Organizational Behaviour and Change - Example

Running Header: Organizational Behaviour and Change Student’s Name: Name of Institution: Instructor’s Name: Course Code: Date of Submission: Table of Contents Table of Contents 2 Executive Summary 3 Introduction 4 Basic Background Information 5 Objectives of this Report 10 Importance of Developmental Change 11 (Diagnosis of the problem) 11 General Process of Effecting Change 13 Problems Associated with Developmental Change 14 (Resistance and Communication) 14 General Process of Evaluating Change 17 Conclusion 18 References 19 Organizational Behaviour and Change Executive Summary Organizational behaviour and change is very necessary to ensure that organizations can meet their set objectives. The report aims to look into an organization and how change would have helped its general sustainability. This is with the aim of looking deeply at the internal structures of the organization. Once the structures have been looked into, it aims to understand what should be done in respect to the specific areas of that organization. Once an organization has identified the problems it is encountering, it then has the added advantage of looking and analysing how the issues can be resolved1. The report will provide the processes to be followed in the process of organizational intervention. It will show greatly the procedures to be followed to ensure that change is effected immediately. The report aims to draw attention to why the specific methods were chosen over other methods. This will have the ability to showcase the best methods selected and their impacts. This will be done through the process of change evaluation. Introduction Many organizations have their own set of standards in relation to how they are expected to behave. This is within the organization or outside the organization. Organizational behaviour is important because it draws a distinct boundary in how the employees and the overall management team are expected to behave. This is with the aim of ensuring that all the goals and objectives that have been set in the organization are met. In the event that they are not, there is need to have effective and efficient structures that ensure that there is organizational change. Organizational change is basically the alteration of specific tactics that will ensure that the organization has changed from one that is not meeting its objectives, to one that is. It ensures that organizations that are not recording profits turn around and make the profits. Behavioural change is necessary as it ensures that employee satisfaction is very high. This will reduce cases of high staff turnover that is currently the issue in many organizations2 From time to time, it is very important for organizations to practice change in their overall behaviour. This means that they should create set frames that encourage them to look at their behaviour. Once they have analysed their behaviour they should then take time to understand what is wrong and what can be done to improve. Improvement is based on the organizations ability to realise that there is a problem with what they are doing. This will ensure that it turns around and does something totally different. This will ensure that it has the ability to ensure that it does things in the way that it is supposed to. This is in relation to collected facts and information. This will ensure that the management team and the employees all work towards achieving the set goals3. Basic Background Information I recently worked for Trump Hotel and Casinos Resort. This was before it was declared bankrupt in 2009. It was bought by other investors and it underwent drastic restructuring around the same time. After the bankruptcy, it was referred to as the Trump Entertainment Resort. This company had a very firm beginning. It was guided by the chairman of the group who was also the founder. This was Donald Trump. He had very many other successful businesses all over the globe. His financial guidance in the overall management of many of his other organizations created the idea of the hotels and casinos. Its aim was to ensure that the hotels and casinos created a perfect atmosphere for people to relax and have a good time4. In the early 1980’s, Donald Trump received a license to run several gaming businesses. He had selected the city of Atlanta as a new business capital. The sole aim was that he had as many businesses spread into many of the parts of the world. He had the overall aim of ensuring that he penetrated the area and attained as much of the profits as he could. He had the intention of building his own casino. Around the same time another businessman wanted out of his casino business. Donald Trump was the ideal candidate for the buy out. He then changed the name and the business of running the casino in the city of Atlanta officially begun5. At that time, it was the biggest and most profitable gaming place in the whole city. Many people travelled far and wide to enjoy the services that were on offer. Around 2009, many companies and organizations were struggling all over the states. Recession was making it very difficult for the companies and organizations to make profits. Many grappled with losses and they had to let their staff go. This was because the overall cost of retaining them proved to be too high. But the issue of recession did not affect the company immediately. In 1991, it filed for bankruptcy. This was because a lot of money had been spent into the conversion of the previously owned property into something else. The business had not picked up enough to have the ability to stand the amount of funding that was required. At this point, it did not have adequate structures in place to ensure that the financial implications were understood by all. It went through this rough patch. Many employees were afraid that they would lose their jobs6. After getting some funding that reduced the negative effects it