Professional Documents
Culture Documents
Topics Content
Organisational transformation
Recommended text
The following text is recommended for this unit:
Hayes. J 4ed.The practice and Theory of Change Management (2014):
Waddell. D.M, Cumming. T.G, Worley. C. G 4ed. Organisational Change Development &
Transformation (2011):
activities
links to websites containing relevant information (if the links are broken, copy and paste into a
web browser).
Activities
The trainer/assessor will provide a simulated work environment therefore, the activities provided in
the Student Guide:
involve the use of standard, workplace equipment such as computers and software
require you to read through the activity carefully and ask the trainer/assessor for guidance if
needed
will have time allocated for completing the activity, along with time for class discussion and
feedback
Some activities may require you to submit work to the trainer/assessor for feedback. Where this is
the case it will be indicated at the bottom of the activity.
Video clips
If presented in class, take part in any class discussions, providing feedback and contributing to
debate and arguments.
If directed to watch the video as part of self-study, or independently in class, take notes so
contributions to any future class discussions can be made.
Roleplays
The trainer/assessor will direct class roleplays.
When undertaking these activities ensure that you understand the purpose of the roleplay and take
part as if you are in a professional situation to provide your fellow classmates with a true-to-life
experience. Roleplays rely on your ability to act in a manner that imitates real-life situations and
can provide you with depth of understanding and practical skills.
Learning outcomes
By the end of this unit, you will be able to have the skills and knowledge required to analyse and
improve personal leadership style and professional competence and to lead organisational
transformation and learning for strategic outcomes.
Outcomes include:
Organisational Change
Organisational change is a process of changing an organisation’s systems, processes, procedures,
technology and culture and climate to achieve desired performance. It is about adopting a new idea
or modifying employees’ behaviour to achieve results.
Organisation change involves dealing with changes on a daily basis; however, organisational
strategic change is a transformation process where changes are planned and aligned with an
organisation’s strategic objectives, goals and vision. Top management of an organisation ensures
that their business is agile to adapt to the competitive business environment they operate in.
Changes in customer needs, wants and preferences, supply chains and technology are requiring
enterprises to listen, innovate and become agile. Companies, just like humans, need to change the
way business is done and become agile in order to respond to the changing industry platforms. If
businesses ignore this pressing need for ongoing change, they risk becoming like the dinosaurs of
the past: once omnipresent and dominant, but now extinct because of their failure to adapt to
changing conditions. Workplaces that implement organisational changes effectively report
increased levels of staff satisfaction, lower levels of staff turnover, greater willingness by workers to
implement new ideas, a more supportive working environment and less contestation of
organisational directives and goals.
OD is usually a desired state for organisations; however, managers must be prepared and have the
skills, knowledge and ability to respond to external pressures by adopting to an organisation
transformation strategy.
Data for organisational analysis can be obtained through the following methods:
Government and industrial institutes’ play an important role in establishing legislations, acts
and laws, policies, codes of practices, and rules for operating in and out of their countries.
Information and advice on national or international markets can be easily accessed by
government websites and government agencies.
Seek paid professional advice from reputable business consultants on marketing, capital
investment and business planning and execution strategies. Austrade and
www.business.com.au provide a range of services to businesses including financial advice
and information on grants for national businesses and businesses that seek to operate
overseas.
Organisational transformation
Organisational transformation is an evolving part of organisational development. It arises in
response to, or in an anticipation of, major variations in an organisation’s environment or
technology. Transformational organisation change, or strategic organisation transformation, is not
only characterised by changes to systems, and process but also by how the people of an
organisation think, perceive and act in their organisation. Strategic transformations require shaking
up the status quo and altering the prevailing assumptions on how organisations operate. The
strategic transformation entails a shift in corporate values, norms, behaviours to adopt to radical or
emerging changes in its environment.
A large number of organisations undertake strategic transformation due to the following disruptions:
1. Industry discontinuity – major changes in the organisation’s political, economic, legal and
technical conditions occurring due to shifting competition in the industry.
2. Product cycle shift – product life cycle that require changes to different strategies because
the prevailing strategies become obsolete and do not maximise profits returns
3. Internal company dynamics – changes in company size, portfolio, structure or leadership
turnovers.
Proactive organisations regularly scan their external environment (political, economic, social, legal,
environmental and technological) for developments so that they can make informed management
decisions.
Strategic transformation involves major changes to an organisation which encompasses:
1. Systematic and revolutionary changes in the leadership styles, HR department, information
technology and organisation structure ideally to motivate works employee behaviour
towards new strategic direction
2. New organisational paradigms such as shift in mental and organisation framework where
there is strong emphasis on continuous learning and improvement, employee participation
involved decision making, leaner and flat organisations and or customer service
excellence.
3. Driven by senior executives and line managers who:
o Envision or articulate credible organisation visions, goals for the new changes