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Journal of Personal Selling & Sales Management

ISSN: 0885-3134 (Print) 1557-7813 (Online) Journal homepage: https://www.tandfonline.com/loi/rpss20

Organizational Readiness for Change, Individual


Fear of Change, and Sales Manager Performance:
An Empirical Investigation

William A. Weeks, James Roberts, Lawrence B. Chonko & Eli Jones

To cite this article: William A. Weeks, James Roberts, Lawrence B. Chonko & Eli Jones
(2004) Organizational Readiness for Change, Individual Fear of Change, and Sales Manager
Performance: An Empirical Investigation, Journal of Personal Selling & Sales Management, 24:1,
7-17, DOI: 10.1080/08853134.2004.10749012

To link to this article: https://doi.org/10.1080/08853134.2004.10749012

Published online: 23 Sep 2013.

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ORGANIZATIONAL READINESS FOR CHANGE, INDIVIDUAL FEAR OF CHANGE,
AND SALES MANAGER PERFORMANCE: AN EMPIRICAL INVESTIGATION
William A. Weeks, James Roberts, Lawrence B. Chonko, and Eli Jones

Sales organizations are experiencing a period of increasing change in the marketplace. Consequently, firms must strive to
develop and implement successful change initiatives. Previous research has had limited success in explaining the factors
that are associated with successful versus unsuccessful change initiatives. This study examines perceptions of an organization’s
readiness for change and individual fear of change as they relate to individual performance. Three hundred and forty-
three sales managers from several industries participated in this study. A significant positive association was found between
a sales manager’s perception of his or her organization’s readiness for change and his or her own job performance. When
taking into consideration a sales manager’s fear of change, the aforementioned relationship between perceived organiza-
tional readiness for change and sales manager job performance is enhanced. Implications for academicians and practitio-
ners are provided along with directions for future research.

The first decade of the new millennium has been forecasted succeed in tumultuous times. Working from Anderson’s as-
to be a period of tremendous change in the workplace (Cascio sertions, individual sales manager’s perceptions of their orga-
1995; Gordon et al. 2000; Howard 1995). Successful organi- nizations and their own fear of change are the focus of this
zations continually anticipate and manage a variety of change paper. Specifically, we will examine to what degree a sales
venues: economic changes due to globalization of markets, manager’s perceptions of his or her organization’s readiness to
technological changes (i.e., advances in information technol- change is related to his or her individual performance and to
ogy), market changes (i.e., rate of change in the composition what degree this relationship is moderated by the sales
of customers and their preferences), political changes (i.e., manager’s fear of change.
privatization), social changes (i.e., an increasing concern for
the environment), and competitive intensity (e.g., frequent READINESS FOR CHANGE
introduction of new products and shorter product life cycles).
As the rate of change affecting business continues to acceler- Change initiatives for the purpose of performance improve-
ate, organizations must strive to develop and implement ment and achieving competitive advantage have experienced
change initiatives. Organizational change is comprised of those a number of problems (Denton 1996; Galpin and Robinson
processes that break down existing structures and create new 1997; Geisler 1996; Harari 1997; Lawson 2003). Reasons
structures—often new organizations, cultures, business strat- for change program shortcomings have been documented for
egies, and ways of working (Hutchison 2001). decades. One long-known explanation for unsuccessful
Anderson (1996) asserts that, like organizations, individual change initiatives is the tendency of management to seek a
employees who continue to learn and adapt to change will quick fix instead of taking a longer-term perspective (Kilman
1984). Another long-known reason for lack of change suc-
cess is the propensity for organizations to implement piece-
meal solutions rather than taking a systems perspective (Ackoff
William A. Weeks (D.B.A., Indiana University), Professor of Mar- 1974). Some of the difficulties with change initiatives may
keting, Hankamer School of Business, Department of Marketing, be attributed to deeper, more critical sources, such as the
Baylor University, Bill_Weeks@ baylor.edu. pervasive culture of the organization and the operating cli-
James Roberts (Ph.D., University of Nebraska), Associate Professor mate (McNabb and Sepic 1995). An organization’s culture is
of Marketing, Hankamer School of Business, Baylor University, the deep-rooted set of values and beliefs that provide norms
Jim_Roberts@baylor.edu. for behavior (Deshpande and Webster 1989; Schein 1992).
Lawrence B. Chonko (Ph.D., University of Houston), Professor of An organization’s climate refers to the ways organizations
Marketing, Hankamer School of Business, Baylor University, operationalize routine behaviors and the actions that are ex-
Larry_Chonko@baylor.edu. pected, supported, and rewarded (Schneider and Rentsch
Eli Jones (Ph.D., Texas A&M University), Associate Professor of 1988). These two characteristics combine to determine or-
Marketing, C.T. Bauer College of Business, University of Houston, ganizational readiness for change (McNabb and Sepic 1995).
Eli.Jones@sellingasap.com. It can be expected that if a firm’s culture and climate are not

