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Coping with change: change management models and philosophies
Effect of change growth and development in an organization
Change management theories, techniques and leadership
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Why do large organizations tend to be more formalized? In order for large organizations to maintain good quality and consistency of its products they must lean toward being more formalized. Large organizations usually have a wide range of specialties within the organization, which produce variety products. Therefore, due to its complexity large organizations have the tendency to be more formalized. In addition, in order to effectively operate large organizations, rules, controls procedures and policy manuals are needed indeed. Without these rules and procedures large originations cannot effectively control large number of employees, departments or customers for that matter. Unlike large organization, small companies tend to have simpler operations systems, because of the fact that those companies often have much smaller number of employees; therefore they virtually require no policies or manuals. In fact, these companies might be so small that employee run into each other daily and communicate regularly and therefore formalization is not necessarily. Why do organizations experience resistance to change? What steps can managers take to overcome this resistance? Whenever there is a change , it is virtually impossible not to experience resistance.To overcome resistance managers must identify all sources and reasons as to why this resistance is happing . A manager must modify his/her efforts to effectively maintain the issues of change and to ensure success to this new change In contrast to what rumors say that change can contribute to problems in organizations, chang can actually be healthy. Change in fact opens one eyes to new opportunities, makes one overcome personal fear, and most importantly makes ... ... middle of paper ... ...orks and so forth. The organization will require enormous amount of commitment in this phase or stage. The organization will do more work and earn less money in this stage.The organization will show consistency to customers to prove them that whenever customers place an order, the organization deliver the order in time. In the next stage of development the organization will strive to move forward as a result of hard work the organization had put into its operations in the early stages.Unlike the previous stage, in this one the organization will develop a more dynamic way of way to handle things.The organization will encounter less hardships and more result in this phase. As the organization had grown bigger , they will be faced with noticeable competition, this competition can be looked at and sized as an opportunity to start a joint venture with competitors.
Every organization will experience a change of leadership at some point or another. CEO’s of organizations will move on to take on different challenges in their lives or many of them will retire. There are few changes that can occur in an organization that could have a larger impact than a change at the top of the management chain. According to Firoozmand (2014) resistance from employees is an occurrence that is a part of the natural process of change. This is no different in the event of a change of leadership. New leaders will bring in a new vision, culture, and expectations that employees may not be ready or willing to accept.
Kegan, R. & L. Laskow Lahey. (2009). Immunity to Change: How to overcome it and unlock potential in yourself and your organization. Boston, MA: Harvard Business Press.
Changing situations throughout the world affect all organizations in business today. Therefore, most organizations acknowledge the need to experience change and transformation in order to survive. The key challenges companies face are due to the advancements in technology, the social environment caused by globalization, the pace of competition, and the demands regarding customer expectations. It is difficult to overcome the obstacles involved with change despite all the articles, books, and publications devoted to the topic. People are naturally resistant to fundamental changes and often intimidated by the process; the old traditional patterns and methods are no longer effective.
Organizational structure is one of the three key organizational assets that could contribute to the effectiveness of operations of any organization (Zheng, Yan and Mclean 2009) It is joined together by different flows of information, decision processes, hierarchy of authority, specialization and working materials. (Enz 2009; Mintzberg 1980) Furthermore, it also determines the operating workflow, control of information, decision-making in the organization and the line authority (Mintzberg 1980). The facets of the organizational structure, the relationships that exist within it, and how the business processes (Bititci et al 2011) are controlled, determine the managerial style that should be utilized in addition to the strategies the organization could implement. Going further, a company’s organizational design and the parts that constitute it are seen as a contributing factor to superior performance, which ultimately provide an organization with competitive advantage over its competitors. (Enz 2009; Zheng, Yang, and Mclean 2009)
Prevention of resistance is most effective when implementing change. Preventing the weight of inertia in a workplace allows the change to happen in a timely manner with minimal problems. As Lee (2004) emphasizes, leaders have the ability to effect change and performance. If someone is accountable for outcomes and poor habits, outcomes will improve. The manager must show a caring attitude over the process of change and welcome any positive innovation. This caring attitude will become contagious to the employees working under him and become a priority to them as well. Approaching the change in an accepting, open-minded manner can decrease the vulnerability and frustration associated with change. How the change is presented can make the biggest difference in the outcome of the change. The manager must show that blaming will be avoided at all costs. One will only ask why, not who, to avoid the feeling of belittlement. This can allow employees to become comfortable with voicing their opinions and mistakes, which can allow an even greater range of improvement. The manager must also encourage...