was experiencing, it started struggling with the issue of how to pay back the debt that it owed. It took several programmes that had the overall aim of ensuring that there were structures in place that would adequately deal with the issue. This came in the form of debt restructuring exercises. The exercises were all aimed at understanding the proper channels to be used in the entire restructuring process. The contact was made with very many banks and institutions. Many of them rejected buying out the business or its premises. It would have been effortless to try and convince investors of the general worth of the company. Many of the financial investors were also having a rough time analysing and trying to understand the financial markets. This is because there was constant fluctuation of the profits and losses. This was the very first sign that recession would have adverse effects on many businesses and organizations7. The company struggled on for a couple of years. At this point it was noticed that there was no way it would survive. In 2009 along with many other companies, it filed for bankruptcy yet again. It ensured that it had taken itself off the market. This created room for the various investors that were look into the property and finally make a buy out. It was at this point that very many employees lost their jobs. This is because the overall cost of keeping them was very high. It retained very few of its initial employees and they were to work in the company until it had successfully been bought out (ANTHONY,). The failure of the Casino and group was a very big blow to the entire investment team. Many individuals were stressed on what to do with the stocks and shares that they held. A deal was finally sealed that allowed the new company to take over. The only difference was that it was now the duty and responsibility of the new owners to decide what to do with the Casino. An agreement was reached that allowed the company to continue to use the Trump name. They were required to pay him something small for that. After the agreement was finally attained, it became possible for the company to jump start its operations. The only difference was that it had a new management team. The management team was tasked with the responsibility of ensuring that it had grown to new heights. This would reduce the chances of the organizations slump into bankruptcy once again8. The collapse and the declaration by the company so many times was a strong indicator that all was not well. In many instances, there were a lot of things that would have been done to ensure that the group catered for all its issues. There was lack of systematic arrangement in relation to how the company run its affairs. The mission and purpose of the organization was met. The only problem was that it was met at a very high cost. It was essential for the company to ensure customer satisfaction for all the visitors at all times. It had the duty to ensure that they were served with the best quality cuisine. It was also to ensure that the gamers had the best place to place their bets in the casino. The structure that housed the hotel and casino was huge. It cost a lot of money to construct and maintain the structure. This therefore meant that there were very many employees that were needed. This was not good for the company especially during its general inception. It had a complex organizational structure that required the input of the chairman, the shareholders, investors and the bond holders. Its complex structure created some problems for the organization. This is because it was very difficult to conduct business without the consent of very many of the individuals. They all had to agree. In the event that they could not agree, the company was faced with many lawsuits that were filed against the company. This wasted a lot of time and money for the company. This was because it would have used the money attained to ensure that the company continues to grow from time to time. I worked in the hotel section. I was tasked with the responsibility of ensuring that orders had been made to various suppliers and their feedback recorded. This was a steady chain that was to ensure that the company had a supply of fresh produce that would ensure that the clients were pleased with what was on offer. I reported to the senior caterer who had the responsibility of drawing up menus that would cater for the needs of the clients visiting the area. This was because the organization had a strong organization structure. Each department had its head. The heads all reported to other selected officials who were tasked with the duty of discipline and the meeting of company objectives. These were the representatives in many board meetings. This was especially the case when the board members needed to be briefed on very many aspects about the company. The board members then reported to the chairman9. The discussion had the aim of brainstorming and the creation of new ideas. The new ideas had the overall aim of ensuring that the company continued to grow to new heights and attained maximum profits. It had the duty of understanding the financial standing of the company in all areas. This was in relation to where it stood currently. These projections were used to draw up expectations for the future. Objectives of this Report To discuss the importance of developmental change in an organization before its collapse. To find out how to identify problems in an organization and how to deal with the problems. Create a clear cut path to understanding the challenges that are experienced many at times in effecting change in the organization. Identification of the various strategies that can be used to evaluate the changes effected in an organization. Importance of Developmental Change (Diagnosis of the problem) Every organization has the overall duty of ensuring developmental change in their organization. Change is the ability to realise that