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Business Management - Organisational change

Organisational change

The change to the operations of the organisation may require a
modification to the culture of the organisation. IMAGE.

Employees may see the need for change if they want to retain their jobs
or if management has provided them with an opportunity to become involved
in the decision-making processes of the organisation. IMAGE.

Change is a factor that confronts all organisations. The interaction of
the organisation with both the internal and the external environments means
that organisations must be seen as dynamic in nature and they must, as a
result, modify their operations accordingly. If managers of these
organisations do not modify their operations and do not manage the change
process effectively then the organisations could possibly lose their
competitive advantage and suffer some set back in their market share. The
speed with which management responds to the pressures for change is
critical to the continuing success of the organisation.

The culture of the organisation must allow the managers to achieve the
stated goals and objectives of the organisation. Managers must ensure that
conditions surrounding and within the organisation are monitored so that
they limit any performance gap (the difference between levels of
performance that the organisation said that it wanted to achieve and what
it is currently achieving) and ensure that they do not impact on the
culture of the organisation.

Managers must ensure that they adopt a proactive and planned process to
the change process otherwise an ad hoc and reactive approach will be
evident. The end result of the latter approach to the management of change
is not usually a successful outcome for the organisation and usually
involves high levels of performance gap. However, there will be occasions
when the organisation and managers are not able to predict or foresee what
will happen and therefore they must have specific strategies in place that
can be implemented when these occasions arise.

As we have seen, pressures for change arise from both the internal and the
external environments. The main sources for change internally are from
managers, employees and the business policies and strategies which form
part of the culture of the organisation. Managers may see the need for a
change in direction and policy. This may be a need to return to basics, to
diversify or to expand in order to survive or to extend market share. It
may simply be the result of a change in managerial personnel at the senior
management level and a change in attitudes and approaches coming from these
managers. The CEO and the directors of the organisation may see the need to
change the culture of the organisation if the organisation is to survive in
the changing commercial marketplace.

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