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Critique of an Article - Organizational Development and Change - Essay Example

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Organizational change is not only a part of organization development but it also happens when forces leading the change become more influential than those opposing change. The changing business environment and increasing competition is making it important for the firms to give a…
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Critique of an Article - Organizational Development and Change
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"Critique of an Article - Organizational Development and Change"

Download file to see previous pages The change process at ABA trading company, operating in Germany have been described in three steps including change initiative, change implementation process and sustainable change process. The organization has passed through the change in strategy, organizational culture, management, and leadership and employee orientation. Before explaining the process of change, understanding why ABA Company felt the need to bring the change is important.
Actually, as a strategic response to increasing competition, ABA Company decided to go international. The organization was restructured into three divisions and the administrative service was decentralized. Instead of just only restructuring, the organizational change of ABA appeared to be a complete integrated process, in which along with structural change, change in strategy, culture etc. were also introduced. Various companies think short term and ignore the link between restructuring and strategy, however, for restructuring to be successful, long-term strategy should be linked to organizational restructuring.
Like various other organizations, restructuring and downsizing poses great threats for the organization because the level of trust, commitment and morale of the employees may go down. Same thing happened in this case, therefore, to reduce the negative impact of the change process; the organization felt the need to analyze the behavior and attitude of people towards this change. First it was observed that before the change process, the culture of company was paternal and supportive. The leadership was caring and highly relational psychological contracts used to exist between organization and its members. The commitment was brought by job security and lifelong employment.
Bill felt the need to support the change process, instead of just informing the employees about bringing the change and for a continuous observation and evaluation of organizational members; a team of researchers was hired. The researchers of ...Download file to see next pagesRead More
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