Journal of Personal Selling & Sales Management, vol. XXIV, no. 1 (winter 2004), pp. 7–17.
© 2004 PSE National Educational Foundation. All rights reserved.
ISSN 0885-3134 / 2004 $9.50 + 0.00.
8 Journal of Personal Selling & Sales Management

conducive to the acceptance of change, such initiatives will Figure 1


likely fail regardless of the desires and plans of the more pro- Hypothesized Model
active management in the firm. When discussing the con-
cept of change, the process of altering people’s actions,
reactions, and interactions to move the organization’s exist-
ing state to some future desired state is paramount (Pettigrew
1990). The primary way to bring about lasting change is to
develop working conditions in which employees can operate
more effectively (McNabb and Sepic 1995).
At the individual level of an organization, and pertinent to
this study, a sales manager’s perceptions of his or her firm’s
readiness for change may impact that manager’s involvement
in implementing any new change initiative (Chonko et al.
2002). Furthermore, a sales manager’s fear of change may also
influence his or her willingness to undertake change initia-
tives. Change threatens one’s stability and continuity. Em-
ployees aware of the need to change still might resist the part
of the initiative that appears too major, risky, or different
(Tapsell and Law 1998). Said another way, fear of failure cre- communications from the start of the change initiative
ates a fear of learning, which parallels a fear of change and the (Hutchison 2001). Sales managers help shape opinions, deci-
need to cling to the present situation (Harari 1999). sions, and actions. They can be influential in the acceptance
The purpose of the research reported here is to examine of sales force goals (Podsakoff, Mackenzie, and Bommer 1996)
change-related factors that may impact sales manager perfor- and performance (Crnkovisch and Hesterly 1996). Therefore,
mance. First, we refer to the change literature to investigate we consider it an important initial step to examine sales man-
the degree to which sales managers’ perception of his or her agers’ viewpoints about change-related issues.
firm’s readiness to change influences his or her job perfor-
mance. Second, we introduce a scale for measuring an
individual’s fear of change. Third, we examine whether a sales THEORETICAL BACKGROUND AND
manager’s fear of change impacts the hypothesized relation- HYPOTHESES
ship between perceived organizational readiness to change and Organizational Readiness for Change and
sales managers’ performance. Figure 1 contains the relation- Job Performance
ships tested in the present study.
We chose to employ sales managers in this study for sev- Historically, studies of sales performance have focused on
eral reasons. First, an organization’s sales force is a primary determinants of sales performance (Chonko et al. 2000). Pio-
source of revenue generation and growth in many firms neering work in the area of sales performance by Walker,
(Colletti and Chonko 1997). Second, the sales force is ac- Churchill, and Ford (1977) offered a comprehensive model
knowledged as a key change agent in most organizations of salesperson performance. Antecedents of performance in
(Colletti and Chonko 1997). Third, Hurley (1998) calls for this model were classified into five categories: (1) personal,
research regarding leadership characteristics required for ef- organizational, and environmental factors; (2) motivation;
fective change managers in sales organizations. Fourth, middle (3) aptitude; (4) skill levels; and (5) role perceptions (Balaji,
management (i.e., sales managers) has often been identified Netemeyer, and Boles 2002). Subsequent research has stud-
as the primary locus for resistance to radical change (Biggart ied the above potential antecedents to sales performance in
1977; Miles 1997). Finally, Farrand (1998) notes there is a some detail. Studies of sales performance have explained some
lack of empirical research linking sales management to over- variance in sales performance, substantive unexplained vari-
all marketing strategy, even though sales managers are a criti- ance still exists (e.g., Cravens et al. 1993; Sujan, Weitz, and
cal link between upper management, which establishes plans Sujan 1988). The present study focuses on one antecedent
and strategies, and the sales force, which is expected to imple- and one potential moderator of sales manager performance-
ment plans in the field (Russ, McNeilly, and Comer 1996). perceptions of organization readiness for change and fear of
In general, successful change is more likely to occur when change.
leaders, such as sales managers, support change and encour- Employees are at the center of organizational change ini-
age the support of others, such as the salespeople. An impor- tiatives (Tetenbaum 1998). According to Armenakis, Harris,
tant driver in the success of a change initiative is open and Mossholder (1993), the energy, support, and inspiration
Winter 2004 9

