Factors that affect the Organisational Change

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Change is a power full force / tool which make many sectors in a countries economy to move forward. Organisational change refers to alternation of structural relationship and roles of people in the organisation. Change takes place in all organisations but at different type of speed and degree of significance.

The change forces to affect in a faint and pervasive way in businesses and our daily lives. We can easily identify changes in civil industry by its progress, but may be it will be difficult to recognise the changes in other industries this will lead failure of efficiency, productivity, profitability, and personal inefficiency.

Most of the organisations in the companies depend in a straight line and in a roundabout way to offer services to other companies. Slow economy in developed countries may affect the companies in developing countries.

The intent of this assignment is to share few ideas and more details about managing change

In organisation.

Task 1


The key points which changes the organisation in every industry in current economy are


Human resource



Customer & consumer taste


Technological and communication advances are leading to reduced entry costs across world markets. This enables organizations to become multinational company

However, marketing via the internet, communication via e-mail and other technology applications are all still reliant. The knowledge asset of the company is its people, is becoming increasingly crucial to its competitiveness, the only sustainable competitive weapon is your people

Human resource

Unlike a few years ago are today's organizations in the economy under severe stress by unpredictable, turbulent and competitive. When companies make the ever-growing competition, then they are clearly effectively managing the grid resources. The management of work in an organization is indeed no easy task, because people basically have different feelings, thoughts, desires and needs. However, if it effectively to the management of human resources, it is more important to plan how to use human resource to get the most out of the workforce, This is where planning of human resources measures taking into account both the organisation and employees. Human Resource Planning is the process by which management ensures that the right numbers of people with those skills at the right time are available to help correct position for the company to achieve its goals


The messages may move in both directions between stations in the networks, it is easy to see that some individuals occupy key positions with regard to the number of messages they handle and the degree to which they exercise control over the flow of information. If the workers are given an opportunity to

Involve in the process of change, the resistance is likely to be less. But if the change is not properly communicated in an acceptable manner to the employees it is likely to cause resistance.


It happens every day companies must often fight to maintain their share of market. Competition has always been crucial to organizational success; today competition comes from around the globe. As it has become increasingly less expensive to transport materials throughout the world, the industrialized nations have found themselves competing with each other for shares of the international marketplace. Extensive globalization presents a formidable challenge to all organizations wishing to compete in the world economy. The primary challenge is to meet the ever-present need for change

Customer & consumer taste

Health consciousness as a permanent trend amongst all age groups now days throughout the world are in current economy majorly affects the organisations in current time. The growing awareness and concern with the content of food products textile products electrical products created a movement away from synthetic towards natural products.


Strengths of bureaucratic organisation are proper controlling, proper reporting, manageability, dedicated authority and accountability.

Weaknesses of bureaucratic organisation are delaying decision process due to multi-layer reporting, redundant management levels and unhealthy competition with in the organisation.


To achieve significant change requires a change in mission, at a minimum. It is traumatic for an established bureaucratic organization to change its mission. There is an immediate impact on the culture. Employees will be cynical, and people will be slow to adopt the desired change.

Mission-driven organizations will choose a mission that is focused on the customer. The specific mission will depend on the nature of the products or services that the organization intends to provide to its customers.

Product-based organizations might define their mission in terms of customer satisfying, product quality.

For manufacturers, whose customer loyalty will be most deeply influenced by the customer's perception of product quality?

Service-based organizations will aim for extraordinary customer service like banks and insurance companies, whose customer satisfaction depends on the organization's policies, practices and procedures

Hybrid organizations will make their mission to achieve customer dazzling service and satisfying product or service quality but also by the customer service, they must choose a mission that must combine quality and service-always with the focus on achieving customer satisfaction.

There are three particular and effective alternatives for the organisational development they are semi private company Ltd, private limited company and private & public company Ltd

Semi private company are formed by a group of members can form a company without investing on shares; they will only guarantee to contribute to company assets if it is wound up.

Private Limited Company is formed to run the organisation and they will be liable to invest amount based on agreement.

Private and public company Ltd is where arrangements are made between public and private sectors in jointly working agreements. It covers all types of association between public and private to deliver policies, services and infra structure.


A stakeholder is an individual or group influenced by and with an ability to significantly impact (positively or negatively) the topical area of interest.

Stakeholders each have different information and perceptions of an issue. In looking a the impact of climate change in an area and how people might adapt local people have valuable knowledge about the locality, the history, who are the most vulnerable and how they have coped in the past.

When making changes in the organisation, the organisation will have to consider that the stakeholder's requirements has not been disturbed. Government, environment and local community had to be informed about the changes made by the organisation.

If the organisation makes any changes without informing or getting permission will lead to stop the action of organisation and it will lead to the downfall of the organisation.

