Change

Question 1

Internal causes of change

Answer 1

Objectives
Personnel
Skill level
Finances
Innovation

Question 2

External causes of change

Answer 2

Globalisation
Environment
Technology
Customer base
Economy
Competition
Government

Question 3

Anticipated change

Answer 3

Change that can be predicted / is expected, which means that businesses can respond in order to minimise the adverse effects
Eg - surname labour shortages in some fields, businesses can begin to train existing workers or attract new workers to the profession

Question 4

Unanticipated / catastrophic / crisis change

Answer 4

Change that a business has no control over, that requires contingency plans for worst-case scenarios.
Eg - terrorist attacks or natural disasters

Question 5

Strategic / tactical / operational change

Answer 5

Change may occur as a part of the operation of the business.
This could be because of a strategic review, which is about improving and sustaining business performance
The results of this will require operational changes in the way the business is run on a day-to-day basis.
Eg - New Look is closing 60 stores in order to restore profitability

Question 6

Drivers of change

Answer 6

Factors that will cause change

Question 7

Barriers to change

Answer 7

Factors that will cause problems / resistance to change

Question 8

Examples of drivers of change

Answer 8

Weak pound
Cost of living
Rising minimum wage
Technology
Selling via e-commerce
Increasing costs

Question 9

Examples of barriers to change

Answer 9

Employee resistance (fear of job losses)
Unions
Media coverage
Political interference

Question 10

Practices and measures that can be implemented to facilitate the process of change

Answer 10

Teamwork
Co-operation
Culture
Employee / employee relations
Individual relations
Trade unions
No-strike deals
Arbitration (dispute compromising)
ACAS
New working practices (eg using Kaizen)

Question 11

Change management

Answer 11

The approach to overseeing a transitional stage within a business

Question 12

Why is it important to manage change effectively?

Answer 12

So employees aren’t resistant
So there’s a smooth transition between changes
To have a competitive advantage
Avoid drivers against change
Avoid wasting resources attempting to implement a failed change
To ensure change is successfully implemented

Question 13

The steps of Lewin’s 3 step change management model

Answer 13

Unfreeze
Change / transition
Freeze / refreeze

Question 14

Purpose of the ‘unfreeze’ step of Lewin’s 3 step change management model

Answer 14

Determine what needs to change (eg surveys)
Ensure there’s strong support from upper management
Create the need for change
Manage and understand the doubts and concerns

Question 15

Purpose of the ‘change’ step of Lewin’s 3 step change management model

Answer 15

Communicate often (describe benefits and explain how the change will affect everyone)
Dispel rumours (honesty and deal with problems immediately)
Empower action (provide opportunity for employee involvement)
Involve people in the process (generate short-term wins to reinforce the change)

Question 16

Purpose of the ‘refreeze’ step of Lewin’s 3 step change management model

Answer 16

Anchor the changes into the culture (identify barriers to sustaining change)
Develop ways to sustain the change (ensure leadership support / reward and feedback systems)
Provide support and training (keep everyone informed and supported)
Celebrate success

Question 17

What are the hard s’s in mckinsey’s 7-s model?

Answer 17

Strategy, structure, systems

Question 18

What are the soft s’s in McKinsey’s 7-s model?

Answer 18

Shared values, skills, staff, style

Question 19

Definition of the hard elements in McKinsey’s 7-s model

Answer 19

They are relatively easy to identify, and management can influence them directly.

Question 20

Definition of the soft elements in McKinsey’s 7-s model

Answer 20

They can be harder to describe, and are less tangible, and more influenced by your company culture.

Question 21

What are the steps in Kotter’s 8 step change management model?

Answer 21

1. Increase urgency
2. Build the team for change
3. Have a vision
4. Communicate
5. Empower action
6. Create short term wins
7. Don’t let up / build on the change
8. Make the changes stick / anchor the changes in corporate culture

Question 22

Advantages of Kotter’s 8 step change model

Answer 22

Easy to follow (the steps are explicit)
Well-known and proven successful for many years
Focuses on the employee

Question 23

Limitations of Kotter’s 8 step change model

Answer 23

The model doesn’t take into consideration long-term implications after the changes
Presumes resentment
Doesn’t necessarily get people on board
Making action stick might not be appropriate
Relies on strong management
More complicated than Lewin

Question 24

What is the link between strong leadership and successful management of change?

Answer 24

Gets people on board
Creates a clear vision
Aligns organisation to achieve change
Anticipates and responds to problems
Ensures resources are in place

Question 25

Change consultants / external change agencies

Answer 25

An outside consultant (or team of consultants) hired to plan and implement change within an organisation

Question 26

Benefits of hiring an external change agency to manage the process of change

Answer 26

Agents will have expertise
Negative publicity reduced
Customers not inconvenienced
Saves leaders’ time
External viewpoint (maintains objectivity)