things are not as they should be. Once the realisation had been made, then certain specific steps are taken to ensure that all is done to introduce the changes in the organization. Problem diagnosis is heavily reliant on the steps that a company or organization takes. This means that an organization should have measures in place that identify what it wants to achieve. After the identification of these objectives, it should then conduct an effective SWOT analysis. This is basically the identification of the strengths, weaknesses, opportunities and threats that are encountered in the organization. In many instances, the general picture of how a company or organization is doing is reflected in several ways. One of the ways is the accumulated profit at the end of the financial year. What are the profits at the end of the financial year? What is the profit margin in the profits accumulated last year and this year? Other factors that can be used in problem diagnosis are the client retention rate. How many clients does the company have? What should it do to attract others? What is it doing to retain the clients that it has? The ability to attract and retain clients is also based on several issues. What are the clients’ complaints? What can be done to remedy the complaints? Do they have suggestions to ensure that the company can achieve its success? Are their suggestions feasible and can they be attained within a specific time frame? The satisfaction of the employees is also a very deep sign of success. It shows that a company takes them into account in very many instances and situations. It shows that they are ready and willing to do all that they can for the organization. This is because the company is also showing very strong commitments towards their needs and wants all the time. Change is very important in an organization. It avoids issues for example general bankruptcy and insolvency of the company and all its aspects. In the above provided example, if the Resort and Casino realised that there were certain aspects that were not being achieved in their objectives, it would have been wise to change tactics. This will include the introduction of very many changes that would ensure that the company is on the right path. If the company is not reaching its set targets in relation to customer attraction, it could employ aggressive advertising. The advertising could be the means to ensure that very many people are aware of the products and services on offer. They will then make a go at ensuring that they have visited the company to ensure that they have a taste of the products and services on offer10. Maybe the problem is brought about by high costs of prices in the goods and services on offer. The company would then employ the right tactics in the different situations experienced. This will ensure that once the problem has been identified, it is adequately dealt with. This will ensure that the company is back on its tracks in relation to what needs to be done and at what point. This will ensure that it remains very stable in its overall growth in company operations. General Process of Effecting Change Change is very essential in many occasions. It is necessary to ensure that problems are adequately dealt with. In effecting change the first step is problem identification. Problem identification consists of the ability to look keenly at the negative issues in an organization. This is followed by problem analysis. Problem analysis ensures that the problem is understood from all potential angles. The analysis involves what should be done in any situation or circumstance. The general process of effecting change should be gradual. This is the only way that it can be understood and adhered to by all those that it affects. It is the duty of the agent or change consult to guide in the general process of analysing the issues that contribute to the overall need for change. This is because it is his or her input that provides a steady platform for the general understanding for the need for change11. The next step involves the drafting of a change plan. The change plan has the duty of ensuring that in all the instances that are encountered in the organization, many have the overall ability to ensure that the plan covers all aspects of change in the organization. After drafting the plan, it is necessary to alert all those that are required to participate in their set duties and responsibilities. They general purpose of doing this is to ensure that they are ready and prepared to carry out their duties and responsibilities as is expected of them12. The organization mentioned above had the general aim of ensuring that the first problems that it had are dealt with and that they never occurred again. This is the general aim of change in an organization. If they realised that they had spent a lot on initial company inception, after borrowing during the first bankruptcy claim, they should have utilised the gained resources as effectively as they could. This would have prevented the situation that they were in the second time. This would have prevented the insolvency of the company. Problems Associated with Developmental Change (Resistance and Communication) Many people in organizations are content with status quo. They do not want to be heavily burdened with the task of employing new strategies in the way that they conduct themselves. Change comes with a lot of work and expectations. It is generally accepted that the management team and all the employees should do all that they can to effect the changes that are required in the organization. As an agent of organizational change, it is first proper to interview the staff, management and employees of an organization. This is with the overall aim of wanting to understand their thoughts and feelings in relation to the items of change13. The main aim of doing this is to ensure that is possible to be on the same page in relation to the very