The five key principles of successful change management. Adopting these principles will enhance significantly your chances of success. Those principles are:

The Sponsorship

The change program has the visible support of key decision-makers throughout the organization and resources are committed to the program.


Planning is conducted methodically before program implementation and committed to writing. Plans are agreed with major stakeholders and objectives, resources, roles and risks are clarified.


Program objectives are stated in measurable terms and program progress is monitored and communicated to major stakeholders.


Stakeholders are engaged in genuine two-way dialogue in an atmosphere of openness, mutual respect and trust.

Support structures

Program implementers and change recipients are given the resources and supporting systems they require during and after change implementation.

The change management process is characterized by a set of key points in which an organisation change process should be aware of:

Clear and convincing reason should be there for adopting the change program

Do you have clear picture when and where this change will happen

Requirements to keep the initiative moving forward should have been met

Are there enough objective data needed to convince the sceptics available

Do the people feel the urgency to change

Identify who are the stakeholders in this change

Are you aware of the motivations of each stakeholder

Communication plan should have been developed

stakeholders should be engaged in the change process

The goals should be reached to lower levels of the organization

The implementation plans should be in place for supporting attainment of goals

The performance measurement and reporting systems set up

The change management and new operational accountabilities should be clear

The right people should be selected for the right roles

People with responsibilities should have the necessary skills

Project management principles and methods should be used.

The proportion of goal and task assignment should be appropriate

The training plan should be sufficiently scoped and adequately resourced

The teams should be developed and supported for high performance

Supports should be in place to ensure transfer of training to the work place

There should be focus on soft skills as well as technical skills

The information, human resource and other systems should support the new operational environment

Performance results should be reported and successes must be celebrated

The planning must be sufficient to ensure some quick wins

Remuneration, rewards and recruitment systems must be aligned with the change objectives

Managers and supervisors should lead as an example

If every above points answer is yes then the change process can go-ahead without any hesitation.


Whatever the change program is one key area requiring key attention is the identification and management of change stakeholders. A stakeholder is any person with an interest in the change process or will be the outcome of the proposed change. Stakeholders bring an amalgam of competing interests and often act to further their own power with them they are influence and survival. Who are your major stakeholders and how will you get them on board and retain their support throughout the life of your change program?

Another essential activity is the setting of clearly defined and measurable objectives. Goal setting done well engages stakeholders and commits them to the program. Other benefits include focusing effort to where it is important and providing a yardstick for measuring program success by measuring are your goals hazy and hard to put a finger on, or are they smart enough? Do they link to the objectives of the organization and do they have widespread and genuine support across the organization?

Only people can make your organizational change happen. Programs fail when roles and tasks are not agreed and clarified. The organizations with a low performance culture, many employees and managers will expend considerable effort in hiding from responsibility. What are the key roles and responsibilities for bringing about the change in your area? For example like who are the people that occupy each role in your change program? Have the right people been selected for the right roles?

Whatever your change initiative, most likely the above-mentioned roles will not be working in isolation. More and more, results can only be achieved through people working in collaboration - in teams. Are your teams of the optimal size - not too small and not too big? Have you got the right team leader? Do they have the necessary technical and interpersonal skills? One reason why teams are much more productive than individuals working in isolation is that members may leverage off each other's strengths and compensate for each other's weaknesses. Do your teams have the right balance of natural working styles? At times, teams get stuck. What is your strategy in moving stuck teams forward?

Training is an indispensable tool for skilling teams and bedding in change. Many organizations, however, fail to benefit from the resources spent on training. Soon after the training is completed, employees continue to cling on to the old way of doing things. How successfully are you using training in your organizational change program? Do you have a well-articulated training plan? Does the training focus on behaviour change or simply on content? Have you planned for back in the workplace support? Do your managers actively support the training?

No matter how good your training, some employees, customers and suppliers will resist the change. Unless you have a well-thought out strategy for dealing with resistance, resisters will wear your program down till it grinds to a halt. Are your resisters out in the open or do they work from the underground? The stated reasons for resisting may simply be a smokescreen. Have you uncovered the real reasons for resistance to your program? How have you helped people work through the psychological process of change? What is your strategy for overcoming resistance to change?

Bringing about change in organizations today is fraught with uncertainty. However, when done well


I like to prefer kotter's 8- step change management model for a better success in the ongoing process of the organisation.

This allows change management teams to focus their activities on specific business results. The model was initially used as a tool for determining change management activities like communications and training were having the desired results during organizational change. The model has its origins in aligning traditional change management activities to a given result or goal for the current trend organisation.

