Drivers of Organizational Change

Managers must recognize and respond to all factors that affect their organizations. I
believe that internal and external factors are drivers of organizational change. According
to Sherri Hartzell in chapter 6/ Lesson 1 of her lecture “How Internal and External
Factors Drive Organizational Change.”

Navigating Change in Organizations

“Navigating in today's chaotic business environments is much like trying to steer a tiny
boat back to shore while caught in the center of a hurricane. There are many forces at
work that a person will need to respond to in order to make it safely back to port. Just
like this tiny ship, today's organizations and their managers are faced with a significant
amount of factors that require an immediate response, often in the form of
organizational change. The forces that drive this change in business are known as
the internal and external environments” (Discussion section, para.1).

The Internal Environment

“The internal environment of an organization refers to events, factors, people, systems,
structures and conditions inside the organization that are generally under the control of
the company. The company's mission statement, organizational culture and style of
leadership are factors typically associated with the internal environment of an
organization. As such, it is the internal environment that will influence organizational
activities, decisions and employee behavior and attitudes. Changes in the leadership
style, the organization's mission or culture can have a considerable impact on the
organization” (Discussion section, para. 2).

The External Environment

“The external environments are those factors that occur outside of the company that
cause change inside organizations and are, for the most part, beyond the control of the
company. Customers, competition, the economy, technology, political and social
conditions and resources are common external factors that influence the organization.
Even though the external environment occurs outside organization, it can have a
significant influence on its current operations, growth and long-term sustainability.
Ignoring external forces can be a detrimental mistake for managers to make. As such, it
is imperative that managers continually monitor and adapt to the external environment,
working to make proactive changes earlier on rather than having to take a reactive
approach, which can lead to a vastly different outcome”(Discussion section, para. 3).
 Keys to Successful Organizational Change

Change at organizational level is something that not all of us are familiar with and don’t

feel comfortable with. By organizational change, I mean big changes to the way a

company or organization is operating. For instance, one of the common changes I have

seen is when an organization is split into two with one group taking on a more coveted

piece of the business while the other taking on a monotonous responsibility. Presenting

a change like this can affect the morale of an organization if not handled well. Another

situation I am familiar with is roll-out of new processes to an organization that does not

have a set structure. People do not react well when they are told that their old way of

working is not as effective as they think it was. ( Santosh Ravindran, 2007).

According to Paul R. Plotczyk, the following are keys to successful organizational

change.

1. Leadership

The number one key to successful change management is LEADERSHIP! Nothing

happens without it. Successful large-scale change initiatives must touch all aspects of
the organization and be driven top-down by the senior team.

We look to leaders to help us “manage meaning” within an enterprise. Organizational

members turn to leaders to get guidance on how to interpret situations, how to behave
toward one another as well as customers, and to verify the values that will guide their
work. More than anyone else, leaders create the conditions that directly determine
people's ability to achieve superior performance (Discussion section, para.1)

2. Ask the Right Questions

Companies need to be very clear about what they do, how they do it, and who they do it
for. Senior Leadership's primary responsibility is to constantly scan the macro
 environment, analyze trends and patterns in the marketplace and have the confidence
to effectively answer the following questions:

 What is our strategic vision and who are our customers?

 If our organization were fully aligned to its vision and customers,
o How would it be structured?
o What processes would it have?
o What people would it have and how would they work?
o What tools and competencies would these people need to do their work?
 Where are the gaps between the ideal organization and the organization we have
today?
 How do we prioritize the areas that need to be changed?
 How do we create and sustain those changes?
 How do we structure ourselves to maximize profitability?
 How do we develop the leadership we need to succeed long-term?

3. Focus on the Critical Success Factors

Once the need for change has been established, leaders are responsible for managing
the success of personal and organizational change.

References
Paul R. Plotczyk. http://www.wsa- intl.com/135-4-keys-to-successful-change-
management/

Santosh Ravindran,( 2015). Project and Program Management | Business Solutions

keys to Organizational change management
https://www.linkedin.com/pulse/4-keys- organizational-change-management-
ravindran- mba-pmp-csm-cscp

Sherri Hartzell. http://study.com/academy/lesson/how-internal-and-external-factors-

drive-organizational-change.html