Drivers of Organisational Change Flashcards
What is Organisational Change?
Process a business goes through to transform a major part of the organisation in response to internal, external pressures that impact its survival, growth, decline.
What are the Potential Areas of Organisational Change? (6)
Culture
Mission
Strategies
Infrastructure
Technologies
Internal Processes
Change is managed by focusing on a series of action to help the business evolve in systematic manner.
Why is Organisational Change Important?
Business environments, markets constantly change and it is important for businesses to adapt to these forces to survive, grow
What are the reasons for change? (7)
New priorities
Customer needs
New Tech
New Opportunities
Crisis management
Competitor activities
New leadership team
If business ignores the need for change it may be overtaken by competitors and fail to meet the needs of its customers.
What are the impacts of not responding to needs for change? (1)
Businesses that fail to introduce change face potentially devastating impacts that could take many years to recover if business survives.
What are the potential impacts of not responding to needs for change? (6)
Loss of key customer base
Loss of market position held
Removal of senior management
Loss of stakeholders’ confidence
Loss of important skills/employees
Failure to attract skilled new talent
What are the impacts of staff because of not responding to the needs for change?
Staff at all levels will lack motivation because nothing is being done to improve the current internal situation when the time for change is clear.
What are the drivers for change? (6)
Aligns to the reasons for change.
Focuses on business/leadership priorities.
Supports survival, growth and globalisation.
Focuses on customer needs and preferences.
Supported by human resources professionals.
Sets new objectives and key performance indicators.
What are the role of human resources in organisational change? (6)
Ensure employee voice is included.
Create clear lines of communication.
Conduct job redesign and realignment/retraining.
Ensure due process in allocations/redundancies.
Help overcome resistance with support measures.
Good HR management can significantly drive internal organizational change, ensuring smoother processes for staff at all levels.
What are the customer needs due to the rise of the internet and social media? (8)
Always open 24/7 culture, with personalised consumer experience.
Influencers empowering consumers.
E-commerce free next day delivery.
Self-service options (checkouts, sign up).
Social media shared opinions and negative feedback.
Consumer technology: no excuse for getting it wrong.
Businesses and brands have to build relationships with customers to develop know/like/trust.
Customer needs are core drivers for change.
What are the competitive edge drivers? (3)
Apply to specific projects (critical to success).
Advocate change (the need for future success).
Integrate change management (embedded in processes).
What are the technological drivers as they advance each time? (7)
New/innovative products.
Changes to operations.
Automates interactions.
Eliminates intervention.
Streamlines processes.
Rapid change updates.
Enhances performance.
This section is Factors of Organisational Change
This section is Factors of Organisational Change
How to create a sense of urgency? (6)
Current system/product/processes must change.
Perceived as threat/criticism creates resistance.
Valid reasons/justifications for change needed.
Complacency kills any chance of change.
Urgency must be clearly communicated.
Consequences of not changing.
How to respond to change? (4)
Expect change.
Plan for it.
Embrace it.
Build a change culture.