Understanding Organizational Change: Insights from 'Leading Change'

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After reading chapters one through four of the book Leading Change by Kotter, a better understanding of the eight steps of creating major changes in an organization has been gained by the author. Change is always happening in some shape or form. Competition drives change within organizations. Companies drive each other; they can challenge each other to compete. A good example of that is Ford and Chevy; they have been battling each other for decades on who can make the nest sports car in America. Competition is good for both the consumer and the organizations: it can lead to numerous great ideas. As the great Albert Einstein once said, “Insanity: doing the same thing over and over again and expecting different results”. This leads to what …show more content…

Starting with error number one. The company has allowed people to get complacent at their jobs; some employees have been working with the company since it opened its doors here in Bakersfield back in 1988. Having worked at a company or an organization for more than 25 is not a bad thing; the bad part is when organizations allow employees to get complacent. Complacency is just one of the eight error observed at Nestle, others include; failing to create a sufficient guiding coalition, under communicating or no communication, permitting obstacles to block the new vision, failing to create short-term wins, and finally neglecting to anchor changes firmly in the corporate culture. Out of the other five errors observed a Nestle, the second most common would have to be under communicating or no communication at …show more content…

Step one ensures that the organization realizes the need for change. Competition or consumers demanding a more competitive price for the goods or service that is being provided usually cause of the needed change. At Nestle, the completion has already imitated some of the product we produce. If we fail as a company to provide that product at the highest level, quality wise, and at a reasonable cost the consumer will buy our competitor. This is why creating the sense of urgency would help when a change needed to be made at Nestle. A change driven by the consumer is one of the latest trends in the food industry, which is the non-GMO (genetically modified organisms). The consumer has driven this change; however, we as an organization must create that sense of urgency within the organization. Step two would be to create the guiding coalition; this begins with the upper management. However, it must also include the production employees. As Yu and Lee explain, “In this circumstance, top management teams should help employees mentally prepare for change” (2015, p.177). The production employees will be the most affected, if these employees buy into the change, both of the examples mentioned above will stand a good chance of creating a successful change at Nestle. Yu and Lee also mention that, “Employees' positive behavior, emotional capability and Positive Psychological Capital play critical

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