Causes and effects of change + managing change

Question 1

Give some examples of internal change ?

Answer 1

Objectives - These can change at each stage of growth
Finances - Lower profits means cut in staff for e.g
Personnel - will affect senior levels of business / new ideas/ methods of work

Question 2

Give some examples of external change ?

Answer 2

Globalisation - changes in comms = easier to make deals . Able to get cheap resources = hire more
Technology - need to keep ahead of changes to be more efficient / save time
Economy - Economic cycle inflicts changes / those dependant on world economies

Question 3

What is Lewin’s 3 step change model ?

Answer 3

1. Unfreeze - remove the cause of the need for change
2. Transition - Develop new ideas in process (may create confusion or uncertainty though)
3. Freeze - Make sure that new processes are reinforced

This is a straight forward model of managing change as its easy for managers to observe

Question 4

What is McKinsey’s 7s model ?

Answer 4

Model to assess internal change - helps manager identify where the change actually is - Can be used in any situation

7s- Strategy , Skills , Structure , Style , Systems , Staff

An overall goal of shared values by using all elements together

Question 5

Explain each of the 7s of McKinsey’s model ?

Answer 5

Strategy- Plan devised to build competitive advantage
Structure- Who reports to who
Systems- Daily procedures that get the job in
Shared values- Culture / Principles
Style- Style of leadership adopted ( authoritarian )
Staff- Worker capabilities
Skills- Actual skill of the workers

Question 6

What is Kotter’s 8 step change model ?

Answer 6

Helps managers understand and manage change . Each step helps show peoples response to change + process from seeing the need for the change

1-Increase urgency = Encourage people to change
2-Build a change team= put people who are committed and have the skills
3-Vision= What is the goal
4-Comms= Involve everyone and get them to accept it
5-Empower action= Remove obstacles / progress recognised and rewarded
6-Short term W’s= Set achievable goals
7-Momentum= Keep it moving
8-Keep the change= Don’t go back to old ways

Question 7

What are some factors for successfully managing change

Answer 7

Creating an environment of trust with workers
If comms are clear then everyone will understand
If the workers are used to change
Must be a strategic plan in place

Question 8

What are the effects of motivation and leadership on change ?

Answer 8

Culture - a culture where change is good , more likely to cooperate

Trade unions - any change should be informed to TU’s / No strike deals encourages comms / Arbitration to make a decision

Teamwork - Make group of workers responsible for task and allow job sharing and worker participation