Knowledge about how to change is the goal of training and coaching. By identifying the required outcomes or goals of change management, kotter's 8- steps becomes a useful framework for change management teams in the planning and execution of their work. The goals and outcomes are defined by kotter are sequential and cumulative. An individual must obtain each element in sequence in order for a change to be implemented and sustained.

Create Urgency

For change to happen, it helps if the whole company really wants it. Develop a sense of urgency around the need for change. This may help you spark the initial motivation to get things moving.

Identify potential threats, and develop scenarios showing what could happen in the future. Request support from customers, outside stakeholders and industry people to strengthen your argument.

Use significant time on energy building urgency, before moving onto the next steps. If we jump in too fast to next step without preparation we will risk in more short-term losses.

Form a Powerful association with in your company

Convince people that change is necessary. This often takes strong leadership and visible support from key people within your organization. Managing change isn't enough

"Powerful Association" needs to work as a team, continuing to build urgency and momentum around the need for change.

Identify the true leaders in your organization.

Ask for an emotional commitment from these key people.

Work on team building within your change coalition.

Check your team for weak areas, and ensure that you have a good mix of people from different departments and different levels within your company

To Create a Vision for Change

When you first start thinking about change, there will probably be many great ideas and solutions floating around. Link these concepts to an overall vision that people can grasp easily and remember.

Determine the values that are central to the change.

Develop a short summary (one or two sentences) that should symbolize what you "see" as the future of your organization. Create a strategy to execute that vision. Ensure that your change associates can describe the vision in five minutes or less.

Communicate the Vision

What you do with your vision after you create it will determine your success. Your message will probably have strong competition from other day-to-day

Openly and honestly address peoples concerns and anxieties.

Apply the organisations to all aspects of operations - from training to performance reviews. Tie everything back to the vision.

Remove Obstacles

Your organisation been sharing about your vision and building a buy-in from all levels of the associates. Hopefully, after all these process people with in the organisation want to get busy and achieve the benefits.

Identify leaders whose main roles are to deliver the change.

Look after organizational structure and performance and compensation systems to ensure they're in line with your vision. Recognize and reward people for making change happen. Identify people who are resisting the change, and help them see what's needed to be done like explain them in way that the change is needed to move forward and what are the visions.

Create Short-term Wins to move forward.

Success motivates more than anything. Give your organisation a taste of victory early in the change process or within a short time frame

Without this critics and negative thinkers might hurt the organisation progress. Creating short-term targets not just one long-term goal and achieves the smaller targets, with little room for failure. The team may have to work very hard to come up with these targets, but each "win" produced can further motivate the entire staff through the change process

Create a successful action plan for personal and professional advancement during change process.

Choose projects that you can implement without help from any strong critics of the change. Early targets that are expensive may be disastrous. Justify the investment in each project. Analyze the potential advantages (pros) and disadvantages (cons) of your targets. If we didn't succeed with an early goal, it can hurt your entire change initiative. Reward the people who help you meet the targets.

Build on the Change progress

By learning from kotter's model many change projects fail because victory is declared too early. Quick wins are only the beginning of what needs to be done to achieve long-term change. Analyze what went right and what needs improving after each win. Set goals to continue building on success you've achieved. The continuous improvement and success is by keeping ideas fresh, even it can also be by bringing in new change agents and leaders for the change.

Finally Anchor the Changes in Corporate Culture

To make any change it should be part of the core of the organization. Corporate culture often determines what's done, and what needs to be done so the vision must progress in day-to-day work. Continuous efforts ensure the change is seen in every aspect of the organization. This will help to have a solid place in organization's culture. Company leaders, staffs and stakeholders support is a must to continue the change process. This includes new staff and new leaders who are brought in. If you lose the support of these people, you might end up back where you started.

Include the change ideals and values when hiring and training new staff.

Publicly recognize key members of your original change coalition, and make sure the rest of the staff - new and old - remembers their contributions and motivated by the success. Creating plans to replace key leaders of change will help and ensure that their legacy is not lost or forgotten.

Key models in appropriate change:

Kotter, kaizan, Shareef, Al-Kazemi model are similar in analyzing the change.

Burke, Carnall, Greiner, Johnson and Leavitt, Kotter models suggest that an individual or group within the organization should champion the cause for change. Top-management support and commitment to change play an especially crucial role in success.

Outcome of the implementation process:

The benefits and outcome of the change are known before implementation and serve as motivators and assessment of progress the organization can respond faster to customer demands. Organizational effectiveness and efficiency is maintained or even improved by acknowledging the concerns of staff. The time needed to implement change is reduced and the possibility of unsuccessful change is reduced.

Employee performance increases when staffs feel supported and understand by the change process. Increased customer service and effective service to clients from confident and knowledgeable employees

An effective change management process lowers the risk associated with change. Change management helps to contain costs associated with the change. These results will lead to clear success.