Organisational Change Management - Assignment Example

? Organisational Change Management Organisational Change Management Introduction Individuals and organizations are ed to problems in everyday’s life thus the need for solutions to these problems. Among many solutions, the most technical one is the making of changes. Change might be a perfect way to solve a problem but it is also a difficult process. There are specific steps and approaches that should be adhered to, in order to ensure that the changes taken affects an organization positively by minimizing negative consequences and maximizing positive ones (Burke 2010, p67). It is therefore recommended that; for a successful change process, thorough planning, managing and strategic communication of information about the change should be adhered to. 5Ds approach is therefore recommended during planning of organizational change. These 5Ds are essentially, Definition, Discovery, Dream, Design and Destiny or Delivery. Definition According to 5Ds cycle perspective, the first D represents the definition. Ironically it was the last D to be introduced into the cycle. It is therefore regarded as the first approach or step that should be taken to ensure that an organizational change is successful (Tonder 2004, p59). Obviously, it is impossible to solve a problem that is yet to be detected. It is argued that in the previous days, Al consultants used the process of definition in answering the following questions, what is the project is all about? What are the outcomes of the project? And what are the contract details? Up to this point, one can therefore define Definition according to 5Ds as, the process of determining what the problem in an organization is? And what are the outcomes of the changes made in an organization? This process therefore tends to help managers in determining the consequences that might result from the changes they make in their respective organizations. As much as much as 5Ds cycle is recommended during the process of implementing a change in organization, managers of these organizations are also always advised to consider some factors that might guide them during the process of implementation (Burke 2010, p104). These factors are always meant to help prepare the managers themselves and the entire employees of the possible consequences that might be experienced as a result of the change or changes made in an organization. Some of these factors include; early preparation for the change of the project, how to communicate the information of change about the project, how to handle the reactions that might be resulted from this change, developing leadership strategy that can effectively lead change, how to survive the difficult task of restricting and finally, to always seek help through the process of change (Savon & Czarniawska-Joerges 1996, p72). Generally, consideration of these factors will protect the manager from receiving shocking reactions during the process of change. Regarding the situation in the D2 Company, it is clear that change is needed. This then implies that the company’s manager must come up with a strategy of implementing the change. For these changes come up successfully, the manager of the company will have to use the 5D approach with the considerations of the guiding factors. The manager is then expected to start the process of implementation of the change by considering the first D of the cycle. The Definition step will then help him determine what type of change is needed, what the expected outcomes are and finally what the contract details of the implementation. As for the case in D2 Company, the reason for the change is because the company is experiencing economical problems thus the need for cutting costs. Therefore the manager is expected to act swiftly towards the implementation of the changes required. As for the case of D2 Company the key issues that require attention are the following: first the major issue is how the company can survive the effects of economic downfall. Secondly the company will then need to look on the issue on how it might benefit from economies of scale. This therefore means that the main purpose the company’s change is to survive the consequences of the economic downfall. The company’s expectation after the implementation of the change is that, the cost of production will have fallen thus ensuring that it might start earning from the economic scales. Finally the contract of the company’s change is to cut the production some components from other sites and also to close down one of its branches in the U.K. since it has some of the most outdated machines. Up to this point the manager has done a commendable job except of a few areas that might affect the company negatively at the end of the change. It is clear that the manager has not considered some factors that might maximize negative consequences in the organization on completion of the change. Some of the decisions made by the manager of the D2 Company that might pose loss to the organization include the following: His decision to close down the company’s U.K branch might affect the company in future. This is because apart from production, the Didcot Company in the U.K also acts as the main market for the company’s product as it is located at the international centre for auto product development. The other factor that the manager did not consider was communication; whereby he is taking too long to involve the employees thus increasing the chances of facing shocking reactions from the employers who are likely to be affected by the change. By not involving the parties that are likely to be affected by the change, the manager might not effectively lead the change. This is because; explaining the reasons behind the change to the customers and affected employees after implementation may expose him or her to rejection and misunderstanding. Discovery In accordance with the 5D cycle, the second D stands for Discovery. This step is generally based on determining what is expected to work and what cannot (Harigopal 2006, p153). It therefore highlights the decisions made by the manager towards the change. This implies that, in order to achieve the objectives in this process the manager will need help from all the parties involved. Among these parties are some top managers, workers' representatives and at least a representative of customers who are likely to be affected by the changes. At this point, the manager will then involve these parties in a dialogue