3.10.1 Flashcards
Two examples of internal and external change
Internal:
-business growth . Eg. A business who expands internationally may need to adapt to foreign consumers needs
- changes to staff it could mean they don’t have the expertise and further changes need to be made.
External:
- economy eg if the economy slows disposable income decreases therefore decreases in price need to be made.
-changes in competition can result in businesses losing a lot of market share.
What is force field analysis
There is the plan and the forces against or for the plan and each force has a number of significance next to it then the numbers are added up.
What is disruptive change and give an example
Forces businesses to suddenly do things in a different way to usual. Eg spend heavily on promotions to raise customer confidence.
Two ways a business can change its structure in order to react quicker in a fast moving environments?
-decentralise to give more power and flexibility to different departments
- each store manager might be allowed to choose the stock for their store.
Two features of mechanical structure
-uses a tall structure so messages can take a long time to travel through the business
- work well for businesses operating in a stable environment.
2 features of a organic structure
Uses a decentralised structure meaning employees get more say in decision making.
-uses a flat structure allows for fast communication.
3 ways that businesses can use employment contracts to become more flexible
-Can help with increases and decreases in demand
-able to outsource its work in order to manage change.
-makes it easier for businesses to hold onto valuable employees and open up more job opportunities for skilled applicants.
Describe two barriers to change for an organisation
-resources: businesses need to have the correct restore in place before making. A change
-poor management: when managers are unable to communicate effectively and engage workers.
Outline litters schlesingers four reasons for resistance to change
1) self interest: people are more concerned with their own situation rather than the success of the business
2) misunderstanding: people resist when they don’t fully understand what it means for them.
3)low tolerance of change: people get used to completing tasks the way they know.
4)different assessments of the situation: key stakeholders may have strong disagreements over reasons for change.
Name 3 of the Kotters and schlesinger six ways of overcoming resistance to change
1) education and communication:.
3) facilitation and support
4) negotiation and agreement