Organizational Transformation: Required Tools And Techniques ...

A while back, managing large companies was an easy task for senior executives. This was because all they were expected to do is maintain the stability of the business, in a rather
co-operative environment.

On the other hand, the shareholders expectation was a growth in their annual earnings, something that was easily met through the strategic plans put in place. Ultimately, everyone was happy!

Market changes

However, the happiness was short-lived. Emerging forces and factors came into play and threatened the stability of business. Market transparency, labor mobility, global capital flows and instantaneous communication, to mention but a few.

Today, most, if not all industries are faced with a high level of competition among its companies. For this reason, management is focusing on something that just yesterday was non-existent: change.

According to Professor Rosabeth Moss Kanter of Harvard Business School, successful companies can only survive if they have strategies that are flexible with a constantly changing culture.

This development has presented leadership with an unfamiliar challenge. In order to succeed, a company can not solely focus on the organizational change. It needs to have an understanding of the human side of change management. That is, how does the desired change align with the company?s culture, values, people and behavior?

Take for instance value: value cannot be captured by simply planning. It requires a sustained and collective action of the employees who are responsible for designing, executing and living with the changed environment.

CEO?s and change management

A survey conducted on a sample of CEOs? indicated that most were not worried about the change per se, but how the workforce would react to the change. Will they be willing to work
to attain the desired results? Will the collaborative teams they form work together to achieve the goals at the best time possible?

These are not unfounded fears on the part of executives as they know that they will only reap rewards only when change occurs at the level of the individual employee. They also worry about retaining their company?s unique values and sense of identity and about creating a culture of commitment and performance.

Guiding principles for change management

• Address the ?human side?

Any significant transformations within an organization result into ?people issues?. Maybe some employees will be rendered redundant, job specifications and descriptions may change all issues that are likely to make the employees resistant and uncertain.

It is important that the change management approach be fully integrated into program design and decision making, in a manner that informs and enables strategic direction.

Change is usually unsettling for people at alllevels of management. However, for successful implementation, the leaders should be the first to embrace the changes, as a means of motivating the rest in lower management.

Transformation programs move from defining strategy and setting targets to design and implementation, a process that affects different levels of the organization. Change efforts must be inclusive of plans that identify leaders at each level within the organization so that change can cascade through the organization.

These leaders must then be trained and equipped with knowledge that is line with the company?s vision and mission.

Individuals are inherently rational and will question to what extent change is needed, whether the company is headed in the right direction, and whether they want to commit personally to making change happen. Making the change formal involves creating a vision statement that induces leadership-team alignment.

Without change management strategies, it is becoming increasingly hard for companies to cope with the changing business environment. However, incorporating the above principles will enable a company grow and maintain a sustainable competitive advantage.

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Source: http://www.inquid.com/organizational-transformation-required-tools-and-techniques.html?utm_source=rss&utm_medium=rss&utm_campaign=organizational-transformation-required-tools-and-techniques

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