required to create the perception among employees that an tions in governing their salespeople may perceive their orga-
organization is ready for change derives from those individu- nizations as not staying current. Similarly, sales organizations
als within the organization. Readiness for change has been that do not allocate enough funds for sales managers to invest
defined as “the cognitive precursor to the behaviors of either in the proper technology for their salespeople might also be
resistance to or support for change efforts” (Armenakis, Har- perceived as not ready for change by those sales managers.
ris, and Mossholder 1993, pp. 681–682). An individual’s If a sales manager perceives that his or her organization
perception of an organization’s readiness for change is viewed fosters an environment that supports change efforts, one might
as a similar concept to unfreezing, which is described as a expect sales managers to be more willing to take risks and
process in which an individual’s beliefs and attitudes about embrace change strategies that might increase performance.
pending change are influenced such that the imminent change Conversely, if a sales manager perceives that his or her orga-
is seen as useful (Lewin 1951). In the present sales context, nization does not foster an environment that supports change
perceptions of organizational readiness for change embody efforts, one might expect sales managers to be less willing to
the individual sales manager’s (1) beliefs, attitudes, and in- take risks and embrace change they perceive as possibly hurt-
tentions regarding the extent to which change is needed, and ing their performance. Therefore, we propose the following
(2) perceptions of the organization’s ability to deal with change hypothesis:
under dynamic business conditions (e.g., Armenakis, Harris,
and Mossholder 1993). Sales managers’ assumptions and ex- H1: A sales manager’s perception of the sales organization’s
pectations regarding change comprise their dispositions con- readiness for change will be positively related to his or her
cerning their organization’s readiness for change (Wheatley level of performance.
1992). Spreitzer (1996), Thomas and Velthouse (1990), and
Eby et al. (2000) suggest that perceptions of readiness to Moderating Impact of Individual Fear of Change
change reflect an individual’s unique interpretation based on
his or her experiences. Up to this point, we have focused on the sales manager’s per-
When environmental change is pervasive or difficult to ceptions of his or her organization’s readiness to change and
predict, sales organizations have to be capable of rapid change the importance of recognizing that sales managers operate at
to survive (cf. D’Aveni 1994). An individual sales manager’s different levels of readiness for change (Blanchard 1992). In-
perceptions of an organization’s readiness for change are af- dividuals who are more change-ready will be more likely than
fected by his or her perceptions of environmental turbulence others to accept and act on a change initiative. Dan Sweeney,
(i.e., rate of change in composition of customers, rate of tech- a vice president at IBM’s retail consultancy practice, is quoted
nological change, and competitive intensity in the market- by Harari regarding this point: “Certainly, to the degree that
place) and organizational culture, climate, policies, and knowledge is power and change invalidates that knowledge,
practices. When sales organizations encounter a turbulent then change robs us of power. Change robs us of our ability
business environment, employees such as sales managers may to know and therefore to manage our future. It robs us of our
express concern about their organization’s readiness for change. sense of control over our affairs. The prospect of such a loss
For example, if an organization’s structure is perceived as rigid will indeed raise fear and anxiety in the hearts and souls of
and inflexible, sales managers are likely to hold unfavorable executives used to dealing from reliable knowledge and exer-
views about the organization’s readiness for change. As envi- cising its consequent power” (1999, p. 3). Fear of change is
ronmental complexity has increased in the past decade, adap- potentially one reason why employees differ in their willing-
tation and change have become important research issues ness to accept change. Indeed, Bennett et al. (1998) assert
(Gordon et al. 2000). An individual sales manager’s organiza- that fear of change and the demand of the forces that lead to
tional experiences with change shape how that individual per- fear of change are common in today’s business world.
ceives the organization’s readiness for change (Law and From a psychoanalytic perspective, a key reason that some
Woodman 1995). For example, during the 1970s, U.S. con- employees do not readily support change is their fear of the
sumers indicated a preference for gas-efficient automobiles. dangers that they believe change entails. In most organiza-
As employees of U.S. automobile manufacturers continued tions, change is imposed top-down. People have a natural
to see their firms investing in large vehicle manufacturing fa- fear of change and when change is mandated they feel a loss
cilities, one might expect that these employees would perceive of control (Evans 2001). Eagle (1999) notes that fear of the
their employers as not interested in accommodating consumer unknown is a powerful reason that individuals do not change,
preferences and not ready to change with the times. Likewise, or at least do not change quickly. They fear that change might
in a sales organization, sales managers have preconceived views entail danger, pain, and anxiety. To many people in an orga-
about their organization’s readiness for change. Sales manag- nization, change initiatives imply a loss of the security that
ers following outmoded company mandated rules and regula- goes with a specific job. Further, uncertainty associated with
10 Journal of Personal Selling & Sales Management

