Managing Change

 Managing Change

In the organization, the ability to adapt to change at both individual and organizational level could lead to path of success (Mullin, 2016). However, in some people’s perspectives, change may present a degree of uncertainty and unknown, likely to make their life more difficult, and reduce a sense of security in the past. As a result, despite positive outcomes, there are various reasons that people tend to resist to change. Moreover, Crainer (1998) stated that not only followers, but some managers also refuse to accept the necessity of change. Hence, this blog aims to discuss effective approaches that can result in minimal resistance to change.

Power and Control 

Since each person has different levels of willingness, leaders should understand and approach followers in a proper yet effective way. Power, which is the ability to control people, can be exercised in this situation (Krackhardt, 1990). Etzioni (1975) classified three types of power, which are coercive power that focuses on the use of threat and sanctions. And remunerative power, which relies on the distribution of financial. Lastly, normative power, which involves the allocation of symbolic rewards such as prestige. 

Although coercive power is seen as an unreasonable conduct, it may be suitable for short term. Just like remunerative power that tends to help increase employees’ attraction, it could soon diminish their attractiveness. Therefore, performing appropriate degree of power based on current condition could lead to overcoming the resistance to change.    

Work Motivation

Figure 1Maslow’s hierarchy of needs model

Note. From Management & Organizational Behavior (p. 229), by L. J. Mullins, 2016, Trans-Atlantic Publications, Inc.

            Besides power, motivation can manage change by enabling people to perform to the best of their ability while mindfully concerning with individual’s preference (Chartered Management Institute, 2012). Thus, Maslow (1987) established the hierarchy of needs theory, which acts as individual’s motivational factors. It consists of five needs displaying in the form of pyramid as shown in Figure 1. 

  • Physiological needs involve the essentials that help the body survive, such as food and oxygen. 
  • Safety needs include security, such as the protection from danger. 
  • Love needs refer to sense of belonging as well as social activities and friendship. 
  • Esteem needs for self-respect imply the desire for confidence, while esteem of others involves appreciation and reputation. 
  • Self-actualisation needs demand satisfaction and the ability to reach full potential.

    However, people may have different level of needs based on their background, just as Maslow’s hierarchy that may not be necessarily a fixed order in the real life. Hence, it is crucial to understand their degree of needs to motivate followers with the right approach. 

Organizational Example

In 1998, John Roth, CEO of Nortel which is the Canadian telecom equipment supplier, decided to switch the company direction to become a high-tech internet infrastructure provider by merging with California’s Bay Network (Itweb, 1998). During that time, senior executives resisted the change. Accordingly, Roth created a “CEO Forum” to clarify his employees about his vision, clear plans, and the reason under this change, which is to provide the up-to-date technology to the customers. Not only sharing his plan, but he also influenced his followers to contribute ideas and recommendations, which is an effective organizational response to change (Christensen & Overdorf, 2000). As a result, the company merged successfully and the stock price reached a high peak in July 2000, which is seven times more than its price in 1997 (Gadiesh, BuchananDaniell, & Ormiston, 2002). It can be seen that Roth performed his power to get followers to execute instructions and integrated motivational skills to build strong relationships, which is one of the most powerful sources of leaders.

Conclusion

With the use of proper power and motivation, the organizational example helps prove effectiveness of managerial activity in managing change in the organization. Moreover, a clear understanding of human behavior, which involves ranges of implicit expectations (Robinsobn, 1996), is necessary. So, rather than keep driving change, leaders should seek for the reason why followers resist (Taylor, 2007). From this, it may enable both employees and leaders to understand each other’s psychological contract and even lead to a more productive way when working together, which can be considered as a value of the resistance to change. 


List of References 

Chartered Management Institute. (2012). Motivating Your Employees in a Time of Change.
https://www.managers.org.uk/~/media/Files/Campus%20CMI/Checklists%20First%20Management%20Role/Motivating%20your%20employees%20in%20a%20time%20of%20change.ashx
 
Christensen, C. M., & Overdorf, M. (2000). Meeting the challenge of disruptive change. Harvard business
review, 78(2), 66-77.
 
Crainer, S. (1998). Key Management Ideas: Thinkers That Changed the Management World (3rd ed.).
Financial Times Prentice Hall.
 
Etzioni, A. (1975). A Comparative Analysis of Complex Organizations: On Power, Involvement and Their
Correlates. Free Press.
 
Gadiesh, O., Buchanan, R., Daniell, M., Ormiston C. (2002). A CEO's guide to the new challenges of
M&A leadership. Bain. https://www.bain.com/contentassets/5c3049515af14c0a89f597f221d56ef6/sl_ceos_guide_new_challenges_ma_leadership.pdf
 
Itweb. (1998). Nortel and Bay Networks merger complete.
https://www.itweb.co.za/content/Kjlyrvwdodd7k6am
 

Krackhardt, D. (1990). Assessing the Political Landscape: Structure, Cognition, and Power in

Organizations. Administrative Science Quarterly, 35(2), 342-369.

 

Maslow, A. H. (1987). Motivation and Personality (3rd ed.). Harper and Row.

Mullins, L. J. (2016). Management & Organizational Behavior (11th ed.). Trans-Atlantic Publications, Inc.

Robinson, S. L. (1996). Trust and Breach of the Psychological Contract. Administrative

Science Quarterly41(4), 574-599.

 

Taylor, G. (2007). Managing the Situational and Psychological Pressures Brought About by Change.

Professional Manager, 16(4), 14.


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