Reasons For Change Within An Company Management Essay

Some changes are applied because of this of problems within organisations, but many Changes happen consequently of organisations proactively seeking business benefits such as minimizing costs or enhancing services. The Change Management process ensures that standardised methods and steps are being used to minimise the impact of changes on quality of service, and improve the day-to-day operations of the organisation. It's important that in employing changes to an organization that the table of directors and management of the organisation evaluate risk to the continuity of the business, resource requirements necessary for the change and maintain an effective balance between the dependence on Change from the impact of the Change. It is particularly important that Change Management functions have high visibility and open programs of communication to be able to promote simple transitions when Changes happen.

It is imperative to get employees to agree with the need for change and the changes themselves. It is very important that all employees be up to date about the issue bringing on the need for change, the possible results and the program for solution. They need to also understand their own functions in the process. This can help break down barriers to employing the change.

This study will appraise the implementation of the change process including level of resistance to change and practical management aspects. In this study we will use Chorus as true to life exemplory case of the change process and its own execution. Chorus, a material company performs in an easy changing environment. That they had to react to these changes to beat competitors and meet customers' needs. Chorus needed the determination and support of staff to make changes that form the business enterprise in the longterm. Corus has three divisions, one of which is Corus Strip Products UK (CSP). CSP UK makes steel in strip form. CSP UK has put in place a major change programme called The Journey to triumph over any barriers to change and secure a better future for the business enterprise.

Reasons for change

Organisations typically change in response to the exterior environment, as well as through the development of competitive advantages within the organisation. Exterior environmental factors include:

Social factors - e. g. changes in demography and consumer buying habits.

Legal factors - legal stresses that drive organisations to change to adhere to regulations, e. g. by responding to environmental legislation.

Economic factors - relate to booms and slumps generally monetary activity, changes in interest levels, inflation rates etc.

Political factors relate with wider political changes - for example, a federal taking a particular collection on privatisation/the role of the state in contemporary society.

Technological factors relate with new improvements in technology - e. g. the introduction of new web based selling methods by companies.

On top of the above SLEPT (Community, Legal, Economic, Political and Technological) factors a major impact on the company is what the competition does. A SLEPT examination is an examination of key changes in an organisation's environment. It really is sometimes known as scanning the surroundings. The management of change is an integral aspect of the way in which an organisation responds to change in an appropriate way. The emphasis should be on managing the change rather than reacting to change.

Other ways that organisations change are by modifying their culture, i. e; changing the normal habits and behaviours within the company e. g. moving from a

top-down company to a more democratic form. Becoming more customer or marketing concentrated instead of production focused. Most organisations today are

developing this customer concentrate. Altering the range of the activities e. g. by taking on new activities or by working in new physical areas. For example, most large companies today have grown to be global enterprises plus they have often reduced the number of brands and products they feature in order to concentrate on ability brands in global marketplaces.

Usually organizational change can be brought about by some major external driving drive, e. g. , considerable cuts in funding, solve major new marketplaces/clients, dependence on dramatic raises in productivity/services, etc. Typically, organizations must take on organization-wide change to advance to a different level in their life pattern, e. g. , heading from a highly reactive, entrepreneurial business to more secure and designed development. Change to a fresh chief executive can provoke organization-wide change when his / her new and unique personality pervades the entire organization.

According to Kurt Lewin good communication can be an important area of the process of changing the company. This involves interacting the path of change, the targets, how the change will be carried out and who will be engaged.

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Change in a Chorus was a planned process. It used a clear structure. Chorus identified the obstacles to its changes, created and applied a plan for change and a way for calculating its success.

Internal individuals for change at Chorus UK were:

poor delivery

competitiveness

high wastage

low personnel morale.

External motorists were:

new rivals

changing customer needs

new technology

poor views of the material sector.

Barriers to change

Different types of change require different solutions, but fundamentally managers of staff need to ensure that they support their team through the change. Individuals must prepare themselves for change.

Typically there are strong resistances to change. People are worried of the undiscovered. Many people think things already are just fine and do not understand the necessity for change. Most are inherently cynical about change, especially from reading about the idea of "change" as if it's a mantra. Many doubt there work means to accomplish major organizational change. Often there are conflicting goals in the organization, e. g. , to increase resources to perform the change yet concurrently cut costs to remain practical. Organization-wide change often will go against the very values held dear by people in the organization, that is, the change may not in favor of how members believe that things should be done. That's why a lot of organizational-change literature discusses needed changes in the culture of the organization, including changes in members' values and beliefs and in the way they enact these principles and values.

Every organization has a definite culture. Sometimes the culture is fragmented and difficult to comprehend, but most organizational civilizations are extremely strong. Organizational culture affects and influences many areas of employees personal and professional life. It influences what decisions are created, who gets advertised, how people dress and the way the work force behaves. Culture binds people into a cohesive group. However, change can be regarded as a danger. Yet a very important factor is constant. People are resistant to improve. We all have been creatures of habit and can continue doing things that were doing unless those patterns are reformed for some reason. Organizations can often be more resistant to change than an individual. They are made of several individuals, each having his/her own amount of resistance, therefore providing collective amount of resistance. Change also requires usage of limited resources. Costs can be prohibitive. The politics of a business and hazards to an individual's power or impact can often deter necessary change as well.

Fullan, M. and Stiegelbauer, S. (1991). The New Interpretation of Educational Change. New York: Teachers College Press. Excerpted from Command and Technology, released by the National School Planks Association's Institute for the Copy of Technology to Education.