change can heighten an individual’s fear of making mistakes panies for over a decade. The participants also possessed con-
or showing ignorance. Senge and Kaeufer (2000) note that siderable sales experience, having worked in the sales field an
change efforts can induce fear. In particular, change processes average of almost 20 years. Furthermore, sample respondents
that call into question long-held beliefs, attitudes, and ha- had, on average, almost 25 years of work experience. Taken
bitual ways of acting can be threatening. Insecurity associ- together, these tenure statistics indicate a very high level of
ated with change can lead people to hang onto old patterns of experience for the present sample. The average age of 47 is
behavior (Kets de Vries and Balazs 1999). The fear of failure also indicative of a high level of work experience. Nearly half
creates a fear of change and the desire to cling to the status of the respondents possess a college degree, with one-fifth
quo. Such thinking often is associated with the assumption having completed a graduate education.
that by replicating the actions of yesterday that brought us
success today, we will achieve success tomorrow. However, Nonresponse Bias
this belief only makes sense if tomorrow will look like yester-
day (Harari 1999). And this is unlikely given the present tur- The possibility of nonresponse bias was assessed by compar-
bulent business environment in which organizations operate. ing the first half of the returned surveys with the second half
With the above research and Baron and Kenny’s (1986) of the returned surveys. The “wave analysis” examines the as-
definition of a moderator variable, one might expect the sales sumption that early respondents are more interested in, or
manager’s fear of change to moderate the perception of orga- aware of, the topic of study than later respondents who are
nizational readiness for change–job performance relationship. more likely to be like nonrespondents (Armstrong and
If a sales manager perceives the firm is ready to change even Overton 1977; Frazier and Rody 1991). For the variables ex-
though he or she has a high fear of change, we posit the man- amined in this study, no significant differences were detected
ager would be more likely to accept change because he or she between those surveys returned early and those returned later.
can envision higher performance. Alternatively, a sales man-
ager that perceives the sales organization as not ready for Measurement Scales
change and has a high fear of change is less likely to accept
change because he or she sees no performance improvement An exploratory factor analysis using varimax rotation was used
resulting from the change. Similarly, a sales manager with in the present study as a partial test of the validity of the
low fear of change, who perceives the sales organization as organizational readiness for change, job performance, and in-
ready for change, will be more likely to embrace change as he dividual fear-of-change scales. All 16 items of the 3 scales
or she views change will improve performance. However, when loaded on their respective constructs and there were no sig-
the organization is viewed as not ready for change, a sales nificant cross-loadings.
manager with low fear of change will be less likely to see the
change having a positive effect on performance. Therefore, Organizational Readiness for Change
we suggest the following hypothesis:
Organizational readiness for change was operationalized us-
H2: Sales manager’s fear of change strengthens the organi-
ing a four-item, five-point Likert scale that assessed a sales
zational readiness for change–job performance relationship.
manager’s perception as to how ready his or her company was
to change (see the Appendix for items). The readiness-for-
METHOD change scale was based on scales originally developed by Daley
(1991), Hardin (1967), and Trumbo (1961). The composite
Sample and Data Collection
measure of the items in this study resulted in a Cronbach’s
A nationwide mailing list comprised of 2,500 sales managers alpha of 0.85.
was used to collect the data to examine the relationships pres-
ently studied. Potential respondents were each sent a mail Job Performance
survey packet that included a questionnaire and a cover letter
prepared by the researchers. A total of 303 of the question- Job performance was measured by using a self-report, seven-
naires mailed out were undeliverable. In total, 343 responses item, five-point Likert scale (see the Appendix for items). Self-
out of 2,197 contacts were obtained, for an overall response report methods have been used in several sales studies (cf.
rate of 15.6 percent. Pertinent descriptive statistics from the Behrman and Perreault 1982; 1984; Chonko, Tanner, and
obtained sample are provided in Table 1. Weeks 1993; Churchill, Ford, and Walker 1974; Tyagi 1985;
For generalizability, we chose a sample that was comprised Weeks and Nantel 1992; Weeks and Stevens 1997). The sales
of sales managers that spanned a variety of industries. Most managers were asked to indicate how they compare to other
of the survey participants had been with their respective com- sales managers working for their company, with responses
Winter 2004 11

