What is change management?
Change management can be considered as a structured approach to moving ahead of the team and organization from a current state to a selected future state. This process is designed at helping the organizational team in dealing with changes, both from individual and organizational levels in their current working environment. Organizational management can take action to influence the team in the transitions in order to support them in reaching the desired future state.
History of change management
When considering the beginning of the change management concept, it goes back to the early to mid-1900s. Until the 1990s that change management became well known in the business environment, and formal organizational processes became available in the 2000s.
1940 - Kurt Lewin’s 3-step model for change was established.
1962 - Everett Rogers’ book Diffusion of Innovations was published.
1979 - Bridges’ Transition Model was developed.
February 1995 - The first State of the Change Management Industry report was published in the Consultants News.
2016 - The Association of Change Management Professionals (ACMP) announced a new certification to enhance the profession: Certified Change Management Professional (CCMP).
Reasons for organizational change
There are many external and internal environmental reasons for organizational change.
External factors of organizational change
- Challenges of growth, especially in global markets
- Economic downturns and tougher trading conditions
- Technological changes
- Competitive actions and pressures including mergers and acquisitions
- Change in customers’ demand and tastes
- Government legislation, initiatives, and policies
- Political drivers and changes in government ideologies
Internal factors of organizational change
- Change in strategy
- Need to learn new behavior and skills
- The arrival of new personnel or the emergence of a new outlook
- Low performance and morale
- Innovations in new products and service design and delivery
Why organizations need change management
Changes are happening in
every organization and new initiatives, projects are launched to enhance the
performance, profits and competitive advantage.
- Succeed in an ever-changing world
Organizations are facing
faster, complex and more cross-functional changes every day. Applying change
management strategies enables organizations to succeed in the ever-changing
world.
- Close the gap between requirement
and results
There is a gap exists in
an organizational changing scenario between requirement and results, outputs
and outcomes, solutions and benefits. Change management help to close the gap
effectively.
- Mitigate Mission-Critical Risk
The people side of change
generates excessive risk and cost. Projects are subjected to “RE” costs like
the redesign, rework, revisit, redo, retrain, re-scope, and in some cases,
retreat. Change management is the discipline to help mitigate those
mission-critical risks.
- Take the Chance out of
Change
Changes in organizational
practices is difficult and needs to remove the chance of variability connected
with change by providing employees with the preparation, support, and skills
they need to succeed in change.
References
Posci, n.d. What is change management. [Online]
Available at: https://www.prosci.com/resources/articles/what-is-change-management
Posci, n.d. Definition of change management. [Online]
Available at: https://www.prosci.com/resources/articles/change-management-definition.[
Online]
Perkins, S. and Arvinen-Muondo, R. 2013. Organizational
behaviour.People, Process Work and Human Resource Management.. 1st ed.
London: Kogan Page
True. Change is inevitable and unavoidable. It exist in different dimensions and can be described as internal factors that include technologies, operational changes and processes, internal laws and policies, conversion of government organisations to private enterprises, organisational modernisation initiatives, changes in management decisions etc.
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