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The Management of Change: Four (4) Ways - Essay Example

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Article # 1 - The Management of Change: Four (4) Ways 1.Introduction The impact of globalization is being felt by almost all business organizations. Competitiveness was threatened by the availability of lower cost factors of production in other countries and by the provision of technologies in locations where the output will be less expensive yet with high quality…
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The Management of Change: Four (4) Ways
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Download file to see previous pages Although globalization started decades ago, more recent developments have included changes in the economic policies of many countries resulting in more free flow of labour, capital, goods, services, and even some technologies. Information Communication Technology (ICT) development has changed the way business operates. And emerging economies have low labour cost to offer, attracting corporations to modify business organization for the purpose of becoming more competitive with lower cost of manpower. These are all based on the report by the Department of Business Emergence and Regulatory Reforms (BERR, 2008). Customer services, for example, which can be rendered by phone or internet access will cost less if outsourced. In order for enterprises to survive the changes, Pearson, G. and Woodman, P. (2011) clarified the forecast in 2011 as to the impact on UK managers. It was estimated that almost half of all UK managers will be redundant. 1/3 was feeling insecure about their jobs. Change managers have become in demand. But the problem is that good managers are not necessarily effective change managers. New strategies must be learned. Many people must be convinced to voluntarily adapt to forthcoming changes and be prepared for scenarios requiring willingness to change and to learn new ways of getting things done in various parts of the organization. 2. Multiple Alternative Approaches to Change Management Four possible approaches have been identified in managing change: (1) Behavioural Approach, (2) Cognitive Approach, (3) Psychodynamic Approach, and (4) Humanistic Psychology Approach. And each one can be applied in combination with the others. Figure 2 shows how this theory in a diagram created by Cameron, E. and Green, M. (2009, p.14) will look like . Tables and Figures were added after the references to provide a top view presentation of the important elements, and to show the complex implications of change. However, not all can be discussed thoroughly in this article due to constraints. 2.1 Behavioural Approach In the management of change, Douglas McGregor and Joel Cutcher-Gershenfeld (1960) introduced their Theory X and Theory Y underlying assumptions about manpower and management. Table A shows the differences between Theory X and Theory Y. Table A – Theory X and Theory Y Assumptions Theory X assumes… People dislike work. They need controlling and direction. They require security. They are motivated by threats of punishment. They avoid taking responsibility. They lack ambition. They do not use their imaginatio ...Download file to see next pagesRead More
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