Table 1
Sample Characteristics

Length of Employment
with Current Company Sales Experience Business Experience

Years Percent Years Percent Years Percent

0–1 years 3.8 0–1 years 0.6 0–5 years 2.1


2–5 years 23.0 2–5 years 6.7 6–10 years 5.9
6–10 years 28.2 6–10 years 13.8 11–15 years 10.9
11–15 years 16.8 11–15 years 11.4 16–20 years 12.5
16–20 years 13.5 16–20 years 19.6 21–25 years 22.4
21 or more years 14.7 21 or more years 47.9 More than 25 years 46.2
Mean Years 11.5 Mean Years 19.84 Mean Years 24.64

Income Firms Worked For Age

Level Percent Number Percent Age Percent

Less than $20,000 0.9 1 12.0 30 or less 4.7


$20,000 to $29,999 3.3 2 23.4 31–40 18.9
$30,000 to $39,999 5.5 3 25.4 41–50 40.1
$40,000 to $49,999 10.6 4 to 5 27.9 51–60 30.1
$50,000 to $59,999 8.8 More than 5 11.4 61 or more 6.2
$60,000 to $69,999 9.1
$70,000 to $79,999 7.9 Mean number of Firms 3.31 Mean Age 47.1
$80,000 to $89,999 9.7
$90,000 to $99,999 5.8
$100,000 to $129,999 16.4
$130,000 or more 22.1

Education Size of Firm Worked For

Attainment Percent Size Percent

High School or Less 5.3 1–9 employees 3.8


Some College 26.4 10–49 employees 27.1
College Graduate 47.2 50–99 employees 16.8
Graduate School 21.1 100–249 employees 20.6
250–499 employees 9.1
500–999 employees 5.6
1,000 or more employees 17.1

