Reviewing General Motors’ organisational change has taught me that organisational change is a vital factor in organisations. It is a progression, where organisations improve operational performance to achieve their ideal state. Organisational change is a product of an ever-changing business environment. Additionally, I have learnt that organisational change is a response to a crisis situation, or it is generated from a leader. Moreover, a mere process of adjustment does not result in successful organisational change; organisational change involves effective managing capabilities. Conversely, many topics must be considered to accomplish effective change within an organisation. With this in mind, I will discuss General …show more content…
Following this, the vision must also be communicated through multiple channels, in so constantly communicating the planned changes. Fourthly the employees need to feel empowered. This can be achieved through the reduction of organisational politics and structures, which inhibit the possibility for change. Once this is achieved, it will help the organisation experience support for change and provide motivation. The seventh step is rewarding those who engaged positively with the planned change within the organisation. Finally, links between change, leadership and performance of the organisation should be considered (Palmer, 2006). In light of Kotter’s ‘8 steps’ theory (1995), the Bridges Transitional Models argues that ‘change will not be successful if transition doesn’t occur’ (Bridges, 1995). Furthermore Bridges (1995) states transition is defined as “the ending of something”, thus the first phase of this theory. The following phase is the ‘neutral zone’. The ‘neutral zone’ is a state of confusion between the ‘old and the new’. It is during this phase that people are not ready to welcome, or not confortable with change. It is due to this state that change might be jeopardized if the organisation decides to cease, planned change. However, if the ‘neutral zone’ is completed successfully, many opportunities for creative transformation can be presented. The final phase
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Step 2 is forming a powerful guiding coalition. Leadership will have to be on board and on the same page in regards to the change. Kotter and Cohen reveal the core problems people face when leading change. Their main findings are that the central issue concerns not structure or systems but behavior and how to alter it (Farris, 2008). The success of the changes will depend on the ability of the managers to show their commitment to change and motivate the employees to do the same. Without any process to track the implementation, the change can also fail.
It was noted that communication efforts must be verbal and active (Kotter, 1995). Kotter eight step change model has many drawbacks and benefits. The advantages are that it is the step by step, which is easy to follow model. Another is that it does not focus on the change itself, but rather the acceptance and the preparation of this change, which makes it an easy transition. In Kotter’s and Lewin’s models, both consider the difficulties that organizations encounter when trying to move people from their comfort zone for the change to happen. In both of the models they use a different set of calculations to know whether there is any need to change to take place in the
In order to obtain long term success, it is important to strictly follow Kotter’s Eight Step Change Model in the correct order. The first step is to create a sense of urgency among the staff. The PCA called in a meeting and introduced the concept of the change and reason for the change. It was a mandatory meeting and snacks and beverages were served. Several concerns and threats affecting the financial aspects of the company and how to maintain job security were addressed. Employees were asked one by one how they like what they are doing, why or why not they like it, what is important to them and what do they think can be done to improve it. Creating a guiding coalition and directing others in the right direction of change is the
“Change can be happen without improving, but cannot be improved with out changing” These days it is becoming highly competitive environment and fast growing where all wants to be ahead and connected to the world. Since past 2 decades we have seen many inventions which created a mile stone and at the same time change our lifestyles in one way or other, which was possible because
Organizational change encompasses many challenges to both the individual, and the organization. An organization is a living system, as Flower (2002) states “living systems cannot survive without change, challenge, variety, and surprise” (Flower, 2002, p. 16). An organization requires the ability to adapt in to survive as Darwin states in The Origin of Man, “It is not the strongest of the species that survives, nor the most intelligent, but the one most responsive to change” (Read Me First, 2013, p. 1). It must adapt to the changing market, global economic pressures, stakeholder demands, and the diverse needs
John Kotter, a leading advocate and educator in change initiatives, expresses two essential characteristics that must be present in any change initiative. First, any change that is considered to be useful and necessary must go through a multi-step process that will transcend obstacles in its way. Second, it is essential that any change initiative must be lead by effective leadership (Kotter, 1996). However, any leader in a change initiate must reconcile the reality that a major component to mankind’s instinctive nature is that people have an inherent need for predictability and order (Hogan, 2007). Leaders must, therefore, consider that initiatives may be experienced in ways that contradict this basic need leading to employee resistance (Bernerth, 2011). Considering such a potential obstacle, Kotter developed an eight-stage change process to guide organizations through initiatives in ways that may retain employee stability and enable employees to maintain a sense of identity and understanding (Huy, 1999).
