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Summary Learning Unit 2: Managing Organisational Change
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MNG2602 - Learning Unit 2: Managing Organisational Change
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MNG2602 Learning Unit 2: [Managing Organisatinal Change]Learning Unit 2: Managing Organisational Change
Chapter 5 – Prescribed book
INDEX
IDENTIFY AND DISCUSS THE
FORCESOFCHANGE………………………………………………………………………………2
DISCUSS THE DIMENSIONS OF
CHANGE……………………………………………………………………………………………3
EXPLAIN WHY ORGANISATIONS AND INDIVIDUALS RESIST
CHANGE…………………………………………………4
PROVIDE ADVICE TO MANAGERS ON HOW TO OVERCOME RESISTANCE TO
CHANGE……………………..5
OUTLINE THE SITUATIONAL FACTORS THAT INFLUENCE THE STRATEGIC CHOICES
OF
MANAGERS WHEN PLANNING A CHANGE
EFFORT…………………………………………………………………………..6
DISCUSS THE APPROACHES TO MANAGING
CHANGE……………………………………………………………………….7
IDENTIFY THE AREAS OF ORGANISATIONAL
CHANGE……………………………………………………………………….8
1
, MNG2602 Learning Unit 2: [Managing Organisatinal Change]
1. IDENTIFY AND DISCUSS THE FORCES OF CHANGE.
Organisations need to anticipate and react to changes in their business
environment.
Change in the environment of an organisation can emanate from forces within
organisations or outside the organisation.
INTERNAL FORCES OF CHANGE:
Change in strategy – A change in strategic direction of an organisation
would inadvertently cause change in any or all of the structure, culture,
balance of power or the technology uses.
Poor performance – Such results may trigger change in organisations.
Pressure to grow – The pressure from stakeholders could force
organisations to initiate change eforts in order to stimulate growth.
Workforce problems – Such problems may prompt an organisation to
change for example, by entering into a favourable agreement with the
labour union representing the workforce to save labour cost.
Implementation of new technology – The availability of new
technology may force organisations to change in order to remain
competitive.
Changes in top management – This can often lead to change within
organisations because a new CEO or new management team often ring in
the changes soon after they take ofce.
Power and politics – Pressure to change may develop from power
sources and political struggles within organisations.
Lack of innovation – Innovation is about the commercial exploitation and
application of ideas, services and inventions. A lack of innovation in an
organisation may result in stagnation and will become a force for the
organisation to change.
EXTERNAL FORCES OF CHANGE:
External forces of change in organisations mainly stem from the market
environment and macro-environments of organisations.
Macro environment
- Changes in the needs and behaviour of consumers, the oferings of
competitors, or the changes in the availability of key suppliers may force
the organisation to change its products or services to meet the demands
of the market.
Market environment
The market environment comprises several sub-environments, including the
technological, economic, social, political, ecological and international
environments.
2
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