ranging from “much worse” to “much better.” Sujan, Weitz, sis was run on the five items suggesting that the scale is uni-
and Kumar (1994) provided the original scale adapted in this dimensional. The composite measure of the items in this study
study for use with sales managers. Factor analysis was run on resulted in a Cronbach’s alpha of 0.83.
the seven items confirming that the scale is unidimensional.
The composite measure of the items in this study resulted in RESULTS
a Cronbach’s alpha of 0.90.
Correlation analysis was conducted for the constructs in this
Individual Fear of Change study. A correlation matrix and descriptive statistics are pro-
vided in Table 2.
The individual fear-of-change scale constructed in the cur- To test H1 and H2, job performance was regressed on or-
rent study was operationalized by using a five-item, five-point ganizational readiness for change and individual fear of change
Likert scale (see the Appendix for items). The sales managers (see Table 3).
were asked to indicate their agreement with each item rang- As posited, there is a significant association between a sales
ing from “strongly agree” to “strongly disagree.” Factor analy- manager’s perception of his or her organization’s readiness for
12 Journal of Personal Selling & Sales Management

Table 2
Correlation Matrix and Descriptive Statistics

Organizational
Readiness to Fear of Standard
Change Change Performance Mean Deviation

Organizational Pearson Correlations 1 0.249** –0.119* 12.1529 3.27953


Readiness to Change N 340 337 297
Fear of Change Pearson Correlations 0.249** 1 –0.264** 11.2544 3.20057
N 337 338 295
Performance Pearson Correlations –0.119* –0.264** 1 27.5503 4.58726
N 297 295 298

* Correlation is significant at the 0.05 level (two-tailed); ** correlation is significant at the 0.01 level (two-tailed).

Table 3
Regression Results

Hypotheses 1 and 2

Model Beta R2 F t Significance

(Constant) 0.092 9.824 11.698 0.000


RDY –0.505 –2.592 0.010
FEAR –0.764 –3.394 0.001
RDY*FEAR 0.754 2.354 0.019

Notes: Dependent variable: performance (PERF); Independent variables: organizational readiness to change (RDY), individual fear of change (FEAR),
and interaction effect.

change and his or her own job performance (R2 = 0.092, F = ceived organizational readiness to change and performance
9.824, p < 0.01). Thus, H1 is supported. A sales manager’s will be positively enhanced.
perception of the sales organization’s readiness for change is
significantly and positively related to his or her level of per- DISCUSSION
formance. The reason for the negative Beta in Table 3 for this
relationship is due to the wording of the questions. For ex- One focus of this paper was to determine if there is a relation-
ample, the first item used to measure perceived readiness to ship between a sales manager’s perception of a sales organiza-
change states: “We fail to anticipate employee resistance to tion’s readiness for change and job performance. A second
change.” The lowest performance measure is when a sales focus involved whether this association is moderated by the
manager perceives his or her performance being below 25 sales manager’s fear of change. We found that an individual’s
percent of their peers. Therefore, the stronger a respondent perception of his or her firm’s readiness for change is posi-
agrees that the organization is not ready for change, the lower tively related to his or her own job performance. The more
he or she assesses his or her own individual performance. change-ready he or she feels his or her firm is, the higher his
When an individual’s fear of change is taken into consid- or her own performance. And, conversely, the less change-
eration, the analysis indicates that this measure does strengthen ready he or she perceives his or her firm, the lower his or her
the perceived organizational readiness for change–job perfor- own job performance. It is disappointing that we did not find
mance relationship. The interaction effect is significant (p = a stronger relationship between perceived organizational readi-
0.019), thus H2 is supported. The positive Beta indicates that ness for change and job performance. However, it comes as
the relationship specified in H1 is enhanced when an indi- no surprise given Churchill et al.’s (1985) meta-analysis that
vidual’s fear of change is taken into consideration. When an found an average study accounted for less than 10 percent of
individual is fearful of change, the relationship between per- the observed variation in sales performance. Even so, the
Winter 2004 13

