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Why organization change is inevitable
Why organization change is inevitable
Why organization change is inevitable
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Miller and Friesen (1980)The change in 24 structural and strategy making variables overtime is analysed by a study of 26 companies.Organizations were found to resist reversals in the direction of change in strategy and structure.Two extremes were demonstrated: periods of momentum in which little or no trend is reversed and dramatic periods of revolution in which huge trends are reversed.
Organizations are resistant to change for reasons such as : due to pursuit of stability , avoidance of uncertainity , reluctance to deviate from programmed activities, inability to innovate, for economies of stability etc, Yet this resistance is advantageous to certain firms that are loosely structured, organic, and oriented towards product market innovation, expert power based, etc.Any emerging organizational tendency (like decentralization, technocratization etc),whatever its direction will tend to have momentum associated with it.
A Model of Organizational Adaptation
The model has three related tenets
1. Momentum is expected to be a dominant factor in organizational evolution.Reversals in the direction of change in variables of strategy and structure are expected to be rare.
2. Momentum is likely to coexist among a great many variables of strategy and structure at the same time. Changes(or stability)in the variables will tend to occur together, or will follow one another after a very brief interval, in order to maintain an appropriate balance or "configuration .” so momentum in one variable will lead to momentum in others.
3. Organizational adaptation is also likely to be characterized by periods of dramatic revolution in which there are reversals in the direction of change across a significantly large number of variables of strat...
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...mentum. Thus a myriad of structural and strategic reversal follows.
Organizations evolve in a manner that is quite similar to the development of scientific knowledge.They evolve consistenly in accordance with a perspective,strategy, ideology, and mission of their own; concepts that are manifested by an integral alignment or gestalt among environmental, organizational and strategic variables. To reverse and abandon this would be exceedingly costly and would result in many discrepancies and imbalances. Major stimuli is required to prompt a revolution. An important note of caution in interpreting the findings is focus has been on significant general tendencies and not a condition that holds for all historical sequences. The findings represent significant tendencies in the sample. The study has given a small insight into the dynamics of adjustment in the corporates.
I have experiences organizations that lacked consistency and thought around their goals and as a result constantly restructured. Organizations that are constantly running after new ideas lack focus therefore can’t achieve their goals.
An organization might have a structure in place for change but they must also look at the finances. An organization must have appropriate finances to handle the change and must keep the organization profitable (Nielsen and Abildgaard, 2013). Both finances and the social environment within in an organization are resources that can potentially limit an organization from
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.
Organizations operate in a turbulent environment that forces them to change even against their will to do so. Every organization has a fair prediction of its future that is why they all spend time and resources to put in place strategic plans. More often they get challenged not to follow these plans because they fail to appreciate that change is a natural phenomenon which is intimately entwined with continuity and that change-continuity continuum is what defines organ...
Porter, M. E. (2008). The five competitive forces that shape strategy. Harvard business review, 86(1), 25-40.
Palmer, I., Dunford, R., & Akin, G. (2009). Managing organizational change: A multiple perspectives approach (2nd ed.). Boston, MA: McGraw Hill
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.
Porter, M. E. (2008). The five competitive forces that shape strategy. Harvard business review, 25-40.
Organizational change affects all levels and individuals of the organization in question. Although a change effort can originate in any part of the organization, it will eventually require strategic effort from the top and buy-in from the bottom in order to be sustained.
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...
The idea of change is the most constant factor in business today and organisational change therefore plays a crucial role in this highly dynamic environment. It is defined as a company that is going through a transformation and is in a progressive step towards improving their existing capabilities. Organisational change is important as managers need to continue to commit and deliver today but must also think of changes that lie ahead tomorrow. This is a difficult task because management systems are design, and people are rewarded for stability. These two main factors will be discussed with reasons as to why organisational change is necessary for survival, but on the other hand why it is difficult to accomplish.
At the core of every successful organization lies that specific organization’s application of the basic principles of organization development. In the book written by Carter (2004) entitled Best Practices in Leadership Development and Organization Change, the concept of organization development was defined as an organization-wide effort and conceptual initiative intended to increase an organization’s viability and effectiveness. In most cases, organization development is described as a change initiative and educational strategy aimed at changing the values, beliefs, attitudes, as well as the structure of an organization for the betterment and improvement of the overall firm’s performance. On the other hand, some organizational analysts argue that while organization development may include a long list of change efforts initiative and implemented by a firm, this does not necessarily mean that such changes in the organization may bring about positive impact or consequences on the firm’s performance (Carter, 2004).
One of the first scholars to describe the process of organizational change was Lewin (1974). He described change as a three-stage process that consists of unfreezing, moving and freezing stage. During the unfreezing stage the organizations become motivated to change by some event or objective. The moving stage is like implementation when the organization actually makes the necessary change. Furthermore the freezing stage is reached when the change becomes permanent. Organizational change has also...
Strategic renewal is another desired outcome of corporate entrepreneurship. The new economic order and business environment has created a pace of change which requires businesses to adapt more frequently and rapidly than ever before. The changes could involve corporate structure, mergers and acquisitions, addressing new market opportunities, changing product portfolios, repositioning, adapting infrastructure, or adopting new technology. Managers in an organization must be able to take stock of its situation under changing market conditions and agree on a coherent new strategy that will meet the challenges of the present as well as of the future.
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...