towards determining if his decisions are either maximizing positive consequences of the change, or minimizing the negative consequences of the change. For these decisions to be fully determined, this panel might be forced to review past records of each party in order to determine their respective successes, strengths and periods of excellence. Regarding the case of D2 company, it is clear that there are least two changes that the manager has intended to put in place. These changes are; the closure of the company’s branch in the U.K, transferring some workers from Dictot to Blois, pausing the manufacturing of some components in some sites of the company. It is then clear that for these changes to be implemented effectively, the manager might be forced to consider some factors of managing organizational change. For instance, when implementing a change that requires the closure of the Dictot Company, the manager will be advised to develop certain attitudes that will guide him or her during the implementation process. The first major factor that the manager of theD2 company is expected to acquire is the need to communicate the information early and often. This is important since the employees of the Dictot company who are likely to lose their jobs will be will prepare early enough on how to handle the resulting situations. This way, the manager might not face rejection from the employees since he or she will have enough time to explain to the employees the reason for the change. The manager also needs to be advised to change his or her decision of closing down the Dictot Company. There are a number of reasons that one can use to support this. First the manager will need to look at Dictot Company in a different perspective. Instead of just considering it in terms of production cost which is evident to be high, the manager needs to look at it also in terms of location. Dictot being located at the centre of international auto product development makes it in a better place in terms of marketing. The other reason why the manager should be advised to reverse the decision on the closure of Dictot Company is because of the quality of the products manufactured by the company. From the previous record of all the four branches it is clear that the quality of the product development has led to successes of the company. This then explains the reason why the manager should consider reversing the earlier decision since most of the products from the Dictot company leads the way in producing quality products. Therefore it is arguable that closure of the Didcot Company might affect the success of the company. Successful records that have been experienced from Didcot Company should then lead the D2 manager in reversing his decision or substitute it with another one. One of the best substitutes that the manager can be advised to take, is that of Blois Company. It is clear that Blois is a new company and it is yet to reach its maximum working capacity. It is also important to note that the company is equipped with modern machinery unlike the Didcot Company. The other contrasting thing about these two companies is that, Didcot is located at the centre of international auto product development hence making it at a better position of attracting many engineers and customers. Unlike Didcot’s location, the location at which Blois Company is placed lacks enough experienced engineers. This forces the company manager reach into a conclusion of relocating some of the engineers who might not be willing to relocate to Blois. From this perspective it is then clear that should the manager implement this change without the mentioned considerations, the resulting consequences might affect the company negatively indicating that the change was ineffective. The best advice that the manager ought to be given is to consider substituting the initial decision of closing the Didcot Company with a decision of renovating the company with the modern machinery from the Blois Company. Dream The third D in the order of 5D cycle stands for dream. Dream is actually trying to imagine what might happen when the changes are taken (Wallisser 2000, p12). Apart from making individuals to imagine what might happen when the changes are made, It also provide imaginative answers on what might occur should the changes fails to be implemented. In general, the main purpose of the dream step according to 5D cycle is to help in reaching for an imaginative answer of the question “what could be”. For these answers to be reached at, past achievements and successes are always used to imagine what the future might be. Generally, the main purpose for this step or stage of 5D cycle is to assist in determining whether the change intended is effective or not depending on the Imaginative answers obtained from the question “what might be”. Regarding the fact that time is also always considered when managing an organizational change, makes the process of Dream relevant. This is because managers are always expected to be time cautious. Therefore this process can help managers in determining amount of time that might be needed for full implementation of the change process. The amount of time needed is important since it allows assist managers when planning. For instance, when a manager is at a position of determining amount of time that an implementation of change process can take, he or she can then communicate to the employees without contradiction, thus promoting trust and good mutual relationship between them. Unlike such managers, managers who are not at the position of determining time might face harsh reactions from the affected employees. This is majorly experienced between managers and employees who might be forced to lose their jobs temporarily as a result of change. Apart from imaginative perception on what effects might be imposed as a result of organizational change, the time frame on when it should start being effective can also be determined. Dream is also a recommendation that the manager of the D2 Company should consider to prevent him or her from being a victim of negative consequences. According to the decisions that the D2 company manager is about to make, one might fear that he or she is on the verge of facing rejection from a number of employers. This can be evident from some of the decision intended by the manager. One of the decisions that might place the manager on the verge of rejection is; the decision of choosing to remain silent on the issue of change and only