How can change affect an organisation and what impact might it have on employees? How should change be managed? Discuss the factors, which must be taken into account when implementing change. An organisation can be affected in many different ways by change. I believe change to be an important corporate tool used by a manager/managers in order to achieve a greater level of efficiency. Perhaps the manager believes that the company isn't reaching its full potential or perhaps management just feels that change is needed. The underlying fact I believe is that change happens for a reason. Why fix something if it isn't broken? Although this statement is bold and suggests that I have only one viewpoint on change. This is not entirely true.
Perhaps a company, which is doing well, may want to implement change. Why? Why if a company were doing well would it want to change anything? Why not just keep things as they are? The answer is very simple, to increase efficiency. By increasing efficiency the company achieves a higher output. Perhaps the change may be simple, or perhaps it may be a total overhaul of the business. Whatever the change, the goal of implementation will be to help the business progress. The effects of change on an organisation I believe can be measured by the company's efficiency, if this has improved then the change is positive, if efficiency has decreased the change might have a negative effect on any organisation.
Using change of culture as an example. Bill gates who co-owns Microsoft has managed to create perhaps the 'most successful business machine' evident today. A company such as Microsoft relies very heavily on its employees to maintain and help build the reputation, which Microsoft has established. A reason for this very high level of productivity at Microsoft may be the 'culture'. Unlike many other organisations Microsoft has an informal dress code, offices are very laid-back and Communication is entirely by e-mail, this is the type of workplace, which Microsoft employees have to deal with.
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Whatever the 'culture' Mr. Gates has created, it is working for Microsoft. The reason for using this example is simply to try and demonstrate how change from typical, formal, corporate working environments can help to breed success. Obviously working conditions like that of Microsoft would be welcomed by many, but a change which has worked for one may not work for all. Any changes which are made may not only affect the whole external outlook of the organisation and there level of success/ efficiency, it will have drastic internal repercussions on the employees "Human beings as a race are resistant to change"(Ramzi 1999).
Change is not always welcomed! Again I will come back to the point which I have already mentioned "Why fix something if it isn't broken?" The idea of change creates anxiety within employees; perhaps the fear of change may enhance performance. But in most circumstances this is not the case, change is feared by most for many reasons. So perhaps the change isn't reliant upon the employee's ability to adapt, but perhaps the manager's ability to implement this change! "The effective management of change is enhanced through careful planning, sensitive handling of the people involved and a thorough approach to implementation". (Colin Carnell ).
Change I believe is merely an idea. Whether a culmination of a few or the vision of one, change is an idea. I believe the first step to successful management of change is to let the workforce know what your vision is. Let the employees know what the reason for change is. A large portion of the success of the 'change' is dependant upon the employees understanding of the final goal 'the future of the organisation'. If they have a different idea of what the change is aiming for then perhaps it may not be successful. Another factor is the manager's ability to convince the workforce that change is needed, and that successful change will not only benefit him, but everyone.
Employees also need to feel secure, to a certain extent. Obviously too much security in ones job may result in 'laziness' or lower levels of productivity. On the other hand if one feels that his job may not be secure and feels he/she is insignificant they may be working 'on eggshells', feeling that if they do wrong it could result in job loss. Therefore creation, vision and productivity will not be encouraged, one may become 'inactive' and just do the 'bare minimum'. Obviously what I have mentioned will differ drastically from one to another as people have different opinions. Managers have different management styles, which they feel gives the best results for their business/company. For example, a manager who rules by fear (in an autocratic manner), may feel that to get the best out of the workforce they have recruited they need to have fear, and they need to be kept 'on their toes'.
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