This action might not be possible to undo. Are you sure you want to continue?
Answer: Change is any variation/alteration/transformation, a passing phase from one state or form to another, for example, a change of countenance; a change in habits or principles. Change implies dissatisfaction with the old one and an urge for the new one. Change can be perceived in two ways-changes as intrinsic and continuous, and extrinsic and discontinuous to the organisation. Change Management is a systematic approach of dealing with change, both from organisation and individual perspective. Change Management can be seen from two perspectives, one is from those implementing change and the other is the recipients ‟ perspective. Importance of change management: Change management plays an important role in any organisation, as the task of managing change is not an easy one. When we say managing change, it means making changes in a planned and systematic fashion. With reference to the IT projects, the change means the versions of a project and managing these versions properly. Changes in the organisation can be initiated within the organisation or externally. Technology has compressed the distances across organisations. Internet and web technologies have given rise to honest corporations. Automation, mechanisation, manufacturing systems affects at both micro and macro levels of the organisation. These technological advancements are examples of an external factor that impacts on change within the organisation. How the organisation responds to these changes is important. Managing these changes come under change management. Reactive and proactive responses to these changes come from the organisation. Technology not only refers to machinery, equipment, and tool but is concerned with the use of information and knowledge as inputs that are transformed into final outputs. This process involves technology; hence choice of appropriate technology is a key factor for competitive edge in the new environment. Changes are brought into the system when the organisation faces challenges such as customer demands and technological updates. Change management process undergoes the following steps: 1. Identifying the need for change in an organisation. 2. Designing the changes as per organisation‟s requirement. 3. Making others to understand the need for change for the proper functioning of an organisation. 4. Altering some organisational processes such as technology, performance meters to incorporate changes. 5. Managing both production and changes in such a way that the customers and stakeholders are bonded with each other in a long run. Managing the changes in an organisation requires certain set of skills like political skills, analytical skills, people skills, system skills, and business skills. If we have good analytical skills, we can be a good change agent. We should examine the financial and political impacts of the changes that can take place. We should have the knowledge that following of a particular process will fetch immediate financial effects and start that process so that the change process is noted by the management. So, change management is important in the business world, where the things are assessed based on their perfection and capacity to address the needs of customers and clients.
the organisation will go down to bankruptcy. Different experts have argued on how many phases there are. Formalisation stage – This stage has too much of red tape. we expect to see revenues increasing. 2 . The growth phase In the growth phase. The renewal phase Once the organisation starts declining.List and explain the stages in organizational Life cycle? Answer: Organisations also go through various phases/stages like a human life cycle. Some of the external experts have focused on the importance of organisational development as a way for preventing decline or reducing its effects. The first challenge that leaders face is to understand what phase of the organisational life cycle one is in. it doesn‟t mean that it should continue. forms a management group. write a business plan. more employees‟ recruiting and so on. 5Corporate insanity can be defined as doing the same thing in same way but expecting different results. new services and products developing. The start-up ends for those that don't need outside funds. Organisational life cycle is divided into the following phases: The Start-Up phase In this phase.Question 2 . According to 8Richard L. without the right type of leadership. Entrepreneurial stage – This stage has a strong leadership. but the smartness lies in using something that is easy to remember. The decline phase Corporate insanity is seen in this phase. Management expects to be better next year. The death phase About 80% of business failures occur due to the factors related to leadership control. Even firms that are close to bankruptcy can overcome this adversity and nurse themselves to be financial healthy. 2. This assumes that though you have enough transformational leaders to change the status quo. there are four stages in an Organisational Life Cycle. but doesn't know or is unwilling to change to get better results. The four stages are: 1. Collectivity stage – This stage has delegation. 4. Daft. 3. The company goes into the growth phase when the investor writes the check. Elaboration stage – This stage needs revitalisation. For example: The management textbooks believe that sales grow each year but in reality it is different as a company can have both good and bad years depending on the market conditions. the entrepreneur thinks about the business.
