External Forces ‘The followings are the important extemal factors which force the organization for introducing changes: + Technology: Technology is one the important extemal factors responsible for change in an organization. When there is a change in technology such as discovery of new machinery, new methods of production and change in communication system force the organizations to adopt new technology in order to get success in the competitive era. New technology reduces the cost of production and increases the efficiency of employees. Therefore, if we establish new technology, the work structure will get affected and organization will grow. + Marketing conditions: Since every organization exports its outputs to the national and international market, so there is competition that has to face by each and ever organization, The customers who do not purchase products and the other firms which selling the same product, these two type of forces may influence the firms competitive situation. Therefore, there is need to change in the firm or in the organization if there is any change in these two forces. For example, there were numerous foreign firms or organizations which come into the Indian market, when there was liberalization in 1991 That situation forced many organizations to change according to the situation. Therefore there may be alteration in the liking, needs, disliking of the customers or there may be change in the income of the customers. These changes brought those products which can be according to the needs of the customers. * Social changes: Social changes reflect in terms of people's aspirations, the needs, and their ways of working. Social changes have taken place because of the several forces like level of education, urbanization, feeling of autonomy, and international impact due to new information sources. These social changes affect the behavior of people in the organization, There, it is required to make adjustment in its working so that it matches with people. * Political changes: Political factors have an important influence on organisations. The interference of the government in organizations is increasing. The organization can ‘manage different activities and for completing activities which methods will be followed by it, these activities or methods are defined by the political factors. The operations of the organizations may be affected if there is any change in the legal and political factors.Source: https://jrzarco2001 files.wordpress.com/2016/09/tech-image.jpg Internal Forces It is not true that only extemal factors may bring the changes in the organization which are required for the organization, changes in internal factors may also bring changes in the organization. Below are some important internal factors: + Changes in the managerial personnel: The first internal cause of change is related with ‘the managerial personnel. Old managers are replaced by new mangers. When there are retirements, dismissal, promotion, transfer, the old managers are replaced. Every individual has new way to do work. So, new managers bring new ideas and way of working in the organization. They develop informal and cordial relationship with employees. Because of change in the functioning of top level managers there is a possibility of change in the organisation. The change may be in the form of fixing responsibility, allocation of work, delegation of authority, organisation design and control, ete * Deficiency in existing organization: When there is insufficiency in the current organizational process, there is need of change in current organization. There may be many reasons for this insufficiency in the organization, like- no co-operation between staff and line, problems in communication, multiple committees, lack of consistency in decisions regarding policy, lack of co-ordinance between different department, etc. + Nature of the work force: Sometimes, changes take place due to change in the nature of work force, The workforce nature has changed with passing of time. Different generations have expressed different work values. In the changing environment, the workforce profile also changing. The new people or generation who is having bettereducation, place more importance on human values and also they are more educated to ask questions from the managers if there is something not according to rules. To achieve the organizational goals, it is very difficult for the managers to manage the behavior of the workforce and also it is challenging for the managers. The management will feel stress if the turnover of the employees are high. + To avoid developing inertia: Dynamism plays important role in the development of an organization, Organizational changes are necessary to avoid developing inertia, There should be flexible organization so that if there is any change in the environment or technology, the management would be able to tackle the situation. Only one method may. not be good for the management, Needed changes should be incorporated so that the employees modify their attitude towards changes, 9, Planned change Planned change is a kind of change which we ourselves want to bring in an organisation. For this kind of change plans are made in advanced. As we know that change is inevitable in any of the “organisation for sustainability, If things are decided in advance after deliberation, desired change can be brought in an organisation. This kind of change is easy as machinery is prepared for that. Following are the steps involved in the process of planned change: + Step 1: Identifying need for change: The first step in change process is to identify the need for change. The need for change is associated with the factors influencing the organisation, There are internal and external factors influencing the organisation. The need is to find out the way in which a particular factor influences the organisation. When this information is obtained, the necessity of a change becomes known. For example, change in liking and preferences of existing consumers are important factor which affects the company. ‘The sale of company will fall down because of change in taste and preferences of consumers. In order to face this problem company shall have to introduce some change in its organisation structure. ® |