Change Flashcards
What is change ?
Some aspect of the business is different
What is managing change ?
Approach used to overseeing a transitional stage
What are 5 internal causes of change ?
- Changes in size of business
- Changes in ownership
- Poor business performance
- Changes in workforce
- Transformational leadership
What is transformational leadership ?
Where a leader identifies a change, creates a vision, and executes change with commitment of group
What are 6 external causes of change ?
- Changes in the market
- Political changes
- Economic change
- Social change
- Technological change
- Environmental change
What are planned changes ?
Changes the business has considered carefully & created a strategy to reduce risks
What are unplanned changes ?
Changes the business has little or no time to plan, or has made a conscious decision not to plan for
What are 5 impacts of change on a business ?
- Change production methods & equipment
- Develop new products
- Meet new legal requirements
- Retrain workforce
- Look for new markets
What are the 4 key importances of managing change effectively ?
- Maintain competitiveness
- Increase productivity
- Improving financial performance
- Manage stakeholders
What is John Storey’s approach to change ?
More humane approach which emphasises commitment rather than compliance
What are the 4 key elements to Storey’s approach ?
- Beliefs
- Strategic qualities
- Role of line managers
- Key levers
What are 5 ways of removing resistance to change ?
- Organisational culture
- Size of organisation
- Time and speed of change
- Managing resistance to change
- Role of leadership
What is organisational culture ?
System of shared assumptions, values and beliefs which governs how people behave in organisations
What is Lewin’s change model ?
Overcomes resistance by encouraging them to let go of old working patterns, organisational behaviours and structures
What are the 3 stages of Lewin’s model ?
- Unfreeze - employees recognise change, feel denial
- Change - implement change
- Refreeze - evaluate, monitor and adjust process so employees don’t go back to old practices
What 7 ways can management of change be evaluated ?
- Sales revenue
- Productivity
- Labour turnover
- Customer service
- Change objectives
- Profits & market share/growth
- Dividend payments
What are 3 advantages of change ?
- Increase productivity
- Staff satisfaction
- Can strengthen & widen employee relationships
What are 4 disadvantages of change ?
- Employees may resist change
- Productivity can decrease in short term while change is implemented
- Lead to damaged relationships
- Unpredictable