many issues in question. A consultant should not match into an organization and start dictating elements to be changed. It is prudent to take time and understand what needs to be changed and why. After the people have been notified of the changes and their benefits, the process of change can be started. This will include the input of all those that make up the organization. The process of systematisation of change will require segregation of duties. This is with the overall aim of ensuring that it is not only the employees that are heavily burdened with the general task of implementing and effecting change in the organization. In one particular instance, if organizations sales have dipped management should also take a stand to improve them. They should work hand in hand with the employees to ensure that they effect the set recommendations for the change process. Otherwise, chances of the employees rejecting and disregarding the general purpose of the elements of change are very high14. It is very important to identify what to do with the existing problems. By identifying the problems, it will ensure that measures are put in place to ensure that they do not affect the organization or its structures. They will be merely improving the organization and its structures. Another common problem is one that insists on aspects of communication. Communication is essential in ensuring that all the elements of change are effectively and efficiently communicated. This is to all the parties that are interested in ensuring that they have improved their general communication mechanisms in the organization. Communication should occur within set structures that ensure that the agent of change clearly spells out what needs to be done and when. It also allows set mechanisms to have the general capacity to practise how to organize the organization within set confines of a communication channel. Communication brings forth a very active experience that ensures that it is easy to understand what needs to be done and why15. It is important to note that once the communication structures are in place, it is very easy to communicate change to all the relevant authorities in the created change chain. A consultant should ensure that he or she has the ability to deal with resistance that comes in these forms. The one thing that can be done is the expulsion of people who are not interested in the change. If they are employees, they can be sacked. This is because instead of being retarded by few people with illegitimate issues, it is best to do it alone. The best way to gauge pro reformers is how they react to the proposed change. Are they enthusiastic about it? Do they prefer to just sit back and watch as the others work? Are they constant sources of negativity? These are some of the factors that contribute to negative change that is experienced in many organizations all over the world. As a change agent it is therefore very necessary to prepare for very many challenges that one goes through in trying to ensure that change is communicated and effected in the organization. This is for the purposes of ensuring that the organization has strict measures that ensure that the organization adopts and adapts to the general principles that govern it. This is especially the case after change has been employed in an organization16. General Process of Evaluating Change Evaluation is the process that judgement is applied and scrutinised in any particular situation. Once an organization has gone through change there should be mechanisms in place that judge whether or not it is a success or not. If it is a success, then the same measures should be employed to ensure that the success levels are maintained in many instances. This is because success is not a short term goal. It is something that should be maintained to ensure that the success of the organizations is maintained always17. If the fortunes that are represented in the evaluation process show that the company is yet to improve, then it is prudent to go back to the drawing board. This will involve the issue of generally understanding what needs to be done and what went wrong. In the event that it is short term, the problem can resolved. If it is an issue that requires other issues that take the agent back to the drawing board, then more needs to be done. It is important for the organization to identify who can be tasked with the responsibility of evaluation of the general process. They should respond to the general inquiries that are brought forth by the observations in the company. The team should be different from the implementers of the change. Outside observation is normally the best. This is because it removes all forms of biases and prejudices in a particular issue of situation18. Evaluation is very necessary at all levels. There should be evaluation when identifying the problem, analysing it and looking for the solution. This will ensure that the best possible choices are made at every step. This is the general principle that should guide organizational change. Conclusion In conclusion, it is important to note that organizations require certain set behavioural norms. It is these norms that define the level of success or failure of an organization. If the expected standards of behaviour are not there, then there is need for strict organizational change. Organizational change is necessary and relevant to reduce the chances of huge losses and insolvency. It is also necessary to ensure that they have the capacity to retain both their employees and their clients19. An organizational consultant is tasked with the responsibility of ensuring that there is a systematised level in the way that change is effected in the organization. This is for the overall benefit of the organization and all it structures. The structures will have the added advantage of realising what needs to be done, where and why. 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