Management and change Flashcards
responding to internal and external influences
Influences creating change come from outside (external) or within (internal) the business.
When a business responds to the influences of change, businesses often undergo changes in their
- organisational structure,
- business culture
- human resource/operations functions
examples: change in consumers taste, production process, dealing with problems etc.
responding to internal and external influences
what it can lead to
- A flatter organisational structure,
- New work systems and procedures
- A changed employee structure, greater use of technology
- An altered corporate culture
RESPONDING TO INTERNAL INFLUENCES
organisational structure.
Main aim:
to update the business operations in order to improve: efficiency and empower employees to make decisions that will help the business achieve their goals and objectives
IMPACT ON CHANGE ON ORGANISATIONAL STRUCTURE
outsourcing
Outsourcing is an agreement in which one company hires another company to be responsible for a planned or existing activity that is or could be done internally.
Pros:
- Lower costs
- Can employee people from outside the business on a causal/part-time basis
Cons:
- Possible loss of control over company’s business process
- Problems related to quality.
IMPACT ON CHANGE ON ORGANISATIONAL STRUCTURE
Flatter structure
This is when there is a decline of middle management in the business; manager has more employees under their control; work teams are used.
Pros:
- Direct control/input with managers/employees to solve problems
- Staff works as team
- Democratic system of leadership
Cons:
- Lack of authority figures
IMPACT ON CHANGE ON ORGANISATIONAL STRUCTURE
Work teams
A self-directed group of workers who work with minimal supervision; democratic leadership style used by management
Pros:
- Motivates employees to have input/ideas in decision making process
- Allows for flexibility/response to change in organisation
Managing change effectively
Identifying the need for change
- The business is no longer compatible for the environment: Can’t meet the customers needs
- There is no clear vision strategy for the future
- The local environment is changing:
The culture of the business is not sufficiently directed at maximising its performance: Staff may not obtain the business culture.
Managing change effectively
Business information systems
Managers use data to orgainise and summaries to make decisions.
Managers have to plan for the future, implement their plans in the present and evaluate the results against what has been accomplished in the past.
Managing change effectively
Setting achievable goals
Good strategy to setting achievable goals is S.M.A.R.T
Specific Measurable Achievable Realistic Time
Managing change effectively
Resistance to change
Resistance to change is the action taken by individuals and groups when they perceive that a change that is occurring as a threat to them.
Managing change effectively
Resistance to change FACTORS
Loss of Job Bad communication strategy Financial costs Lack of skills Poor timing Lack of reward Lack of trust and support
Managing change effectively
Resistance to change FACTORS
STRATEGIES TO REDUCE RESISTANCE TO CHANGE
Provide constant feedback
offer support
Provide trust and support
Allow participation
Managing change effectively
Management consultant
Someone who has specialised knowledge and skills within an area of business
People from outside the business who give advice on how to implement change in a business; have specialised skills that help make the transition as positive as possible