Types of organizational change
Originally posted by Mary Achebe @ www.tuko.co.ke
Are you head heated on the type of organization change you need for your firm? Is your firm in need of a change to alter the current flow of business? Well, this article is going to give you a cooling break and guide you on the different types of organizational change that you can browse from, and adopt one if you see fit. Read along to also get acquainted with other changes you did not know of.
Change refers to new reforms or a different approach. Hence, if you are in the managerial position in an organization, then you should know that change is inevitable. Also, at your rank, you need to have a realization that, in order to progress forward positively, you have to take in changes at some point. Still, adopting the appropriate types of organizational change models will make your company grow the right way you anticipated. Though, changes to an organization can be diverse. Such that, they can either be structural, personnel based, planned for or unexpected if you are not well prepared as an organization. So, what are the different types of organizational change? If this is your question, then you are in the right place because this article list types of organizational change required for success.
1. Wide-ranging organizational change
Also referred to as total turnaround organizational change, is an adjustment that affects the general mechanisms of a firm. These changes are among the major types of organizational change, which works towards shifting the nature of a business culture. Moreover, they are highly critical and usually forces a company to take an immediate change. Example of this changes include a change in the products, marketing strategies and sales patterns of an organization, and also a change in the mission and objectives of a business.
In addition, it is worth remembering that, the aftermath of a wide-ranging organizational change, entirely affects the culture of a company. Moreover, the normal routine of the employees and other staff are also altered regardless of the change observed. Furthermore, if you are a newbie in an organization, it is important to note that changes classified under this category have a long-term effect. Hence, this type of change requires a proper strategy to deal with the changes without causing a major disruptive effect to the day-to-day schedule of the company.
2. Transformational organizational change
All companies, require a normal progressive graph in the attainment of its objectives as planned. In order to achieve this, a company needs to have a healthy knowledge of the environment surrounding it. This means a firm has to understand and be able to adopt the social-economic structure of the surrounding, plan its activities according to climate trends and also to be able to camouflage with the technological dynamics being experienced. By integrating this feature into its structure, a company will have a strong transformation ground.
Likewise, managers need to classify types of organizational change under this category as a crucial change to the business. This is due to their might of transforming an organization from the current growth level to the next. Furthermore, a company will gain a new improved strategy of customer experience as it will be able to satisfy their needs completely with the current demand trends.
3. Organizational change in human resource
Human resource change refers to changes in people such as hiring new staff, retrenchments, changing of roles and tasks within an organization and is both critical and necessary for transition. However, acceptance of change may be complex but it helps to encourage innovation and creativeness. Also, this change in effect, however, how minor it seems, it will cause a shift in culture and normality of activities in a company.
Hiring and laying off personnel in a business needs a proper management and plan. This change can be due to government regulations or inadequacy in finances to a company. Nonetheless, new employees need to be assigned tasks while trainees also need to improve on their tasks at their respective departments. Hence, if this change is not well managed it can result in animosity and chaos, thus disrupting the operations of a company.
Training personnel and changing roles of employees in a company act as a boost to a company. This change can either be due to the acquisition of new technology or need to foster change in the implementation of tasks. In most occasions, this helps to boost employee creativity hence, cause the production of more quality goods. However, this change needs serious planning as it can also affect the employee’s morale negatively and cause a drop in the company’s productivity.
4. Unplanned organizational changes
External uncontrolled factors such as a change in government policies, unforeseen climate changes, and economic uncertainties play a major role in affecting the normalcy of a business. The response a company gives to this change determines the aftermath state of the business. Effects of this type of organizational change may be, just a tweak which can be easily rectified. Also, there are internal unplanned changes within an organization that can cause a change in the company’s activity.
Example of internal unplanned changes includes unforeseen death or absence of a senior employee. In case of this event, a company has to act swiftly in hiring a qualified or training an employee to fix that position gap. However, at that time no one may be ready to step up or there may be a flooding of personnel that can perfectly fit in that job. Hence, time and resources will need to be used in interviewing people. In addition, lack of equality and cohesiveness by employees are internal factors that may result in unforeseen changes.
In order to curb and control this change effectively, they are mostly unprofitable and resource wasting. In case of not well build countermeasures, it can either cause a massive breakdown or a complete crumble to a company. Therefore, companies need to act promptly within a restricted time to provide a solution.
5. Healthy unnoticeable organizational changes
These changes are brought about when a company responds to complaints. They are under the classification of tweak or mean changes in a company. Changes under this category are mostly assumed and neglected. However, if a solution is not provided for them, it may result in a major problem that will have a bigger effect on a company.
Example of these changes is, in the event of inadequate funding, employees may complain about a rise in wages or late payments and cause them to offer poor service until their complaints are heard or met. This will cause a recession in the daily production limit until the issue is completely solved. Thereby, a company’ has to act positively by offering incentives or dividends to psych up the employee's morale and avoid change in the culture of the business.
Another example is, the public may complain of product redundancy reduction from the company. Thus, the company has to step up and adopt ways of correcting the complaint and perhaps act promptly to avoid losing on the market advantages.
To finally decide on the types of organizational change your business requires, is one of the crucial parts a business needs to emphasize on. A company can put into the schedule, days that require a proper scrutiny of the company’s operations, to unveil the unprogressive and dying parts within your firm. This may also take time hence it needs a proper planning and delegation of duties to avoid any form of disruption in the workings of your company.