One of the most important concepts that I learned about during the Leading Change course is that leaders must take a deliberate approach to change. Leaders use this approach because it involves thorough planning and purpose-driven actions that lead to the desired end state rather than leave the fate of the organization to happenstance. One of the primary models that we learned about during Leading Change is John Kotter’s Eight-Stage Process (2012). This model offers an organizational change template that addresses both the people and the processes of an organization so that leaders can pursue change effectively.
John Kotter noticed that the way our world is changing is intensifying, but the ability we have to keep pace with this change and adapt to it, as an organization is difficult for us to do. That is why Kotter made an 8-step-process to give organizations the possibility to lead change in today’s world successfully. The first four steps mentioned describes the planning ahead in order to complete the change. Step five and six describes the actual changes in the organization, and, lastly, step seven and eight describes the maintenance of changes in the organization. If an organization follows the advices mentioned in all eight steps, they will ensure that the changes will succeed, according to Kotter.
Week 3, the lecture on Managing Change describes organizational changes that occur when a company makes a shift from its current state to some preferred future state. Managing organizational change is the process of planning and implementing change in organizations in such a way as to decrease employee resistance and cost to the organization while concurrently expanding the effectiveness of the change effort. Today's business environment requires companies to undergo changes almost constantly if they are to remain competitive. Students of organizational change identify areas of change in order to analyze them. A manager trying to implement a change, no matter how small, should expect to encounter some resistance from within the organization.
The purpose of this paper is to discuss organizational change and the management of that change. I will talk about the different drivers of change, the factors a leader needs to weigh to implement change effectively, the various resistances a leader may encounter while trying to implement change, and how various leadership styles will effect the realization of change. I will also discuss the knowledge I have gained through the completion of this assignment and how I think it might affect the way I manage change in my workplace.
Introducing organisational change is often hard, the main reasons for that can be variation in perceptions of the employees, fear of disruption or failure and underlining the right approach to apply change. Then even if the change in a specific organisation is projected successfully there is still lot to be done to manage it in an appropriate way (Oakland, 2007).
It is generally noted that Albert Einstein once said, “the measure of intelligence is the ability to change”. John Kotter embedded this mindset that continually adapting and evolving can lead to success within the novel Our Iceberg is Melting: Changing and Succeeding Under Any Condition. Kotter’s and Rathgeber structural organization allows change management to be introduced through a relatable fable highlighting the needed steps to properly manage a group dealing with change. Tone, approach, and mood management are amongst the areas defined as crucial in managing change and making it acceptable. Kotter also introduces what he defines as The Eight Step Process of Successful Change that are surrounded by the themes of Setting the stage, Deciding what to do, Making it happen, and Making it stick. This novel is the example of how to effectively manage change within an organization as well as individually.
When it comes to organizations, change is constantly occuring. Managers are accountable for preparing the business, in addition to helping the employees cope with the change. The purpose of this paper is to highlight an organization and to diagnose the need for change and present a plan to transform the company, using Kotter 's 8-Step Approach. The following topics will be covered in this paper, company overview, diagnosis, Kotter 's 8-Step Approach, and Conclusion.
General Motors has always pioneered and innovated whereas its competitors have been more complacent and rested on their laurels. It is because of this that General Motors holds so much of the global auto market and has created so many remarkable and recognisable car brands. Mary Barra, the current CEO of the company, is another in a long line of pioneers and currently has major cultural reforms within the company as a goal.
The main objective of this report is to gain a better understanding of large scale organizational change. The different changes implemented by General Motors company in an attempt to cope with the economical crisis of 2008 is a perfect example of this concept.