CHANGE MANAGEMENT IN ORGANIZATIONS

Change- Definition Change is something that presses us our comfort zone. Change is for the better or for the worst, depending on where you view it. Change has an adjustment period, which varies on the individual to individual and from organization to organization. Change is needed when all the props and practices of the past no longer work. Change is a human and technological problem, and could lead to pressures and conflicts that will eventually cause a breakdown somewhere in the organization e.g., an employee who becomes dissatisfied with his job and resigns. We live in a dynamic and exciting world where change is always taking place and it affects both individuals and organizations. As individuals, we regularly experience change in our everyday lives. In recent years, lives have been changed by the introduction of computers and other innovations. In other to survive and prosper in a competitive world, organizations have to change and /or adapt to change.   Change is any alteration to status quo, affecting both individuals and work environment or organizations while Organizational change is defined as the adoption of a new idea or behavior by an organization.

Change In Organization Change comes to business in many forms like merger, acquisition, divestiture, joint venture, technology implementation, organizational restructuring, or regulatory compliance It can also come from new leadership, strategic decisions to change direction to position for growth or react to changing market conditions.

What is Organizational Change? Organizational change is about reviewing and modifying management structures and business processes. Small business must adapt to survive against bigger competitors and grow.

Organizational Change Management Organizational change management includes process and tools for managing the people side of the change at an organizational level. These tools include a structured approach that can be used to effectively transition groups or organizations through change. When combined with an understanding of individual change management, these tools provide a framework for managing the people side of change.

Content Contextual Process Criterion Organizational change comprises four main issues:- Content Contextual Process Criterion Types of Organizational Change   There are four types of organizational change: anticipatory changes, reactive changes, incremental changes, and strategic changes. Anticipatory Changes are any systematically planned changes intended to take advantage of expected situations. Reactive changes are those changes made in response to unexpected environmental events or pressures. Incremental Changes involves subsystem adjustment needed to keep the organization on its chosen path or on course. For instance, adding a night shift to meet unexpectedly high demand for the company’s product is an incremental change. Strategic Changes alter the overall shape or direction of the organization, e.g., switching from building houses to building apartment complexes would strategic change.

NEED FOR ORGANIZATIONAL CHANGE Content issues focus on the substance of contemporary organizational changes Contextual issues centre on the forces or conditions present in the external and internal environments of organizations. Process issues concentrate on the actions undertaking during the establishment of intended change. Criterion issues on the other hand, tackle outcome usually evaluated in organizational change. Reasons for Resistance to Change: Why Do Employees Resist Change?   The nature of change (abrupt, sudden, unexpected) Lack of communication (not communicated in time and in acceptable manner) Misunderstanding/ Ignorance/Lack of skill Fear of the unknown/uncertainty Lack of trust (employee/manager) Fear of failure Perception of inequity(unfairness) Self interest Poor timing Different goals and objectives Economics (threat to job or income) Threat to interpersonal relationships, etc.

Set right the situation Organizations often need to correct situations, which they believe require some adjustments or change. For example, in recessionary market, an existing HR policy on variable pay may seem to be incorrect when it is based on the value of total sales. The organization may amend this with the fixed performance incentive till the market situation improves.

2. Seize opportunities to grow New market opportunity may motivate an organization to build new capabilities by expanding their activities or through strategic alliance, identifying business partners. For example, when political pressure in the U.S mounted against outsourcing to India, Infosys set up units in Canada to get U.S outsourced jobs and then routed these to their Indian Units.

3. Emerge as different entity Often, organizations change to become more flexible. While adapting to new situations is essential, flexibility in operation or functions may also be required in special circumstance. For example, developing strategic business unit based on product mix or type to make each product type an independent profit centre.

KEY ELEMENTS FOR SUCCESS IN ORGANIZATIONAL CHANGE Plan for long-term Broadly, a sound strategic vision rather than a specific detailed plan can help the organization to make reliable predictions 2.Empower people Decision should be made at the operation level through delegation of power and responsibility. This can make the organizational change process much simpler, as with increased ability for problem solving, employees will volunteer for change.