It is a modern approach to manage change for human resource development. The latter focuses on the organisational process and human participants. The top management will drive these areas through command and control. and leadership patterns. This approach adopts the steps to: Develop a vision. 3 .Question 3 . Facts about the leaders showing that they are democratic i. The top down approach: The classical paradigm Organisations consist of functional areas such as production. It is also known as the living-systems approach because the organisation is considered to be a learning organisation which has many feedback systems between its sub-systems. Composing of many interdependent subsystems within the organisation where change in one or more parts affects the entire system. The recent approaches to organisational development and change are broadly divided into two categories: The Top Down Approach: the classical paradigm. Here. technology. Maintain top management‟s determination. sales and accounting. structures. and policies. and interdependent. identifying. The Bottom Up Approach: the systems paradigm. groups/teams. release the potential for change and not autocratic who drive changes. Need for both change and stability. Adopt the best practice. Here..Explain briefly the recent approaches to organisational development and change. self organised. The main features of this approach are as follows: Studying of organisation in relation to the contextual environmental factors such as size. Answer: Organisational development is an important mechanism that helps to impress organisation and its employees. Researchers have developed various models on organisational change.e. Plan and program. change occurs continuously and is considered natural when an opportunity is present and is not driven externally. The basic approaches of organisational development are techno-structural approach and human process oriented approaches. Communicate the vision. the leader provides a clear vision and helps in the change process by facilitating. etc. Persisting organisations comprises of individuals. The other features of this approach help us to understand the: Assumptions made in any organisation are always dynamic. The bottom up approach: The systems paradigm This approach deals with organisation as a system which easily gets affected by environmental changes. The assumption here is that management should try hard to maintain change. and directing the emerging patterns of behaviour and thinking. structure. flexible. Importance of both current reality and future orientations. systems. The former is related to theories of intervention into the structure and technology of the organisation. It includes structural and technological changes and focuses on the working environment among the employees within the organisation. Such systems allow both individual learning and social interactions.
functions. cultural change. and systems maintenance in the organisation. interpersonal and intergroup interactions. organisations should simultaneously pursue both process and structural intervention strategies in order to bring about change. According to systems approach. Subsystems interdependency within the organisation and their influence on each other subsystem. reward systems. and also organisational communication styles and flow of information (Beer. attitudes. and structural aspects of management systems. performance management systems. 4 . and accounting control systems. These strategies help to bring in team work. 1980). culture. Both process and structural intervention strategies should be simultaneously handled to guarantee effective team characteristics. Uniqueness of each organisation and respect the individuality and its need for change. cultural interactions. Structural intervention strategies focus on and change the components of organisational systems such as the organisation and job design. Process intervention strategies focus on changing people‟s behaviour.
In such a condition the individuals will be dissatisfied. Whenever the leaders are planning to manage change. Everyone has fundamental needs that have to be met. inclusion and openness needs of the individuals otherwise there is chance for negative reactions ranging from the resistance to the opposition. They are: Different people react in different way for the changes. o The need for openness. The opinion of the people varies from person to person. and dislike individuals at the other end. There are some other people who will be encouraging the change process so that the people will place themselves at the change side of the spectrum. it is necessary to follow few principles. Everyone has fundamental needs that have to be met: The need vary depending on the people. There are some people who like to follow the old system and they will be at the stability side of the spectrum. The change programme has to meet the control. The leaders at different levels in the organisation will have different roles to play. They are: o The need for control. o The need for inclusion. The leaders work towards achieving the goals in the organisation. experience stress.Question 4 . Answer: The leaders play an important role in the change management.Discuss in brief about the role of leaders in the change process. Some other people encourage for the new upcoming change. so they like to be at the change end. and people go through the "loss curve". Many problems come when the people find that their opinions do not match with the situations. Fears have to be dealt with. Change often involves a loss. There is some degree for each of the needs. Some people like to follow the old system and they want things to be as it is. The loss curve is shown in the figure below: 5 . Will Schutz2. a famous psychologist have identified three fundamental needs in people's reaction to change. so they like to be at the stability end of the spectrum. Change often involves a loss. and people go through the "loss curve": The loss of curve explains the feelings of the individuals as the time proceeds in the change process. The below diagram represents the spectrum of change: The figure shows the spectrum of change. Expectations need to be managed realistically. This can be explained in detail as follows: Different people react in different way for the changes: The opinion of different people varies in a different way.
The loss curve depends on the extent of loss in the chain management programme. whenever there are some significant changes. there are some people in the organisation who will be very confident that the changes will not occur at all. 6 . Inability to survive in changed setup Not getting a new job. If someone is promoted to higher position then the loss in the lower position is not a big issue. o Adjusting to the new situations takes a longer time. The depth will be more if the loss is sudden or unexpected. Whenever there is a loss then the individual hits a deep low. it is very difficult to start with the new process. For example: Suppose that we are a contractor for any project and we expect to be paid in 14 days but the contract says 30 days then we need to discuss and make sure that we get what we are expecting. Expectations need to be managed realistically: Some of the enforced changes do not meet the expectations of the employees that time certainly they will be unhappy and the expectations have to be set at the realistic level. Fears have to be dealt with: It is the tendency of human beings to go out of the window. If this not happening then we must make sure that the expectations are managed by both contractor and buyer. There are many fears which an employee faces during a changing phase. Some people fear the worst since their minds will not be very conscious to know the things better. The fears have to be addressed by leaders in an understanding way by making them understand that the redundant people can get the better job. Some of them are like: Loosing the job. In such a situation. there can be no sinking of the change. The common factors that can be found in all loss curves are: o At the initial position. Future problems arising due to loss of job. For example. But if someone is made with a purpose of getting a new job then the losses will have a harmful effect. since something better has replaced the old one.
