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Effect of Organisational Change

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6.0 Advantages and disadvantages of organisational change
Organisational change is usually good for any organisation because it can bring the fresh idea for the organisation. However, it also can be a challenge in any organisation if the strategy is not implemented properly. It will bring either the positive or negative effect to any organisation if use the change. Next we will discuss some advantages and disadvantages that can affect an organization.
6.1 Advantages of organisational change
6.1.1 Improved organisational performance
The first advantage is improved organisational performance. (D’Netto et al, 2000) It can help the organisation to perform better. It may become higher productivity through use the advance in technology, …show more content…

It can provide the opportunities to the employees to harness a broader range of perspectives, way of thinking and ideas. Therefore, the employees can better handle the customer or other thing which is urgent and etc. For the example, after Toyota Company implements the Toyota Production System (TPS) they also focus on environment product, advance in the new technology, follows the green product and even active to 3R which is Reduce, Recycle, Reuse concept. Besides that, they very creative which are add the “Hybrid” concept into the new form of the car. (Robbins et al, 2011)

6.2 Disadvantages of organisational change
6.2.1 Experience high turnover
The first disadvantage is the organisation will experience high turnover (Baron et al, 2001). That is because not all the people like to change and maybe some employees like to maintain in the current situation. On the other hand, the employees may fear of the unknown. They do not know what will happen if they are accept the change. So, they may resign rather than accept the change. The occurrence of the organisation experience turnover is higher. Besides that, it also will influence the normal operation of the company and may cause the growth of the company downturn. Therefore, in my opinion not all the organisational change is suitable for the company.
6.2.2 Cost to benefit ratio
The second disadvantage is cost to benefit ratio

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