present relationship found between perceived organizational resistance. A discussion of change resistance is beyond the
readiness for change and job performance suggests that change- scope of this paper. However, researchers interested in the
related variables offer a potentially fruitful area of study. fear of change–resistance to change relationship can begin
Another explanation for the failure of previous change ini- their quest by examining the literature on addictive behaviors
tiatives might lie with the emotional state of a firm’s employ- (e.g., Tomer 2001) or organizational rationality (e.g., Argyris,
ees rather than just their perception of organizational readiness Putnam, and Smith 1991), to mention two potentially in-
for change. For this reason, the current study attempted to sightful and relevant areas of future study.
determine whether or not an individual’s fear of change has One responsibility of an organization’s management en-
an impact on the relationship between his or her perception gaged in change initiatives is disseminating information that
of his or her firm’s readiness to change and his or her own describes what the firm is doing to be change-ready and how
performance. Of note, we found that sales managers who were change will benefit employees. The lack of an effective com-
more fearful of change were also more sensitive to their sales munications strategy may very well be one explanation for
organizations readiness to change. A perceived readiness to the failure of previous change initiatives. Even though the
change on the part of the organization strengthened the rela- organization’s management may have felt they had devel-
tionship between organizational readiness and performance oped the necessary strategy to be proactive and sensitive to
for the more fearful sales manager. change, if lower level employees who are responsible for car-
The present study also found that an individual sales rying out the strategy do not have knowledge of or confi-
manager’s fear of change may be a stronger indicator of per- dence in management decisions, change initiatives may not
formance than their perception of their firm’s readiness for be successful.
change. We found that there is a significant relationship be- This study also has ramifications for sales force/sales man-
tween an individual’s fear of change and his or her perfor- ager interaction. Managers in this study exhibited varying lev-
mance such that fear of change strengthens the relationship els of fear of change. That said, as managers, they should
between perception of organization readiness to change and recognize that, like themselves, not every salesperson will sup-
job performance. This has important implications for an port a change in sales strategies and tactics. For example, sales-
organization’s recruiting and selection strategy. If management people may view a change as having no immediate impact on
is hiring personnel who will be working in a very turbulent their jobs. Further, they may not view a strategy change as
business environment that requires periodic employee change, relevant to all customers. However, allowing salespeople ex-
it might be advisable for management to seek out individuals clusive rights to make that determination can undermine
who are more receptive to change. In a broad sense, people change success. Leaders who are not involved may be viewed
do not like surprises. Thus, their first reaction to change is as nonsupportive. Moreover, existing strategies require cer-
likely to be resistance as many change programs require em- tain competencies of salespeople. Change in strategy may re-
ployees to implement them on the day they are announced. quire different competencies. For example, relationship-based
Uncovering fear of change is a preliminary step. And this salespeople develop a comfort with people such as materials
first step required an understanding of antecedents to fear of managers, administrative assistants, and buyers. If, with
change. For example, the cry, “if it ain’t broke, don’t fix it,” is change, they are expected to adapt a strategic account per-
a sign of change resistance that might underlie a fear of change. spective, for example, these salespeople must now become
Similarly, sales managers may simply fear change as they fear comfortable with CEOs, CIOs, and CFOs. Finally, like some
failure might come with the change. In general, change height- of the sales managers in this study, not all salespeople like
ens emotions and fears that lead to resistance. Thus, it is im- change. This is where management’s knowledge of their own
perative that researchers uncover sources of fear of change that fears of change can be helpful. Simply put, salespeople must
lead to change resistance. Having recognized the role fear plays have some incentive to embrace change. “What’s in it for me?”
in individual’s outcomes, researchers must focus efforts on (WIIFM) cannot be overlooked by management.
understanding how fear manifests itself in the workplace. One In a different venue, but pertinent to this study, a recent
might be led to the conclusion that training can help. How- examination of change yielded the following results:
ever, training offers no guarantee that employees fearful of
change will make changes in their work efforts (Rusaw 2000). 1. changes in culture and work environment and lack of
Research related to the impact of training should focus on potential for restructuring represented change
skills transfer, employee opportunities for change, resources survivors’ greatest fears;
available to make change, and individual factors (e.g., fear of 2. staff reductions were the second most-cited fear;
change) that can mitigate the desired impacts of training. 3. leadership changes were the third most-cited fear;
Reasons for change resistance vary. One research issue re- 4. most survivors noted that their workload had
lates to how fear of change manifests itself regarding change increased as a result of change;
14 Journal of Personal Selling & Sales Management

