Managing Organisational Change Organizational change occurs when a company makes a transition from its current state to some

desired future state. Managing organizational change is the process of planning and implementing change in organizations in such a way as to minimize employee resistance and cost to the organization while simultaneously maximizing the effectiveness of the change effort. Today's business environment requires companies to undergo changes almost constantly if they are to remain competitive. Factors such as globalization of markets and rapidly evolving technology force businesses to respond in order to survive. Such changes may be relatively minoras in the case of installing a new software programor quite majoras in the case of refocusing an overall marketing strategy, fighting off a hostile takeover, or transforming a company in the face of persistent foreign competition.

Evolutionary Changes Evolutionary change is incremental and takes place gradually, over time. Slow, gradual change often takes place to ensure the survival of the organization. Its incremental in that it happens step by step, little by little. Organizations undergoing evolutionary change may have been prompted by outside pressure, as in keeping up with technology or addressing the needs of stakeholders more effectively. In other cases, evolutionary change may be spurred by competition

Revolutionary Changes Revolutionary or transformational change is profound. When we think revolutionary change, we envision complete overhaul, renovation and reconstruction. Change is fundamental, dramatic and often irreversible. From an organizational perspective, revolutionary change reshapes and realigns strategic goals and often leads to radical breakthroughs in beliefs or behaviors. When an organization decides to engage in revolutionary change, radical transformations to products or services often follow

Planned and Unplanned Changes Unplanned change usually occurs because of a major, sudden surprise to the organization, which causes its members to respond in a highly reactive and disorganized fashion. Unplanned change might occur when the Chief Executive Officer suddenly leaves the organization, significant public relations problems occur, poor product performance quickly results in loss of customers, or other disruptive situations arise.

Planned change occurs when leaders in the organization recognize the need for a major change and proactively organize a plan to accomplish the change. Planned change occurs with successful implementation of a Strategic Plan, plan for reorganization, or other implementation of a change of this magnitude. Categorising change Adaptive changes, least difficult to manage, doesnt effect everyone in the organisation systemic changes, planned changes, it doesnt emerge from a shock to the system but as management's response to changes in the environment or competitive reason. It taken only after extensive consultation among executive board and direction transitory changes, unplanned, it is not necessarily unanticipated, changes is not radical like as downsizing, reallocating responsibility, etc chaotic changes, every manager's worst nightmare. Unanticipated and threatened the organisation's existence Figure 12.2
Revolutionary

Systemic

MAGNITUDE OF CHANGES

Introduction to a major new technology Privatisation or deregulation Entry to a major new market

Chaotic

Terrorist attack Failure of major supplier or customer Unanticipated hostile takeover

Adaptive
Evolutionary

Updating computer system Change in distribution methods Modificating to existing products

Transitory

Sudden strike Change in commodity prices Loss of key management personnel

Unplanned

Planned ANTICIPATION OF CHANGES

Structural changes Why we need structural changes: 1. Decision making is slow or inappropriate, appropriate information doesnt reach right person at the right time. The decision maker might be overloaded and not allowing them to consider issues and gather the appropriate information 2. The organisation is not responding innovatively, organisations product is out of date or their technology is behind competitors

3. All important tasks should have someone responsible for them, environment changes overtime and each important segment of the environment should have some one dealing with it Figure 12.3 A Model For Managing Planned Organisational Change

What Are the determinant of changes?

Forces Initiating changes

Who is initiating the changes?

Action of management and change of agent

What Is To be Changed?

What is to be Changed Structure? Technology? Processes? Culture?

Type of Intervention

How Is It to be changed?

One off Unfreezechange Refreeze

Ongoing Unfreezechange

What Is The Result?

Change

Organisational Effectiveness

The innovative organisation Innovation, the adoption of ideas that are new to the adopting organisation Technological innovation, use of new tools, techniques, devices or systems to produce changes in products or services in the way they are produced Administrative innovation,implementation of changes in administrative process Product Innovation, designing, development, production and marketing of new product and services Managing Unplanned change centralisation of management estabelishment of special taskforces

Active environmental management Husbanding resources Need for active leadership

Daftar Referensi Robbins, Stephen P. 2002. Organisation Theory : Concept And Cases. Australia: Pearson Education Australia. Swa 28 April-11 Mei 2011/Xxviii/Swa 09, Ketikabanyak Dicari Konsumen, Recheese Justru Gagap Memenuhi Permintaan Pasar. Apa Yang Terjadi Pada Snack Wafer Keju Yang Pada Awal Kelahirannya Banjir Pujian Ini? http://www.inc.com/encyclopedia/managing-organizational-change.html, Managing Organizational Change, Diakses Tanggal 11 Mei 2013 Danning, Steve. 2012. Do We Need Evolutionary Or Revolutionary Change In Management?, Http://Www.Forbes.Com/Sites/Stevedenning/2012/11/15/Do-WeNeed-Evolutionary-Or-Revolutionary-Change-In-Management/, Diakses Tanggal 11 Mei 2013 Lunenburg, Fred C. 2010, Approaches To Managing Organizational Change, Houston: International Journal Of Scholarly Academic Intellectual Diversity Volume 12, Number 1, 2010, Http://Nationalforum.Com/Electronic%20journal%20volumes/Lunenburg,%20fred %20c%20approaches%20to%20managing%20organizational%20change%20ijsaid% 20v12%20n1%202010.Pdf, Diakses Tanggal 11 Mei 2013