How Organisations Can Plan for Change in an Uncertain Environment
Various academics agree that organisations operate with ever increasing uncertainty due to a rapidly changing environment (Burnes, 2004; Senior and Swailes, 2016; Lowell, 2016; Öner et al., 2014). Although the changes in the environment can be triggered by a variety of internal and external factors, it is suggested that the most significant changes impacting uncertainty have been caused by technological advances and globalisation (Buchanan and Huczynski, 2010; Dawson, 2003). The reason this is significant to organisations is that it is suggested that they risk failure unless they have the capacity to adapt within a continually changing environment (Daft et al., 2010;
…show more content…
Therefore, this essay will discuss the implications for organisations operating within an uncertain environment and critically analyse the emergent approach and planned approach to change management within a climate of uncertainty to evaluate each approaches effectiveness.
The implications for organisations operating within a trend of uncertainty mean that they are more at risk of failure than ever before. As an example, a study by Govindarajan and Srivastava (2016) found that 63% of organisations listed between 2000 and 2009 would not survive the next five years compared to 92% listed prior to 1970. Furthermore, Anthony et al (2016) indicate that large companies listed on the S&P 500 in 1990 have a 20-year lifespan compared to a 33-year lifespan in 1965. Both authors agree that it is uncertainty and the speed of change that is the main factor for the change (Govindarajan and Srivastava, 2016; Anthony et al., 2016). This trend seems to cast doubt on whether organisations can stand the test of time in the current climate, however, there are many examples of organisations that have stood the test of time. One example of this is Nike Inc. which was founded in 1964, operates globally with approximately 25% market share (Myers et al., 2012; Statista, 2017). Furthermore, The Office for National Statistics (2016) show that of UK organisations first listed in 2010, 41.4% were still trading in 2015; and interpreting
Implementing immunizations into the clinics can be challenging for the facility and the staff. There are several methods that have been implemented to monitor the methods used by the staff to give the immunizations to the patients in the clinics. There have been several obstacles and challenges that the staff and leaders have faced. As with any changes that take place in patient care within an organization methods must be set up to monitor those changes. Changes promote challenges not just to staff leaders but the organization as a whole. Communication with any changes can be challenging for
Businesses are facing a dichotomy between wanting to chalk out an all-time structure and strategy for their organization, and recognizing that their world is in a constant state of flux [3]. For most of the 20th century they were largely focused on the static elements of this dichotomy. However, in the last decade changes have become more frequent and more dramatic, so much so that a whole branch of management is now devoted to the subject of change itself.
Selling the benefits of change –Identifying potential threats and develop scenarios presenting what could take place in the future. Examining opportunities that should be, or could be exploited.
Lippitt’s Phases of Change is an extension of Lewin’s Three-Step Theory. The focus on Lippitt’s change theory is on the change agent rather than the change itself.
Leading and managing change require a solid theoretical foundation. This assignment will research the theoretical elements of change and change management. Addressed will be the following: Organic Evolution of Change, Formulating Strategic Development Approaches, Leadership and Management Skills and Gathering and Analyze Data. As societies continue to evolve and changing demand creates the need for new products and services, businesses often are forced to make changes to stay competitive. The businesses that continue to survive and even thrive are usually the ones that most readily adapt to change. A variety of factors can cause a business to reevaluate its methods of operation. According to literature from the past two
The merging of public expectations into a business model is not just about implementing change in an organization. It's about recognizing that change is for a reason of improving the wider social or community benefits and integrating bottom line profitability potentials. To make this happen, there has to be a blending of these values such that both elements of the new organization are realized an effort that is only now just beginning to happen (. Many organizations seem to want to achieve this goal even if it means moving their operations into the field of chaos where innovation gets to mix with opportunity.
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.
Martha S. Feldman a theorist discusses organisational change in her paper. She sees emergent approach as the right way to perceive organisational change. Furthermore according to her the organisational internal dynamics i.e. routines and norms of its employees, managers and other workers is the area that should be targeted for change (Feldman, 2000). She elaborated that every organisation has capacity to change itself for betterment but what is crucial is it should be taken naturally and slowly. She emphasized that organisation should be focusing on micro level internal
In today's business world, corporations have become more complex and more unpredictable, in fact it is considered almost "healthy" that a corporation experience change and transformation. Companies need to be susceptible and ready to acknowledge the challenges that change presents with and try to overcome these for the benefit of the company as a whole. Due to the ever-changing business and social environments caused strongly by globalizations, this has meant that companies must keep themselves up-to-date, whether it is through using the latest form of technology or through the latest management fad. There are many factors involved with change and the successful management of it which can often be a difficult time for
Change management is relevant as though the research finds that change is taking place at an ever-increasing pace, the evidence suggests that most change initiatives fail. For example, recent CIPD research suggested that less than 60% of re-organisations met their stated objectives which are usually bottom line improvement. This is consistent with other published research.
1.1 Change management is described by Armstrong (1) as “the process of achieving the smooth implementation of change by planning and introducing it systematically taking into account the likelihood of it being resisted”. Change, the fundamental constant in any successful organisation, can be adaptive, reconstructive, revolutionary or evolutionary and can happen for a number of diverse reasons:
The change plan prepared for the business provides significant information regarding the current situation in internal environment. The information provided is based on analysis of internal elements necessary in formulating an overall organizational culture. The desired performance and culture is also defined in terms of its tangible elements. A detailed plan includes the necessary steps for an organization to carry forward its change objectives including the handling of transition. The process adopted for change management should include a clear purpose for change as well as a strategy for implementing the desired change.
Changing situations throughout the world affect all organizations in business today. Therefore, most organizations acknowledge the need to experience change and transformation in order to survive. The key challenges companies face are due to the advancements in technology, the social environment caused by globalization, the pace of competition, and the demands regarding customer expectations. It is difficult to overcome the obstacles involved with change despite all the articles, books, and publications devoted to the topic. People are naturally resistant to fundamental changes and often intimidated by the process; the old traditional patterns and methods are no longer effective.
Many companies emphasize a culture of continuous improvement. While never being satisfied with the status quo can drive
An environment in which change may be the only constant is a challenge to every organisation and manager alike (Hayes, 2007). The need and pressure for change being consistent, it is crucial