5. about one-third of survivors anticipated that their an impact on the aforementioned relationship? One might
firms would provide retraining programs; argue that the more turbulent the business environment, the
6. about one-half of survivors were confident in their stronger will be the impact of one’s fear of change on the
job security (HR Focus 2001). relationship between organizational readiness for change and
job performance. Third, one might find it interesting to ex-
Finally, the presentation of a scale designed to measure an
amine whether the results are consistent when using objec-
individual’s fear of change is another important contribution
tive and subjective performance measures, given they are not
of the current study. This study contributes to the literature a
the same (Comer et al. 1999).
short, unidimensional, and reliable scale (alpha of 0.83) to
Finally, change and learning are inseparable. Like change,
measure fear of change. Despite the constantly changing busi-
learning resistance offers a fruitful area of study. Fear of change
ness environment and the importance of individuals in af-
should be examined as it relates to resistance to learning (e.g.,
fecting successful change, prior to this study fear of change
Schein 1992). Other barriers to learning include job skills
had not been adequately investigated in a work setting.
and lack of previous successful learning experience (Cohen
and Levinthal 1990). Given the common wisdom concern-
LIMITATIONS AND FUTURE RESEARCH ing the challenges of implementing customer relationship
management (CRM) programs, the examination of learning
As noted by Cronin and Taylor (1992), while every effort has and change in the context of fear appears to have potential to
been made to ensure that the potential threats to the reliabil- offer considerable insight into change disappointments.
ity and validity of research results are minimized, that does
not ensure that all threats are fully eliminated. Generaliza-
CONCLUSION
tions beyond the respondents examined should be approached
cautiously. The selection of the specific sample through the The focus of this study sheds light on the question, “Does a
purchase of a mailing list may have introduced a limitation sales manager’s perceptions of an organization’s readiness for
to the generalizability of the results. Likewise, measurement change affect key job outcomes?” Positive perceptions of or-
issues are always a concern in such research. Having said that, ganizational readiness to change do positively impact a sales
we are confident that the results reported in this study are an manager’s job performance. Moreover, fear of change moder-
accurate representation of the relationships described in this ates the above relationship. Sales managers who are fearful of
study. All established approaches were used to limit the threats change will look closely for signs of organizational readiness
to the implications produced by the results reported. to change. Therefore, fear of change appears to strengthen
Another limitation regarding the sample is its heterogene- the relationship between perceived organizational readiness
ity. Since the sales managers come from several industries, to change and sales manager performance. With change, a
they no doubt manage different types of salespeople (Moncrief given in most industries, it is only by developing a thorough
1986). Therefore, it might be possible that different sales understanding of change-related phenomena that future in-
managers will evaluate their performance differently accord- vestigators can be in a position to offer guidance to all in-
ing to their role and the type of salespeople they manage. volved in change programs.
A final concern that should be recognized is that this is a
cross-sectional study. While the results give us some insight
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Winter 2004 17

APPENDIX
STUDY SCALE ITEMS

Organizational Readiness
RDY1. We fail to anticipate employee resistance to change.
RDY2. We fail to plan for employee resistance to change.
RDY3. It is difficult to gain cross-functional cooperation when my company implements change.
RDY4. We have rigid hierarchical structures that prevent us from implementing change.

Job Performance
PERF1. Contributing to your company’s acquiring a good market share.
PERF2. Selling high profit-margin products.
PERF3. Generating a high level of dollar sales.
PERF4. Quickly generating sales of new company products.
PERF5. Identifying major accounts in your territory and selling to them.
PERF6. Exceeding sales targets.
PERF7. Assisting your sales supervisor meet his or her goals.

Individual Fear of Change


FEAR1. I am fearful of change.
FEAR2. I worry about changes taking place at work.
FEAR3. I feel anxious when I hear about impending changes at work.
FEAR4. I get nervous when I have to change the way I do things at work.
FEAR5. I am skeptical of change when it comes to my work.

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