Many factors such as globalization, technological advances, deregulation, privatization, mergers or acquisitions coupled with a movement of labor-intensive projects to less expensive locations and changing customer demands are forcing organizations to constantly review their purpose, vision and future strategy. Most of the organizations have the objective of ‘maximization shareholder’s wealth’ but there are other key indicators that exhibit the need for adaptability to change for the company (Laurie & Frans 2002).
It has been evident recently that customer’s expectation towards organization’s behavior goes beyond compliance with the legislation (Papers4you.com, 2006). The customer has become more vigilant towards employment practices, human rights and emerging issues like standards of ethical conduct, caring for environment and partnership with stakeholders. Thus drawing upon Handy (1994) it can be stated that the pressure for change to survive and gain a competitive advantage in highly turbulent environment has grown in its importance in the management literature.
The literature has shown that organizational change has its implications in some of the non-tangible assets of the organization (Heather, 1994). These include corporate strategy, power distribution, corporate culture and the control systems. The process of change highlights the importance of continuous learning, flexibility, proactive strategy and risk management (Papers4you.com, 2006). Although there are numerous models and steps provided in the literature for successful change management but there are four popular characteristics shared within the literature (Chorn, 2004):
1.Make sure that the organization and people understand the pressure of change – why do we need to change?
2.Develop and share a clear vision about where the organization is headed – where are we going?
3.Put in place the individual, group and organizational capabilities for change – what do we need to make the change?
4.Have a plan of action that outlines what has to be done to get it all started – what do we have to do tomorrow when we come to work?
It can be concluded that ability of an organization to change has become a basic competency of an organization to survive in the increasingly competitive environment. It can further be stated that effective change management within a limited time frame can be one of the sources of competitive advantage for the companies in the long run.
References:
Chorn, N. (2004), “Strategic Alignment", Richmond
Handy, C. (1994), “The Age of Paradox", Harvard Press, Boston, 1994
Heather Höpfl (1994), “The Paradoxical Gravity of Planned Organizational Change" Journal of Organizational Change Management; Volume: 7 Issue: 5; 1994 Conceptual Paper
Laurie A. Fitzgerald, Frans M. van Eijnatten, (2002), “Chaos in organizational change", Journal of Organizational Change Management; Volume: 15 Issue: 4; 2002 Conceptual Paper
Papers For You (2006) "P/M/672. Organisational change from theoretical perspective", Available from http://www.coursework4you.co.uk/sprtmgt22.htm [22/06/2006]
Papers For You (2006) "P/M/665. Theories of chaos and complexity in the context of organizational change", Available from Papers4you.com [21/06/2006]
Organizational Change And Development
Many change programs seem to meander along with no clear purpose or direction. These are the programs that usually fail. In the end, vast resources are consumed and people are left burned out and confused. Your desire to move your organization towards a new way of working will remain just a wish unless you set specific objectives and create a plan for achieving those objectives.
The key to setting your program off on the right track is to work with your key stakeholders to flesh out unambiguous and measurable objectives. Do this before you do anything else!
Why Set Goals?
How does goal setting help your program succeed? To begin with, the two-way dialogue involved in setting goals helps to get all stakeholders on the same page, uncovering hidden assumptions and misunderstandings.
Secondly, inviting and encouraging stakeholders to participate in decision-making about group objectives gives them a genuine “stake” in the result. The act of participation in joint decision-making builds relationships based on trust and mutual respect. These alliances you form at the outset of the program will help you ride through some of the most seemingly impenetrable obstacles.
Communicating and agreeing the objective for a set of activities also puts it into a larger context. Giving stakeholders this sense of meaning and purpose will get them motivated to walk that extra mile for you when times get tough.
Setting goals will also make your planning easier. Challenging tasks can appear overwhelming, encouraging people to give up at the seeming enormity of the job at hand. By setting an overarching objective that is measurable, the seemingly impossible task can be broken up into manageable chunks.
Lastly, it is only through setting a measurable goal that you, your program sponsors and your team will ever know that your program was a success. The goal, in effect, defines the success criteria for the project in a way that everyone can understand.
Tips for Goal Setting
Our business has seen many examples of ineffective goals that only serve to confuse people and hamper the change program. Here are some basic tips for making sure that your program goals are working for you and not against you.
* Are your goals linked to the mission, vision and strategic direction of your organization or organizational unit? Or are they peripheral to the organization, ready to be jettisoned when resources get tight or a new fad comes along?
* Are they SMART goals? That is, are they stated so that they are:
Specific
Measurable
Achievable
Relevant
Time framed
* For complex change initiatives, are your goals balanced? Do you have goals in each of the appropriate dimensions of your change program?
* Financial
* Customer
* Process
* Employee
* Information Systems
* Supplier
* Are your goals broken down into manageable chunks? Doing so allows you and your team to achieve some quick wins that will further spur motivation. Are your goals devolved to the various units or levels within your organization (division, department, team)? Have you engaged employees in devolving these goals and in developing detailed strategies for achieving them?
* Have you communicated the goals often and using a variety of methods to all relevant levels within your organization? Does your Stakeholder Communication Plan include communication of goals and objectives?
* Have you set a baseline from which to compare future performance? A baseline is usually today's performance result or the result from the previous reporting period. Or will your sponsors and stakeholders be left wondering, and arguing, whether the change effort was worth it?
Setting measurable and relevant goals that all major stakeholders can agree to is the cornerstone of a successful change program. By engaging the important players in the goal setting process and through following the tips above, you will be assured that your program is off to a great start. I wish you well on your journey.
Both Verena Veneeva & Vicki Heath are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
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