CHANGE MANAGEMENT

Introduction and Overview

In this topic it covers the meaning of change, urgency of change resistance to change how to over
change resistance

Learning Outcomes
At end of this topic the learner is expected to:

1. Explain the meaning of change management

2. Understand external and internal factors that influence change
3. Describe the steps in change management process
4. Discuss how to over change resistance

Change definition

It’s defined as the movement from the current state of operation with an aim of becoming a
better organization. It’s also the alteration of the organization status.

Organizational changes affect several factors in the organization that include; structure, culture
people and technology.

Urgency of change

1. Competition

The organizations are changing their ways of operation because of stiff competition. They
change to outperform their rivals in the market.

2. Technological advancement

Introduction of new technologies force organizations to change their way of doing things.

3. State of economy

The state of economy determines the decision made in the organizations. If economy is
performing well then the organization may increase in investment.

4. Government policy

Government policy affects the organization operation. Organizations are required to comply with
government requirement. This may include delocalization of business entities, tax increment,
subsides etc. A good example is the introduction of “Michuki rule” on matatus sector

5. Changes in managerial personnel

Management changes arise as result of personnel retirement, replacement or transfer. Different
personnel have different ways of doing things and may result into changes in operations.

6. Change in social political factors

Demand for social equalities is changing and managers have to respond to this. Many
organizations are now employing more ladies than before. Other social political factors include
the new tax policies; legislation etc.

7. Deficiency in the existing systems

Loop holes in the existing system may demand change. People have progressed from using
telephone booth to the use of modern mobiles. Communication progressed from use of hand
written letter to use of email bank progressing from normal depository to paperless and internet
banking.

8. National and international awards

There are many national and international awards based on quality which have forced
organizations to change. This may include ISO awards, COYA (Company Of the Year Awards.)

9. Existing resources

Many organizations are facing challenges in their operations and market survival. The resources
are becoming too scarce to meet the organization needs. This has forced the management to
restructure their operation by either reducing the number of employees or to cut down the cost.
Examples: Telkom Kenya, KCB and Flower farms.

RESISTANCE TO CHANGE

Change in an organization is not easy people may think. However, change is nevertheless
inevitable. Organizations are operating in a dynamic environment and have no choice but to
respond to these changes. The following are reasons or the factors that give rise to resistance of
change.

1. Insecurity

Change in environment brings about uncertainties because no one knows what to expect. The
feelings of insecurity surround people when they move from one stage of life to another status
change of jobs

2. Possible social loss

Change in organization will result into dissolving the informal groupings of individual or
employees. When individuals are transferred, the power of these groups diminishes.

3. Lack of participation and involvement

Employees at any given organization are likely to resist change if they did not take part in
coming up with the organization desired change.

4. Unanticipated repercussions

Organization is a system, change in one part is likely to have unforeseen repercussion in another
subsystem. Eg a newly enriched job may demand a change in supervisory behaviour.

5. Obsolescent of skills

Many people in organization find themselves in an awkward situation when technology changes.
This is because their skills are rendered useless and thereby resist change initiative to favour
their skills.

6. Lack of enough resources

Changes in organization don’t come freely. Many organizations are faced with resource
constraints and they therefore resist change initiative. Eg; hiring of experts in the organization or
purchase of modern technologies which will demand experts to operate and these export will
demand a higher payment.

7. Desire to maintain status quo

Many employees in the organization are used to the prevailing culture and systems of doing
things. Anything predicted to interfere with the status quo is highly resisted.

8. Organizational structure

Bureaucracy in organization may hinder change. KEMU occupies a new building in Nairobi
CBD called KEMU HUB. Nairobi University was willing to purchase the building but because
of its bureaucracy, KEMU was quick to respond before Nairobi.

9. Peer pressure

Peer pressure influence peer member to rejects change.

10. Ego-defensiveness /parochial self interest

People may resist changes in the organization for their self gains. This happen when the
perceived change hamper their self interest.

How to over change resistance

There are several methods of overcoming resistance to change.

1. Support and facilitation

When individuals react to change with fear and anxiety encouragements can help reduce the
resistance. Helping such employees to adapt to the consequences of change will be of great
importance.

2. Education and communication

This refers to provision of adequate information so that change is clear communicated to all
stakeholders. People result change because they lack understanding of what change involves are
how the change is going to affect them.

3. Participation and involvement

Involvement at all the stakeholders in the change process increases their understanding and
ownership of the change itself. Participation of the stakeholders increases individual commitment
to the change initiative.

4. Negotiation and agreement.

As a change manager one need to negotiate with all stakeholders so that they can act upon and
reach a censuses by incorporating each party interests.

5. Manipulation and Cooption

Manipulation is basically provision of information and rewards to make the change initiative
seems more attractive and needed. Managers provide rewards and favours to overcome
resistance.

6. Implicit and Explicit Coercion

This involves direct and indirect use of power to force conformity. It involves use of direct
threat, promotion or demotion pay increase/decrease additional or removal of benefits. However
use of this approach will result into dissatisfaction and motivational problems.

Characteristic of people who are good at managing change

1. Should be proactive by removing anticipated obstacles that stop people/employee acting on

the vision.

2. Should have understanding. Some changes may acts as psychological torture. Managers
should be in a capacity to understand what employees may be going through and how to
overcome the involved challenges.
3. The manager should be a team player. He should regularly interact with the employees in
order to understand them better.

4. The manager should be innovative and creating on how to carry out the change process.

5. He/she should be emotional resilience in order to withstand emotional.

6. He should have good communication skills; the manager should be in a capacity to deliver
all the information on how to go through the change process.