooperation. By acknowledging and managing resistance, organizations can facilitate smoother transitions and enhance acceptance of new initiatives .

The primary external forces driving organizational change include competition, economic forces, social culture, political changes, technological advancements, and weather changes. Competition forces organizations to adopt new methods of operation to stay competitive, while economic downturns might necessitate price reductions or other financial strategies. Social cultural shifts could require changes such as new religious accommodations, e.g., the need for companies in diverse regions to respect religious dietary restrictions. Political instability, like election periods, introduces risks that may lead to organizational restructuring. Technological advancements create pressure for innovation, such as adopting modern technologies over outdated ones. Finally, changes in weather patterns require adaptive practices such as irrigation during dry seasons. These forces can lead to resistance due to fear of the unknown, loss of power or prestige, misunderstandings, or lack of skills for new technologies .

Organizations can manage and reduce resistance to change by employing several strategies. These include educating and communicating effectively with employees to clarify the need and benefits of change, involving employees in planning to ensure buy-in, and negotiating with potential resistors among employees and departments. Gradually introducing changes helps to ease transitions, while providing emotional support can address personal concerns. Organizations can co-opt employees likely to resist change by assigning them roles that mitigate their fears. Additionally, selective communication of positive aspects, assigning new positions to resistors, and enforcing tentative changes can facilitate adaptation .

Internal factors necessitating organizational change include outdated procedures, rigid structures, obsolete products or services, irrelevant training programs, unprofessional promotion policies, and new demands from trade unions. For instance, aging procedures or structures may impede flexibility or responsiveness, requiring shifts to more adaptable models. Irrelevant products or services weaken market competitiveness, compelling innovation. Challenges arise from the need to realign organizational culture, reassess skill sets, and possibly retrain staff to ensure operational continuity. Such changes must be carefully managed to prevent disruptions in workflow and maintain employee morale and productivity .

Economic forces can greatly impact organizational change efforts by necessitating shifts in pricing strategies, resource allocation, and market positioning. Poor economic performance might compel organizations to cut prices or reduce costs, challenging them to maintain profitability while adapting operations. To prepare, organizations should develop flexible strategies and maintain financial reserves to withstand downturns. Furthermore, investing in market research and innovation can help preemptively adapt products and services to fit changing economic conditions, thus enhancing resilience and agility amidst economic fluctuations .

The action phase of organizational change involves three stages: unfreezing, changing, and refreezing. Unfreezing is about preparing individuals to abandon old behaviors that are no longer appropriate, thus setting the stage for acceptance of new practices. The changing phase focuses on learning new behaviors, methods of working, and perspectives, effectively instilling the desired changes. Refreezing involves integrating the new behaviors into everyday operations, ensuring they become part of the organizational repertoire. This stage is crucial for embedding changes permanently, reinforcing new norms and preventing regression to former practices, thereby achieving lasting transformation .

Demographic changes, such as shifts in workforce diversity or aging populations, can create unplanned organizational change needs. These shifts may require updates in hiring practices, diversity initiatives, or retirement policies. Strategically, organizations should assess demographic trends to anticipate potential impacts and adjust strategies. This includes implementing inclusive practices, creating training programs for different age groups, and ensuring equitable advancement opportunities. Additionally, leveraging diverse perspectives can enhance innovation and decision-making. By considering these factors, organizations can proactively manage demographic-driven changes, aligning them with broader operational goals .

Selective information dissemination can be a tool for managing organizational change by focusing on positive aspects, thereby encouraging acceptance and reducing resistance. It helps in shaping perceptions and building support. However, it can also pose risks if employees perceive manipulation or withheld information, leading to mistrust and skepticism. Overly positive portrayals that omit potential challenges may result in unpreparedness and disappointment. To balance these dynamics, organizations should strive for transparency, providing comprehensive information while emphasizing benefits. This builds credibility and trust, ensuring employees are informed and engaged constructively in the change process .

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