Organizations can be configured in many different ways. Their overall classifications can be summarized by characteristics of complexity within the system, the level of formalization, and the centralization of decision-making power. The structure of each organization is influenced by many factors. Such factors include; the goods and services provided, the overall individuality of the staff providing the service and producing the products. The overall beliefs and values of the individuals performing the services that are being delivered, the technology that is utilized to help deliver the services and aid in product production, as well as the needs, desires, and generalized characteristics of the consumer population that requires or demand the product or service. (Yoder-Wise, 2007, p. 145) The organization will have different operating priorities based on its ownership. The main goal behind most business is to make money. The private owned institution strives to make its shareholders money, while a non-profit institution reinvests all of its revenue back into the orga...
Formal and Informal sector intersect when the subject relates opportunity costs enforcing the cost-benefit approach. Legalist perspective suggests that formalization is the mechanism to protect business and property rights, creating capital, raise productivity and attract investments. De Soto (2000) argues that the real estate value is worth of USD 9.3 trillion in the Third World countries that exceeds any kind of donation and loans from the developed world. We witness the unique “entrepreneurial ingenuity” that the poor created in the developing world. Although, it is a dead capital which cannot be used for economic development, unless treated properly. De Soto claims that the higher formalization, the more potential exists to accumulate wealth and decrease the poverty rate. The concept that he considers crucial generating capital flow is the “surplus value” created by the formalization and property rights. Assets’ economic potential must be fixed in order to initiate additional production. Assets must be integrated into one formal representational system; that is how the West succeeded in capitalist realm. In 1849, California, the Congress gradually integrated the informal property created by immigrants and miners . Thus, benefits from the company perspective of operating formally are as follows: limited liability not risking the whole property of the business/owner; enforceable commercial contracts, enabling business entities insure rights and obligations to be met; access to finance and market information, legalised and registered entities benefit from the trust of financial institutions; access to government incentives, including procurement tenders and export promotion policies; access to public infrastructure and services; ...
Change in an organization occurs when an organization identifies an area of where necessary change must be undertaken, examines it thoroughly and adapts to it. This may lead to gaps where employees may not adapt to a certain change and therefore it is important that an organization takes into considerati...
Over recent years companies have become less dependent on paper and more dependent on technology. Take American Honda Motors for example; the Davenport Parts facility recently converted computer systems to more efficiently manage its inventory. Prior to its new system months of preparation was needed in order to ensure a smooth change over. Without the four basic functions of management all working together success would not have been possible.
... Worley, C.G. 2006, p.11) is two significant factors that make the organization’s change difficult. Management systems are designed affects every level in the organization structures and processes when make change. On the other hand, people rewarded for stability impact organizational change seriously because people like working in a stability environment and they resist change. It is very difficult for organization to make changes in those two areas.
Leadership is about change, but what reactions need to be taken if there are resistors for the change. In every organization there should be some employees who resist the change, but a smart leader is the one who try to come up with a list of resistors before applying the change and try to solve them. Some of the common resistors in most of the organizations are: lack of control, more work to be done and culture acceptance.
In this process, a mutual agreement is established between the OD practitioner and the members of the client system in how the OD consultant will work on the problems within the organization. Hence, during entering and contracting, the organization’s problems and opportunities for growth and improvement are discussed between these two parties. During this process, the limitations are set on how the consultant can execute the different phases of the OD process.
Business performance in a Functional Organization without structure can be severely affected by the irregularity of the flow of communication over separate levels of the hierarchy making the organization slow to involve the new technology, the political status, the economy, cultural variations or social elements and legal problems. It generally has a narrow span of control which may cause injustice to certain groups and individuals. The level of influence an employee possesses will affect his output which may affect a group that may lead to affecting
Individuals go through a reaction process when they are personally confronted with major organizational change (Kyle, 1993; Jacobs, 1995; Bovey & Hede, 2001). Within this process there are four phases that it consists of: initial denial, resistance, gradual exploration, and eventual commitment (Scott & Jaffe, 1988; Bovey & Hede, 2001). Resistance to change is the initial area to focus on. The issues of organizational change and resistance to change have received a lot of attention over the past decade (Macri, Tagliaventi & Bertolotti, 2002). The perceptions of individuals play a fu...
Transformational leaders and managers who have strong lines of open communication with their employees have been shown to lessen stress and resistance during organisational change (Nging & Yazdanifard, 2015). Heckelman (2017) outlines four tools that best equip managers for dealing with organisational change: