Change and the Management of Change Essay

throw ManagementPlanning, Implementing, controlling, and reviewing the movement of an organization from its current state to a advance unrivaledCauses of ChangeExternalIncremental (Evolutionary)Occurs slowly over time (fuel-efficient cars)Dramatic (Revolutionary)Can cause many lines especially if unexpectedMight lead to resume rethink of operation of organization o line of descent Process Re-EngineeringBusiness ProcessRe-EngineeringFundamentally rethinking and redesigning the processes of a business to achieve a dramatic improvement in performanceGlobalization-Increasing interdependence for countries economies through free trade and multinational company investment unsanded opportunities to sell products in other countriesIncreased competition from products made more(prenominal) cheaply in other countries-often by multinationalsUse either pan-global marketing for localization strategiesAchieve and try to maintain a competitive advantageTechnological Advances-Leading to new pr oducts and new processesProducts new computer games, iPods and iPhones, hybrid-powered cars.Processes robots in fruit computer assisted design (CAD) in design offices and computer systems for stock control.Staff retraining secure of new equipmentAdditions to product portfolio-Other products may be droppedNeed for quicker product development which may require new organizational structures and teamsMacro-Economic Change-Fiscal Policy, Interest Rates, Business CycleChanges in consumers disposable incomes-and demand patterns that result from thisBoom or recession conditions-need for extra capacity or rationalismNeed for flexible production systems (staff flexibility) to cope with demand transformsExplain need for extra capacity or need to rationalizeDeal with staff cutbacks in way that encourages staff who go on to accept change Legal ChangesChanges to what can be soldWorking hours and conditionsStaff training on company policyFlexible working hours and practicesCompetitors ActionsNe w productsLower pricesHigher promotional budgetsEncourage new ideas from staffIncrease efficiency by staff accepting need to change production methods look into resources available to meet challengeEnvironmental FactorsIncrease green consumerismIncreasing concern about industrys contribution to climate change fond and environmental audits supported by strategic changes (recycle packaging)InternalOrganizational ChangesDelayering*Matrix structure** replaces hierarchicalRetraining of less senior staff to accept more responsibilityJob securityRetraining staff in teamwork and cat managementRelocationMoving operations to another region/country tediousness schemes for workers who lose their jobsGrants for those willing to moveCutting Costs To Improve CompetitivenessCapital-intensive rather that labour-intensive methodsRationalisation of operationsRetraining staff to operate advanced tech.Redundancy schemes for workers who lose their jobsFlexible employment contracts and working practices* DelayeringRemoval of one or more of the levels of hierarchy from an organizational structure **Matrix StructureAn organizational structure that creates working class teams that cut across traditional functional departments Level of HierarchyA stage of the system of rulesal structure atwhich the personnel on it have equal shape and authorityFactors Causing Resistance to ChangeFear of Unknown (Uncertainty)Fear of Failure (Skills/Abilities beyond workers capabilities)Losing Something of Value (Income, Status, Job Security)False Beliefs (Some convince themselves current system will work to avoid risks)Lack of Trust (Past experiences between workers and managers)Inertia (Might have to work harder)Strategies to Reduce Impact of/Resistance to ChangeChange ManagementForce-Field AnalysisAn analytical process used to map the opposing forces within an environment (such as a business) where change is taking place1.Outline final cause for change2.List forces for and against change3.Assign estimated score for each forceWeighs importance of forcesHelps identify who is most likely impacted by changeHow to strengthen forces supporting conclusiveness and reduce forces against it Can implement leadership style that reduces opposition and resistance to change Project ChampionA person assigned to support and drive a project forward. Their role is to explain the benefits of change and assist and support the team putting change into practiceProject GroupsCreated by an organisation to address a problem that requires input from different specialistsPromote Change1.Establish a sense of urgency.2.Create an effective project team to lead the change.3.Develop a vision and a strategy for change.4.Communicate this change vision.5.Empower people to take action.6.Generate short-term gains from change that benefit as many people as possible.7.Consolidate these gains and produce even more change.8.Build change into the culture of the organisation so that it becomes a natural process.