Theme 3 - 3.6.2 - Key Factors In Change Flashcards
What is change management ?
Change management means planning and implementation of change in a way that is mindful of those who will be affected by the changes - so a planning and execution of a change that would not badly affect the workforce etc
If the business attempts to force changes on the workforce then problems will arise so the changes must be realistic
What must the changes be ?
Changes must be: Realistic, Achievable and measurable - RAM
What are the 2 types of change ?
Planned change:
- This refers to change which is planned by the top management of the business - the top management could be - board of directors, the owners, senior leadership team
Emergent change:
- This is change that happens at any level in the organisation and is the result of an event or need - so for e.g. Computer back-up system has failed so a new IT system needs to be installed therefore it is required for staff to be retrained
Key factor in change - organisational culture ?
People are social beings who will follow cultural norms and values so a successful change is based on redefining those existing norms and values and getting commitment from workers towards new ones - for example a cultural norm is to wear uniform to school so a change would be introducing a uniform
What are the key factors in change ?
- Organisational culture
- Size of organisation
- Time/speed of change
- Managing resistance to change
How is the size of the organisation a key factor in change ?
As a business grows there will be inevitable changes within the organisation
For example if the business grows then more people have to be hired therefore new job roles - competition for roles etc - or changing from a Ltd to a Plc
How is time/speed of change a key factor in change ?
One of the main problems with change is to align expectations with reality - changes that happen too quickly will mean that employees may experience stress
“ i cant keep up with all the changes”
“I haven’t had time to adjust”
How does Kaizen link to change ?
Kaizen is the philosophy of continuous improvement - small improvements each day and getting a dive from the ground up so that even the people at the bottom can make a change in the business - this increases motivation also
So the business may decode to become a Kaizen organisation - this means that they will make small incremental changes each day
What are Dr Kotter’s 8 steps ?
Dr Kotter suggests there are 8 steps to effective change management and that a business should not rush or skip steps
- CREATE a sense of urgency
- BUILD a guiding coalition
- FORM A strategic vision and initiatives
- ENLIST a volunteer army
- ENABLE action by removing barriers
- GENERATE short term wins
- SUSTAIN acceleration
- INSTITUTE change
What type of changes does a business face ?
Businesses face good and bad change - internal and external change
Internal change because of change inside the business and external change due to external factors such as change in interest rates
This is because businesses operate in dynamic markets - therefore there s constantly new changes that happen
What is the resistance to change defined ?
This is defined as:
“….behaviour which is intended to protect an individual from the affects real or imagined of
change”
• Where employees try to block the intended change is called resistance to change
Whats the employees perspective to a resistance to change ?
• Resistance by employees may just be a defence mechanism caused by frustration and
anxiety about the changes
• Many employees fear that they will be unable to acquire the new skills (older staff on IT equipment) that will be required after the change
How to manage resistance to change ?
• Resistance to change in a business is to be expected
• Resistance can be managed by working with employees, listening to their concerns and
trying to understand them
• Employees worry about; loss of status or power as a result of the change, fear of personal failure, resentment, or perception that
change is not necessary
What are the ways to reduce resistance to change ?
The business will need to:
• Deliver training programs
• Focus on the positive aspects
• Design flexibility into the change – this will give employees time to adapt
• Involve employees effected in the planning of change, adding their ideas