Organization change management is an activity where you bring and control changes in an corporation for the batter performance of the organization. To improve the quality of out put and discover the ways to increase the customer's degree of satisfaction. Find the ways how to remain competitive the competitors and discover the techniques to reduce the cost without disturbing the quality of something.
Significant change in an organization
Organization changes are created due to many different reasons that are talked about below.
To be competitive the competition in market
For smooth jogging of business
To increase deal level
To add new technology
To improve the performance of organization
While making change you should consider your customer in your thoughts because sometime your customer do not like changes and that bring negative impact in your organization and sometime company makes a lot profit by adding changes.
Only making change in a technique isn't only finished. you companies make the changed strategy perfectly but the neglect to implements the strategy and even organization implements strategy very nicely but it does not control it and cannot have proper check and balance on it. A good proper manager should also develop a altered strategy and implement and even maintain it without disturbing the quality of the merchandise.
Formal and casual organizations
There are generally two types of corporation formal and in formal. In formal corporation an organization follows each and every aspect identified in its objective vision assertions, goals and targets and each and every thing is properly noted and uses all strategies while in informal corporation company do make any recorded record the majority of the things are verbally and orally. But formal organization can make good changes and keep maintaining it and can also view the success ratio of changes because everything are written and can analyse easily.
Bureaucratic organization is an corporation typified by formal operations, standardization, hierarchic techniques and written communication (1)
That means bureaucratic company is an company where all forces are designated to a specific person or division there's a centralized vitality system and each and every task is performed according to explained guidelines all communication should be in writing form.
Strengths of Bureaucratic organizations
Following are the strengths of any bureaucratic organization
All process are manipulated by superior management
All communication is performed in written form
Division of work is performed according to organized way
All employees knows their responsibilities and responsibilities
All process is checked by authoritative person
No chance of communication gap
All rules and rules are pre defined
Weaknesses of Bureaucratic organizations
No technology proves
Too long hierarchy chain
No dialogue process
Long and wait process
Lack of communication among top management and employees
Comparison of alternate types of organizational development
Inventions and advancement that are made in an group for the development are called organizational development. These innovations and improvements are pre prepared, and applied within an organization in the systematic way, all strategies that are not showing desired email address details are studied thoroughly and everything aspects that are creating problems in the development of organization are revised and changes are planed and applied in a organized way.
Different types of Organizational Developments
Four main areas which require development of change are talked about below.
Human process needs changes and developments. Highly skilled individuals are the possessions for a firm and an effective organization always perform some training and development programs for their workers. In an group workers are classified into many teams like production team, marketing team, account staff, clerical staff, customer service staff etc. all of them have different trainings programs. If the workers are split into categories and changes are made for a specific group they can understand and choose the changes easily.
Structural changes are made for the structure of an organization that means a business wants to reduce its hierarchal string for the clean running of business and well flows of information from one end to another end and also for quick decision where it need keeping because that quality of product do not disturb time capabilities are also given to a specific team for the batter performance.
Human learning resource management (HRM)
As discussed previously that individual is the basic factor for the success of business the business should review their performance and organise some programs for their batter performance also give them proper praise because if employees are satisfied they do efforts more for the success of a company.
Strategic advancement is the creation of expansion strategies, new product categories, services or business models that change the game and generate significant new value for consumers, customers and the corporation.
That means the tactical innovations holistic, multidisciplinary platform that permits organizations to have a strategic approach to innovation. (2)
Task 2: System Development
As the time passes the automobile industry need to bring changes in procedures and its own infrastructure to survive and contend in the international market. Quite simply vehicle industry is a very large industry and there are many brands that available for sale. To endure every car industry has to research and add new technology and design atlanta divorce attorneys approaching model.
Ford is one of the leading motor vehicle manufacturing companies in the United States. Located in Michigan in 1903 by Henry ford and grew to reach revenue of $150 billion and much more than 370, 000 employees by 1996 .
In the 1970's, the auto manufacturing market sectors (General Motors, Ford and Chrysler) was crunched by foreign manufacturers such as Honda and Toyota. In 1999, Ford got steps to remain competitive the overseas market by acquiring the Swedish Volvo model and broadened it to other parts as well. Furthermore, Ford launched a completely organized re-engineering production process plan called "Ford 2000" aiming at re-establishing the infrastructure of the business. The process was to lessen their vehicle centres to only five covering businesses which spanned 200 parts. It also designed to decrease redundancies also to require IT (IT) to be the traveling force and the hyperlink between your Ford centres worldwide.
Organisational development against change in vehicle industry
Human characteristics is to respond contrary to the change. Automobile industry need to improve their real human process to accomplish change proficiently and effectively. They need to organise the team be employed by the change.
Strategic Planning up against the change
Automobile industry needs strategic planning to bring the change to make it through in the market of america. Ford need to plan how to implement change and earn profit from the changes.
These will be the members who could be afflicted by the change process. In automobile industry directors, professionals, show holders, transporters, suppliers, federal government and financing corporations are stake holders. We must identify stakeholders afflicted immediately or indirectly by the change. And also we have determined the resistances against the change by the stake holders.
Purpose of Stakeholders Analysis
To recognise and categorise the primary stakeholders being damaged by the organizational change
To analyse the reaction of stakeholders against change
To have the attentions of the stake holders about the change
To find out the stake holders who resists and support the change
To obtain the positive response from the stake holders
To cooperate with the Stakeholders for implementation of the organizational change
"Ford Motor unit Company"
Change is to adopt new technology, techniques and guidelines to survive and compete the marketplace.
