301 change

Question 1

what is internal change

Answer 1

can be initiated by the business- may include:
- introduction of new tech
- change in management/ leadership style
- change in business size through organic/ external growth

Question 2

what is external change

Answer 2

change initiated by factors outside the business- little/no control over
- market changes (competition, new markets, globalisation)
- new legislation
- changes in the economy
- changes in consumer tastes
- changes in the workforce

Question 3

explain the effects of change to a business

Answer 3

• need to change production/update equipment/products-> will need to be changed to match changing consumer demands-more spending on research, development and tech- most cost overall- machinery etc out of date faster new production methods needed
• meet legal requirements- as law changes business need to adapt eg. health and safety
• need to retrain workforce- existing employees need to adapt to new methods of working- costly
• need to look for new markets- customer tastes/competition grow- expand to new segments to find customers- products short life cycle- tastes changing - develop new products- stay competitive

Question 4

john story’s 4 different approaches (to managing change)

Answer 4

1.imposed total package -> senior manager plan and introduce the change all at once without consultation with workers
2. *imposed piecemeal initiatives *-> managers plan and implement changes themselves, but this is carried out in stages
3. negotiated total packages-> managers and workers negotiate on how a major change will be fully implemented and change is based on agreement
4. negotiated piecemeal packages-> manages and workers consult and discuss the change, but this is carried out in stages

Question 5

lewin’s 3 step process (to moving resistance in change)

Answer 5

1. unfreezing-> leaders explain reasons for change/ persuade employees of its benefits- have to be shown change is necessary- then managers must create a situation where change is desired
2. *change/transition-> employees have to be supported eg. training. education, learning
3. refreezing-> establishing stability once change has been made- workers are settled in new structures-new methods fully ingrained before new change made

Question 6

evaluate john story’s 4 approaches

Answer 6

negotiated total package-> (+) prevents conflict amongst staff because they understand and are supported with the change // (-) could lead to compromises meaning the actual change differes from the planned change

negotiated piecemeal initiatives-> (+) gradual change,quickly improves as it is easier to monitor and is flexible to further changes// (-) really slow- depends on appraisal process to see if changes are made

imposes total package-> (+) more control for ownership and senior management especially handy for public under pressure to deliver short term profit // (-) could be too quick, little support may acc at staff making them very resistant, quality of output can fall

imposed piecemeal initiatives-> (+) quick, but asking gradually achieve goals, training support and review can be on going // (-) not all employees adopt the change consistently- depends on the effectiveness of management

Question 7

importance of managing change

Answer 7

-minimises resistance

-maintains morale & motivation-> clear communication and support to prevent uncertainty

-ensures business continuity-> managed change process prevents disruption to operations/ customers

-improves competitiveness-> business that can adapt quickly to market changes can stay ahead

-maximises efficiency-> proper planning means resources are used effectively, reducing costs and delays

Question 8

drawbacks of managing change

Answer 8

-high costs-> training/ tech
-time consuming
-uncertainty and risk
-employee resistance can still occur- affecting productivity