Chorus discovered from very first stages that change would struggle or threaten peoples' expertise, experience, customs and practice. It identified the following obstacles to its planed change:

an attitude of 'this is the way we do things around here'

some personnel noticed change as a danger to their clubs and roles

a few of Corus' past changes had resulted in job cuts. This triggered insecurity and low morale

Corus gave rewards for 'long service' alternatively than 'great service'. This supposed that staff who was simply with Corus quite a while gained increased rewards than new personnel who were performing better.

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Overcoming barriers to change

Brief Case

Overcoming barriers

Cummings and Worley (Firm Development and Change, 1995) identify a comprehensive, five-phase, basic process for managing change, including:

motivating change - This period includes making a readiness for change in your customer organization and expanding approaches to beat resistance to improve. General recommendations for taking care of this phase include enlightening members of the organization about the necessity for change, expressing the current status of the organization and where it needs to be in the near future, and developing realistic approaches about how precisely change might be accomplished,

creating perspective - Market leaders in the organization must articulate a specific vision that explains the particular change work is striving to perform. Preferably, people in the organization have strong source to the creation of the eyesight and how it could be achieved. The eyesight should clearly depict how the achievements of the

developing political support - This stage of change management is often forgotten, yet it's the phase that often ceases successful change from developing. Politics in organizations is approximately power. Electric power is important among customers of the business when trying for the resources and influence necessary to efficiently carry out their jobs. Electricity is also important when striving to keep up careers and job security, http://www. authenticityconsulting. com

managing the move - This phase occurs when the business works to make the actual transition from the existing state to the future express. In consultations, this phase usually is called implementation of the action packages. The plans can include a multitude of "interventions, " or activities designed to make a big change in the organization, for example, creating and/or modifying major set ups and functions in the organization. These changes may need ongoing instruction, training and enforcement of new insurance policies and procedures and

sustaining momentum - Often, the most difficult phase in controlling change is this phase when leaders work to support the momentum of the implementation and modification of plans. Change initiatives can encounter a multitude of obstructions, for example, strong level of resistance from members of the organization, immediate departure of an integral leader in the business, or a remarkable reduction in sales. Strong, obvious,

ongoing support from top leadership is critically important showing overall reliability and accountabilities in the change work.

http://www. managementhelp. org/misc/reqs-for-successful-change. pdf

In my estimation, the first step in employing change is to get employees to buy in to the need for change and the changes themselves. It is vital that all employees be educated about the issue bringing on the need for change, the possible final results and the plan for solution. They must also understand their own assignments along the way. This will help break down barriers to utilizing the change. Once the changes have been put in place, over time they will become the new patterns that bring appealing results. There is a relatively new and ground breaking process called appreciative inquiry (AI), which addresses change utilizing the organization's employees, customers and sellers to design the continuing future of the organization. According to the article, "Appreciative Inquiry: An Innovative Process for Organizational Change, " from Employee Relationships Today, "Appreciative inquiry engages the entire organization in finding the best of what has been and fantasizing about the best of what might be. "

Forming transition groups of employees from all areas of the business can also help to help in change and encourage employee participation and buy-in. Some organizations collect input from research, but if this is the preferred method, it is critical that the email address details are shared and discussed. Not doing so will destroy worker morale and trust. When seeking source, make sure the responses are communicated. Be genuine in providing reviews to the employees. Address their concerns, and if the issues can not be resolved within the resources and constraints of the organization, simply explain the reason why.

- Willis Mushrush, business specialist MO SBTDC for School of Missouri Extension's Creating Quality newsletter Sept. 2003.

Successful change must involve top management, like the board and chief executive. Usually there's a champion who initially instigates the change by being visionary, persuasive and steady. A change agent role is usually liable to translate the eye-sight to an authentic plan and carry out the plan. Change is usually best completed as a team-wide effort. Marketing communications about the change should be repeated and with all organization members. To sustain change, the structures of the business itself should be customized, including strategic strategies, policies and techniques. This change in the structures of the business typically entails an unfreezing, change and re-freezing process.

The best methods to address resistances is through increased and suffered communications and education. For instance, the first choice should talk with all professionals and staff to explain known reasons for the change, how it generally will be completed and where others can go for more information. An idea should be developed and communicated. Programs do change. That's fine, but connect that the plan has changed and just why. Message boards should be presented for organization people to express their ideas for the program. They should be able to share their concerns and frustrations as well.

Corus has beat these barriers by working with staff. Staff were also urged to have possession of the new beliefs. Workers are now more involved in choices and are recognized for doing well. Corus ensures that all staff really know what is expected through a variety of means. Workshops, newspapers, billboards, intranet, video tutorial and direct one-to-one talks distributed the message. A programme with 'surprise tactics' was brought in to show staff the plant's condition, identify weak points and urge staff to make changes.

Measuring the final results of change

Corus set focuses on to make certain that actions led to results. Steps were place so staff would know how well CSP UK was reaching goals. CSP UK has improved

many areas of its business by facing up to its internal weak points. It has helped it to expand. Key Performance Signals have shown improvements in:

production

lower costs

less absence from work

quality and service for customers

Health and Safety targets

CO2 emissions

the impact on the local community.

Conclusion

To react effectively to ever-changing requirements, organizations must anticipate to change constantly. Professionals must have the ability to recognize the necessity for change and identify and take care of sources of amount of resistance. The key to successful organizational change is to require the employees in each step of the process.

Change management at CSP UK intended bringing the problems out in to the available. CSP UK tackled obstacles to change by winning the support of its personnel. Its effective plan for change has helped CSP UK to continue to make profit regardless of the downturn.

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Honesty

Professionalism Integrity

Fairness Improvement

Transparency Respect

Excellence

#506 from Innovative Leader Size 9, Amount 12 December 2000

 

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