Stakeholders in Automobile Industry (Ford Motor Company)
Directors and higher level management define strategies.
Those who help to apply the strategies, Administrative personnel.
Operational level Stakeholders
Those who are in fact running the system as an operating-system.
Directly affected Stakeholders
These are those stakeholders who are immediately influenced such as directors and admin staff.
Indirectly Inspired Stakeholders
These stakeholders are not affected immediately.
The suppliers are highly damaged by the change.
They are highly afflicted by the change.
Resistance against Change
After figuring out the stakeholders the next step is to work out the resistance resistant to the change.
Cultural hurdle to change
All the systems, techniques and methodologies used, are very hard to change to the new one. The change in the culture of the automobile industry i. e. Ford could be very hard to understand the new system.
It is again a vital barrier to change. The change needs more trained people and putting into action this change could be very expensive. Especially for the clients, use of new technology will improve the cost of electric motor for the finish user.
Willingness of the Stakeholders
In this case, the employees cannot be willing to accept this change because than it confusing nature, bizarre methodology and new group has to face plenty of problems for utilizing this change.
Bringing change in short span of energy could be very hard and is hurdle to change.
Above mentioned are the factors that could discourage the Stakeholders to simply accept this change and maybe it's very challenging situation for an automobile industry.
Task 3: Implementation
Appropriate model for change
The world today is ever changing moving from one phase to another and only the thing that does not change is 'change' itself. As the modern business environment is propelled by the three Cs particularly Customer, Competition and Change, organizations are always looking for new business advancement to salvage their ailing business. . (Hammer and Champy, 1993) Among such solutions that contain been recognized and used by many companies is the Business Process Re-engineering or shortened as BPR (4)
There are numerous different views about the management of change within an firm but John Kotter has been accepted an alteration management guru, provided an eight step methodology for owning a Change in an firm, leads a great impact of change management effectively and proficiently.
Create a predicament when the change is required
There are two different strategies about changes one is that await the market and time there has to be a period that others change their strategy and choose new techniques or technology to remain competitive the marker or earn more profit and there are one more group who make all of the sudden make a style of changing develop, and put into action changes this group create such situations on the market that all business competitors always think about changes.
Ford motors totally change its infrastructure and make such trend that other automobile also take up it.
Discuss the dangers about the change
While planning for a change you should also keep in brain about the dangers of changing that your business may face regarding changes. Develop such strategy that can completely overcome the situation of threats.
Ford motors needs to cut off their cost and want to also make more customer and sale. It establish web technology and offer all information about their products on the net and it reduce its cost by closing its shops from a variety of cities of all around the world.
Find out the opportunities
You must have to think about the opportunities of the business that either you have to bring in new models or you have to explore new markets.
Ford motors find out the opportunities regarding its business by making some changes in the model and also explore some new market by getting close to the expanding countries.
Explain the greater convincing reasons
While learning the opportunities for the business enterprise you should have to give attention to the chance that is well suited for your company as well as your company may easily afford and adopt it.
Ford experienced launched its intend to update its infrastructure, and seized the opportunity brought by the global movement of integrating the speech, fax transmitting network with data transmission and broadened its WAN to add its office buildings in Europe and elsewhere. (1)
Ask about the client support
While discussing about the changes you ought to be keep in head the either your customer will support it or not. Make such ideas that are also ideal and far more convenient for your customer.
Step Two: develop a strong Union
To make and put into practice changes ford make a strong union. Ford want to bring in web technology for this function it organize and built an extremely strong team and make user-friendly web that also reduces its training cost that everyone can type in information online and it also make a team that properly plan and control the data on the web.
Step Three: A clear Perspective for a Change
To make and apply changes you should have a clear mission that what you would like to do actually. Your all workers got to know about the actual purpose that how to proceed and for what to do. Why you are making the changes. Ford motors possessed a clear quest which it want to make more sales and explore more market segments and also contend its rivals and also want to take off its cost.
Step Four: Tell the Vision
Once you've decided to make and apply changes and you have a clear mission you should have to share with your vision to your employees and to your customers. And take view of your employees and your customers as well. All of the ford motors employees were totally aware about the planning and they have complete understanding of the eyesight that what they have to do and for what they need to make changes.
Step Five: Remove all the Barriers
Make changes is not so simple. It is very difficult and there are many barriers that should be removed that can obstacle just how of changes. Ford motors experienced make such strategy that others cannot duplicate it and it also held the Sweden Volvo and also partially managed the Mazda to get the competitive edge. Its web technology also requires very large amount that others cannot replicate it easily. And ford motors also signed up its new advancement. It tried out to almost remove many barriers that can obstacle its way during applying the changes.
Step Six: Develop a short-term Wins
Develop such strategies that may be carried out and shows bring about short term to obtain and determine the improvement and success ratio of the strategy. Do not try to make such strategy that requires very long time to show the result. If something will go wrong you can change it easily and short term jobs are also supervised and integrated easily.
Step Seven: Proceed for a Change.
After covering above six steps now it's the time to apply the changes. You should have to build up the techniques how to apply the strategies. Each and every aspect should be reviewed in briefly for the execution for the strategy. Ford motors also have worked on every single aspect that how it will apply the changes to get the desired results. It launched the web technology and provides all its data on it and also cut off its outlet stores from the number of regions to save lots of some cost step-by-step.
Step Eight: add the Changes in organizational Culture
The previous and foremost step is the fact how you will justify the changes created by you in your business strategy and how you will support and attach it with your company culture. While making changes you ought to have to also concise on the culture of your organization.
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