Managing change in a workplace is usually instigated by any business organization so as to enhance its production purposes as well as service delivery. Therefore, change by the management necessitates a systematic planning and receptive implementation and consultation need to be carried out comprising the persons who are going to be involved by such anticipated changes. However, it should be noted change should not be forced since it may not bring the desired results to the organization.
It is therefore important to initiate change measures which have to be realistic, achievable and quantifiable; such factors are significant particularly when bearing in mind individual change in management practices. Research indicates that individuals alter their ways particularly when they are persuaded to do so; therefore, for effective change to be achieved charismatic leaders should be encouraged to take up the roles of change agents in an organization. (Barbara and Jocelyne, 2006)
Firms operate in highly uncertain environment and therefore change is inevitable in order to remain focus and prosper in there business undertakings. In the current business environment it has turn out to be more and more essential for different industries to embrace the concept of change and in particular its technology, innovation and marketing strategies so as to sustain competitive advantage in order to prosper.
Rivalry and demand in high quality goods and services has resulted to business environments to be incredibly dynamic in that it necessitates active businesses and systems to present successful reactions to such uncertain business environments by incorporating changes in such organizations in order to cope with such uncertain environments.
Change is any business organization is something definite so that the industry in question can cope with new technologies and challenges that crop up with time. For instance, over the past International Business machines (IBM) was faced with high rivalry from its competitors which resulted to decrease of its market shares and thus low profitability margins.
Despite the fact that, change concept is a risky business venture for any industry, research reveals that approximately 70% of new changes carried out by different industries succeed and it has proved to be vital to the success of such industries over the long run. IBM had to undergo organization changes despite the fact that it is a risky venture. IBM changed it managerial operations because of the exterior demands and forces; IBM therefore had to appraise its strategic choices so as to generate new and viable objectives that could ultimately increase the industry’s productivity levels. (Palmer and Akin, 2006)
To carry out such new changes, IBM management selected the “Director image” of change to guide the firm in implementing such changes. The director was selected because the image allows the managers to go through the projected alterations by following required procedures through the cycles of suggested changes jointly with the human resources that are concerned for instance analysis of such changes, unfreezing and executing the changes.
Furthermore such image of change offers the managers high control in planning the procedure of changes and also on implementing them. This ensures that the managers are in responsible of the activities and are able to ensure that the process is well followed and maintained. This ensures that the proposed changes are effectively implemented. The other advantage of this image of change is that it views results from the proposed changes as certainly achievable and thus does not leave room for doubts.
In order to remain international and aggressive on the marketplace IBM had to put into practice some business improvement changes in the industry. IBM therefore considered quality when it embarked on making changes in the business development section. IBM in the process identified certain new business improvement objective and then had to create a business strategy that incorporated the following approaches of development; sales improvement procedures, new product development processes, exploring new markets and structural changes.
IBM also initiated improvement changes such as utilization of the concepts of e-commerce, building new and strong strategic alliances and fostered the expansion of distributions channels as well as instigating worldwide development business operations. Another aspect that IBM concentrated on in the past is that of acquiring both small and medium sized companies. IBM implemented all such internal changes in order to improve its market share as well as become a market leader in its industry and thus increase its profitability through increment in sales. (Dyer, 1984)
Therefore, the business improvement changes executed by IBM Company to an enhancement in proceeds collections as its sales augmented because of improved market share. IBM Company by introducing such changes was also able to better the quality of its products to global standards as well as producing new products that met the growing needs of consumers.
Procter and Gamble is another company that has embraced the concept of change and it is typical pharmaceutical business company which has profound know-how, expertise and established competences in the pharmaceutical industry. The company has effectively produced and sold a broad array of quality and new products e.g. Ziac, Enablex, Macrodantin and Asacol among other prescription products for the last twenty five years in the market.
The company has consolidated or strengthen its market by gaining advantage over it’s main rivals in the market through meeting the needs of its customers, offering quality prescription products, employing competent employees, excellent management practices and through employing viable marketing strategies for example diversification thus expanding its market share.