Answer: A competitive advantage is an advantage over competitors gained by offering consumers greater value. There is a valid factor for the differentiation and the existing competitor products are not meeting those needs. During that time. the organisation can develop the special strategy to meet the needs of the customers. Strategy: Cost focus This strategy focusses on the cost of the product which is the base for the business of the organisation. either by means of lower prices or by providing greater benefits and service that justifies higher prices. This often involves the product with the premium price to demonstrate the production costs and the value added features that are present for the customer needs. This strategy gives the clear idea about the product and what is the advantage of using this product compared to the other product in the market for the benefit of the consumer. Strategy: Differentiation focus This strategy aims at differentiating the product with a minimum number of target market segments. The lowest cost producer is its main aim. less cost and the specific needs that are required for the customers. which is not worth according to their needs. Michael Porter 4has given four generic business strategies that are analysed by him on his work in the competitive industry. Strategy: Cost leadership The main aim of this strategy is to provide the product with the less cost in the market. Strategy: Differentiation These are the strategies which include the selection of one or more criteria that can be used by the customers for taking the product in the market. This strategy is applicable to the special needs of the customer. From the diagram. which have features that are not needed for the customers.Explain the strategies for competitive advantage. we can come to the conclusion that the Differentiation and Cost Leadership needs the competitive advantage in the broad range of business market.Question 5 . The low cost leader always tries to put the discount on the products with the goal of maximising the sales. He has given four strategies taking consideration of the scope of a business versus the degree of product differentiation. Even the market segments suggest the same thing. 7 . Majority of the customers prefers the perfect product with the minimum differentiation. This will work out particularly when there is much of competition on the market. There are some products. The Differentiation focus and the cost focus can operate in the narrow (small) market. That time the sale will also be less since the cost is more. According to the criteria’s. The customer well in advance informs the industry for the production of the special with the needs that will be differentiated with the already existing product in the market. it will be very helpful if the organisation provides the product with the. Usually this type of strategy is associated with the large scale industries which aim at offering the standard products with a minimum differentiation and perfect product. Figure below illustrates the competitive strategies. The lowest cost producer will be benefited when the product rate is at minimum equal to the average price in the market.
In this level. This is applicable when there are minor changes. (b) Explain the need for learning organization. 8 . reacting and responding to change." Also. The four level models help in learning and developing skills in an organisation. he defines Learning Organisation as "a group of people continually enhancing their capacity to create what they want to create. (b) Need for learning organisations Many of the companies in the world focus on improving the existing products and services. These programmes can be successful or a failure. complexity and uncertainty. depending on some factors likes individual skills. only the assumptions are more challenged and the knowledge is formed again. and innovating things to excel in the business strategy.Question 6 . Level 3: This involves developing the solutions. There are few factors that are needed for learning organisation to deal with. Types of learning The learning organisation helps in developing skills. Answer: (a) Learning Organization Senge defines Learning Organisation as the “organisation in which you cannot ‘not’ learn because learning is so insinuated into the fabric of life. They are to: Face sudden and unexpected changes where there are no responses for the existing programmes. This is applicable in the ever changing situations. knowledge. Expect the changing situations. The introduction of outside knowledge is the useful tool in this case.(a) Define learning organization. This resulted in the starting of many activities like TQM (Total Quality Management) and BPR (Business Process Reengineering)." We can define learning organisation as the organisation which has embedded the philosophies like anticipating. Level 4: This level is called as the learning to learn. This level focuses on experimentation and learning from the success and failure. Level 2: This involves learning new job skills that can be transferred to other situations. This can be applied to the situations when there is a need for changing the existing responses. attitudes and organisation culture. processes and procedures. The competitive advantage mainly depends on the rate at which the organisation can learn. This involves mainly the innovation and creativity in developing the future rather than adjusting with the old. The different levels in the diagram can be explained as follows: Level 1: This involves learning facts. Allow the staff to respond to the customer needs in a proper way.