Managing Change, Creativity, and Innovation - Literature review Example

During the current period, it can be d that organisations operate in a dynamic environment which is constantly changing and for them to remain viable, change is unavoidable in order to be able to keep pace with the developments taking place in the business environment. Thus, Andriopoulos & Dawson (2009) maintain that managing change, creativity & innovation is the most crucial role for organisations to survive and thrive as we move into a knowledge economy global environment. Against this background, this essay argues that the HR manager has a very important role to play given that he is mainly concerned with dealing with issues related to human resources. To a greater extent, it can be noted that the HR manger has a big role to play as far as influencing knowledge creation and sharing among the employees are concerned. The first part of the essay seeks to outline the conceptual framework of the discussion with regards to the essence of managing change, creativity and innovation in a knowledge economy, global environment. This is followed by a critical analysis of the role played by an HRM practitioner as far as change in connection to the above argument is concerned. Change is usually necessitated by both internal and external forces. The internal factors include human resources problems such as low productivity while the external factors include global and national dynamics that impact on the organisation such as technological changes, market, political, social and economic changes (Andriopoulos and Dawson 2009). There is need for the HR manager to understand, assume and conceptualise change as the gap between the current reality and the desired situation for the betterment of the organisation as the first step to be taken whenever change is concerned. The human resources are regarded as important in the change process hence the need to take into consideration their needs and wants as part of the change process in a knowledge economy and the HR manager is supposed to ensure that the activities of the employees conform to the changes that may be put in place. According to Zappala (2004), “HRM is a distinctive approach to the management of employees that seeks to achieve competitive advantage through the strategic deployment of a highly committed and capable workforce using an array of cultural, structural and personnel techniques,” (Storey 1995, 5). Employees should be treated as valuable assets to the organisation than mere workers who work for pay only. Thus, HRM practices are meant to assist in the development of innovative and creative ideas for the betterment of the organisation. This emanates from the strong belief that human resources in an organisation provide the firms with a competitive edge over the other competitors (Pfeffer 1998). Indeed, there are other factors which can influence the employees to be motivated to create a sense of belonging to the organisation but the domain of HRM function plays a big role since they are constantly in touch with them. It should be noted that creativity is the thinking process that drives employees to generate new and useful ideas in order to give the organisation the competitive urge required in the dynamic environment in which they operate. This process cannot be left unmanaged and it is the role of the HR manager to ensure that there are measures in place that will ensure smooth creation and management of knowledge (Andrioupoulos & Dawson 2009). Innovation implies that new ideas are weighed and implemented accordingly in such a way that the organisation is better positioned to keep pace with the ever changing business environment. In order to successfully operate in today’s business environment that is characterised by stiff competition, it is undoubtedly true that organisations ought to be creative and innovative in order to cope with the dynamic environment in which they operate (Politis 2005). Creativity and innovation are key factors to maintain sustainable competitive advantage. Thus, according to Andriopoulos & Dawson (2009), in cases where the employees are given the opportunity to be innovative in their tasks, there would be likely chances of generation of brilliant ideas that can contribute to the growth of the organisation. It can also be noted that organisations should pay particular attention on continued learning which is about acquiring new knowledge and skills as this can lead the organisation to stay ahead of other rival competitors as far as innovation is concerned. Learning to learn is about creativity and innovation, which is about creating positive change rather than adapting to change. Creativity and innovation are the essential elements for organisational learning and additionally, the ability of an organisation to grow is also dependent on the ability to generate new ideas and develop them into feasible innovative practices (Schultz 2003). Thus, moving into a knowledge economy requires creating and acquiring new ideas which are transformed into new knowledge to develop new insights that are helpful to the organisations in a dynamic environment (Andriopoulos & Dawson 2009). Acquiring knowledge is enhanced through training and development which are to enable employees to gain important work related skills, knowledge and techniques. This is very important especially with regards to organisations undergoing change as it seeks to equip the employees with the relevant knowledge and skills that are needed in undertaking that change process. The main role of HR managers is to facilitate knowledge creation and innovation through creating a free environment that enables the employees to be part of the decision making process with regards to change as this will motivate them. Adaptive organisational forms which emphasize on the flexibility to adapt to change can enhance creativity while bureaucratic or rigid structures will inhibit creativity (Andriopoulos & Dawson 2009). However, this extends to the limits of the HR functions given that the concept of corporate social responsibility is slowly gaining prominence during the current period. According to Young and Thyil (2004), employees are ought to be incorporated in this broader spectrum so that they can meaningfully contribute to the organisation. The employees ought to be in contact with the outside environment where they can derive creative and innovative ideas given that they will be aware of the needs of these people which are constantly changing. Research has shown that the concept of corporate citizenship has positive effects on employees’ motivation, morale as well as their commitment and loyalty to the organization (Weisar and Zadek 2000; Tuffrey 1995, 2003 as cited in Zapalla 2004). A survey of almost 25 000 people across 25 countries found that about 80 % of the employees are motivated by working for employers who are socially responsible. The concept of organisational structure plays a pivotal role as far as managing change, creativity are concerned. According to Schultz (2003), an organisation which has a flat structure and is autonomous in decision making is likely to promote creativity. A flattened structure can help easier communication and information sharing hence, it enhances creativity. This goes hand in hand with the concept of leadership. Leaders play a pivotal role in an organisation and they need to anticipate forces in the organisation’s external and internal environment that necessitate organisational change. They ought to influence as well as motivate the other employees to have a positive feeling towards the change initiative. HR managers who can be leaders ought to have democratic, participatory leadership styles so as to be able to accommodate the views and ideas of other employees as far as creativity and innovation are concerned. Change is met with resistance by many employees as a result of many factors. The forces against change are multiple and interrelated in most cases and they require a holistic approach (Cutcher 2003). Various constraints are likely to be encountered and in any case where change has been initiated, one notable response by the employees is resistance to change that may result in sabotage in the event that there is lack of understanding of the change initiative. If the employees are not happy with the new initiative, it can be difficult for them to support it. Usually, a change strategy that does not have the support of the individuals within an organisation who are intended to play major roles is likely to face challenges. Resistance to change may be a result of the employees lacking knowledge about the initiative to give their support. In cases where employees do not know the benefits of the change initiative, they may not readily accept it as would have been anticipated. Various organisations have cultures which shape the way they operate and these cannot be suddenly changed without proper consultations first. Other individuals will resist change because they are afraid of losing their positions within the organisation. Whenever initiating a change programme in an organisation, the leaders should always anticipate that it will be met with resistance by different individuals within an organisation. This stage forms the crux of the change programme since it is responsible for determining the success or failure of change. Resistance to change is a natural phenomenon but if it is ignored, it will hinder the efforts and likely to result in waste of resources. Thus, the successful management of resistance to change is the key factor in any change process and it is the role of the HR manager to ensure that there is less resistance among the workers. West and Farr (1990) indicate that when individuals can participate in decision-making process and can express ideas without fear, there will be likely chances that innovation and creativity will be promoted in the organisation. When the employees have freedom and autonomy to participate in decision making process, they will have a positive attitude towards creativity and innovation. Open systems that promote participation and interaction also allow the free flow of information which in turn promotes mutual understanding among the employees. This in turn can promote creativity and innovation. Over and above, it can be concluded that organisations operate in a dynamic environment which is constantly changing and moving into a knowledge economy in a global environment requires creativity and innovation for them to remain viable. Thus, change is inevitable in order to be able to keep pace with the developments taking place in the business environment. In this case, the HRM plays a pivotal role in facilitating employees to be innovative and creative so as to create knowledge which is vital for the success of an organisation operating in a changing environment as we move into a knowledge economy driven and global environment. References Andriopoulos C & Dawson P. (2009). Managing change, creativity and innovation [ebook] Available at: http://books.google.com.au/books?hl=en&lr=&id=z4pgZlMoD_wC&oi=fnd&pg=PR15&dq=managing+change,+creativity+and+innovation&ots=qfM5NHX0BQ&sig=xf335DOw5Qba8ancu2KkA08LIyM#v=onepage&q&f=false Accessed 3 November 2010 Cutcher L. (2009). Resisting change from within and without the organization. Discipline of Work and Organizational Studies, Faculty of Economics and Business, The University of Sydney, Sydney, Australia Schultz et al (2003). Organisational behaviour. CT. Van Schaik Publishers. Young S and Thyil V. Governance, employees and CSR: Integration is the key to unlocking value. Asia Pacific Journal of Human Resources 2009; 47; 167 http://apj.sagepub.com/cgi/content/abstract/47/2/167 Zappalà G. Corporate Citizenship and Human Resource Management: A New Tool or a Missed Opportunity?Asia Pacific Journal of Human Resources 2004; 42; 185 Read More