disclosing it to a few managers might result to shocking reactions from the employees. These reactions might further lead to negative effects thus maximizing negative consequences from the change. For instance, it is evident that some engineers might not be willing to relocate to Blois. This means that even if they do relocate, there morale might either be affected as a result of environmental changes resulting to a poor performance. It is therefore recommended that the manager should change his or her approach of communication by communicating the information as to the workers as early as possible. D2 company manager should also apply the dream aspect when dealing with the changes intended. One may argue that the manager did not anticipate for the possible outcomes before he came up with the decision. For instance, when applying the Dream aspect during organizational change, a manager is expected o find a perfect imaginative answer through reviewing of experiences of the past events. From the study case, it is realized that the D2 manager decides to make an organizational change by closing down the Didcot Company as a way of reducing production cost. This decision implies that the manager did not use the previous success records of the company which clearly shows that Didcot Company is behind all the success that the entire company has experienced over the past period. This is evident since the success of the entire company in the previous period was as a result of quality product manufactured by the Didcot Company. It is therefore recommended that the manager should apply the third D factor in order to come up with appropriate changes containing a lot of more good than bad consequences. Design This is the fourth 5D factor that should be considered when dealing with organizational change. For this process to be implemented fully, the other two factors of the 5D are also considered. These factors are design and discover (Cameron & Green 2000, p103). These two factors answering the questions “what could be” and “what is” then leads to the question of “what should be”. This Design factor is therefore used in determining what should be in place. Regarding the case of the D2 Company, the manager should therefore apply this factor to help him in determining what should be in place to help solve the situation at hand. There are a number of ways through which the manager of the D2 Company might approach the economical problem and solve the problem successfully. For instance the manager might decide to change the decision of closing down the Didcot Company and instead look for ways of increasing the production of quality products from the company. Regarding the previous records, it is clear that Didcot Company is renowned for production of quality products; which have led to the company’s successes in the previous period. From this argument it is then clear that the more the production of quality product, the higher its chances towards success. D2 Auto Company may experience progress and improve its production thus reducing production cost should the company’s manager implement a change that will improve the condition of the Didcot Company. Here is a way through which he can reach for this achievement. The first step that will ensure the achievement is obtained is through replacing the outdated machines from the company and replacing them with modern ones. This process might appear expensive but he or she can be advised to use the ones from Blois. It is clear that Blois Company was established recently and it is still yet to operate to capacity. Consideration of the fact that Blois is a recent company and is located in a place out of the international centre of auto product development, makes Didcot more relevant compared to it. This fact proves that substituting machines of Blois Company with those of Didcot will be a more relevant move than closing down the Didcot Company. From the above arguments, it is clear that the solution for these problems is to create strategy that will enhance increase in production of quality products. It may also be interesting to note that improving the machines in Didcot will increase the production of quality products. Delivery The main purpose for this step is to try and combine the findings obtained from other steps of the 5D in order to give directions on how the real implementation of the project should be done (Hussey 2000, p104). From the context of the study case of the D2 Company, the manager can therefore be advised to stick on the directives obtained from the 5Ds that will help him enhance effective change in the organization. Failure to implement these changes might lead the company towards negative consequences. For instance the manager of the D2 Company should be advised to change some of the decisions that might result into negative consequences. The main decision that is anticipated to place the organization in danger is the one considering the closure of the Didcot Company. This will imply that the company will not only lose larger market but also there will be deterioration in terms of production of quality products. This will then imply that the company’s success which depends on the production of quality product will reduce further. In order to handle this issue, the manager will then be required to take the modernized machines in Blois Company and use them in Didcot. This way, the manager will have facilitated the increase in production of the quality product which in turn will help increase the company’s income. Solving this issue will imply that there will be an increase of income which will eventually lead to low production cost. References Burkesss,W., (2010). Organization Change: Theory and Practice. Thousand Oaks: SAGE. Tonder, C., (2004). Organisational Change: Theory and Practice. Hatfield: Van Schaik Publishers. Harigopal, K., (2006). Management of Organizational Change: Leveraging Transformation. Thousand Oak: SAGE. Sevon, G., Czarniawska-Joerges, B. (1996). Translating organizational change. Berlin: Walter de Gruyter. Hussey, D. (2000). How to Manage Organisational Change. 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(2006). Managing Change in Organizations. Delhi: PHI Learning Pvt. Ltd. Yaeger, T. H., & Sorensen, P. F. (2009). Strategic Organization Development: Managing Change for Success. Charlotte: IAP. Burnes , B. (2009). Managing Change: A Strategic Approach to Organizational Dynamics. Upper Saddle River: Prentice Hall/Financial Times. Read More