Procter and Gamble management have formulated business strategies that have in the process aided the company in increasing its sales. For example, the company has opted to market its products in particular segments in which it perceives to have competitive edge among its rivals rather than competing across the entire pharmaceutical market which was there initial strategy. This strategy has been enhanced by vigorous advertising campaigns by the company and the management have been able to monitor its products in the market thus they have concentrated more on those products which the customers buy frequently. (Clark and McKenny, 1995)
Another change of business strategy that the company has utilized is that of utilizing the concept of technological changes brought about as a result of globalization. Since globalization has become a contemporary form of carrying out business, the concept of e-commerce has enabled the company market its products in its various markets without getting involved in tedious activities like traveling.
For example through the internet, the company has been able to track and monitor the performance of its products in various countries and thus enabling them to make viable decisions on which markets to be done away with and which to retain. The company is also accredited with using advance marketing techniques for example over-the-counter method enhanced by the concept of internet marketing.
Procter and Gamble Company have also focused on pricing strategies that have attracted many consumers of its products unlike in the past they used to focus only on quality of the products. In essence, the company’s change is that of trying to be a low cost producer in the pharmaceutical industry. Human resource being the most important asset in any organization, the employees of Procter and Gamble have also experienced new changes for instance the company has built a new motivation system
The company has focused too on improving the welfare of its employees in order to achieve good results from them. The company is also accredited with good and effective forecasting techniques for example they have utilized time series technique of extrapolating the future sales of the company’s products. Procter and Gamble too have transformed its revenues to free cash stream in front of intentions and thus they have outpaced its rivals in the market. (Maund, 2001)
Despite the intense market rivalry, Procter and Gamble as a result of such changes in its operations it have diversified its products to many nations globally and in the process the management of the company has developed the best contemporary association accredited with unsurpassed competence in logical or scientific expansion and selling of its products. We can therefore deduce that the company has been successful and will continue to strive in the long-term by maintaining its overall growth regardless of the increasing outlay and the ever challenging competitive setting in the pharmaceutical industry because of the changes they have effected. (Clark and McKenny, 1995)
Human resource management plays a big part in achieving organizational change in order to guarantee effectiveness and efficiency in production purposes. Theoretical approaches should be applied in organizational learning in order to provide potential managers with adequate knowledge and skills on managing change. Organizational change has to be incorporated in all organizations and such changes can either be planned or unplanned depending on the state of affairs facing the organization.
In this respect therefore, there is a greater requirement for this concept of organizational change because it forms the basis of success if it is put into practice well in any organization. This can be done by external or the internal change agents who are modernization agencies. These change agents have got various roles and challenges in the initiation of change in organizations. (Murray and Schoonover, 1988)
There are psychological and social psychological factors of individuals within the organization which affect individual responses to organizational change. All these have to be analyzed and managed in case they are affecting the change negatively. When they are affecting positively then they have to be enhanced. There are group and inter-group processes that are carried out in organizational change. All these issues if implemented excellently will result to the accomplishment of goals in organizations’ day to day operations. For any change to be successful the parties involved have to liaise together in order to form the whole part of anticipated changes. Therefore, change processes should be steady and ought to be sustained by facts, and statistics to support the desired change. (Timothy, 1996)
Barbara, S and Jocelyne, F. (2006): Organizational Change. 3rd Edition; Prentice Hall
Clark, T. and McKenny, J. (1995): Procter and Gamble- Improving consumer value through process redesign, Harvard Business School, Boston.
Dyer, W, (1984): Strategies for Managing Change. Reading, Massachusetts: Addison Wesley Publishing Company, Inc
Maund, L. (2001): An Introduction to Human Resource Management: Theory and Practice: Macmillan, Palgrave
Murray, D. and Schoonover, S. (1988): Changing Ways: A Practical Tool For Implementing Change Within Organizations. New York, New York: AMACOM, A Division of American Management Association.
Timothy, G. (1996): The Human Side of Change. San Francisco, California: Jossey-Bass Inc., Publishers.
Palmer, I. and Akin, G. (2006): Managing organizational change; a multiple perspectives approach, McGraw- Hill Irwin