Managing Change is a critical element in achieving Organisational success in the 21st Century

Managing Change is a critical element in achieving organisational success in the 21st Century

Introduction

Globalization is changing the structure of business organizations. To remain competitive, companies go through a continuous change both internally and externally, by product diversification, market diversification, production increase, customer focus or technological up gradation. Organizational change is the formation of a new organizational structure, appropriate changes in the nature of the environment. Organizational changes are accompanied by scrapping the usual staff and shared values, norms and patterns of action, as well as traditional methods of decision-making, which become an obstacle in adapting the organization to the rate and direction of market changes. Any changes in the company are often accompanied by painful processes of adaptation to personnel. In many cases, this adaptation can be successfully managed by reducing the degree of resistance to change, accelerating these processes, and receiving a greater return on their implementation.

Managing change in the 21st Century

All organizations are affected directly and indirectly by changes in their environment. Managing change in organizations is essential to ensure their future success. Managing change means having skills and organizational skills and personal to see, interpret, anticipate and decide on what is happening in the environment organization, setting objectives and strategic lines, and defining necessary action plans. The main problem encountered in the management of change is resistances that usually appear for various reasons and maintain the status quo established. This "passive to the new" is the product the prevalence of past experiences, compared to a bet to innovation and creativity. In the management of change must be invest in building the future, found solutions to problems and turning uncertainty into opportunity.

In the beginning of the 21st century, we observe a series of changes and trends in environmental dimensions (economic, social, legal, political, etc.) that are impacting on organizations and creating a state of bewilderment and confusion. On the economic front we see the development of new technologies communication and information, the internationalization of economies and societies, the increased competition, the development of trade liberalization and new forms of protectionism and the globalization of markets. It is forming a "new economy", based on knowledge, creativity and innovation. Creativity is becoming the main instrument of growth. In this changed economic the individual is considered as the main assets of organizations, by his talent, his intelligence and his work. The humanistic approach business management denies that people are mere merchandise.

Managing Change through Leadership

Effective management requires leaders to be very clear about the purpose and the process to produce the required change. Managers need to be able to seek information and opinions from those that the change will affect. They will have to be able to allocate needed resources to ensure day-to-day needs are met. For substantial change to be effective the manager needs to be able to communicate appropriately with staff to ensure the proper training, planning, and resources are available. To have effective change the manager ...