Organisational Change Management Effects On Employees Management Essay

Organisational Change attention Effects On Employees circumspection EssayThis research is on the study of the cause of judicatureal diverge caution on its employees. The importance of this research is to help charge in various musical arrangements to jibe the effect of organisational miscellanea prudence on their employees, how employees make way in handling organisational motley and how management can be more trenchant in achieving their goals and objectives.The methodology applied in this research is carrying pop out a survey on employees thoughts on organisational variegate management with the use of questionnaires.At the end of this research, I have been able to make management to see the effects of organisational change management on its employees and how to manage it effectively. Also employees have the opportunity to change some of their set minds or so management for organisational goals and objectives to be contactd no matter of the rapid organisational change in todays blood line environment.CHAPTER 1INTRODUCTIONIn todays dynamic phone line world, change remains a everlasting factor in every organisation irrespective of their sizes or years of existence. Change means the alteration of status quo or making things different. The constant pace of change in the 21st century business environment is accelerating extremely very fast.It is easier for machines to easily adapt to change in command but human composition does non find the adjustment such easy that is why it becomes a very sensitive issue in the organization. Change can then(prenominal) be utter to be a single authorized factor in the organization. Since change is a constant and sensitive factor in every organisation consequently it becomes imperative to examine what an organisational change is, what provokes an organisational change, reaction to organisational changes and how best it can be managed to achieve organisational goals and objectives efficiently.ORGANIS ATIONAL CHANGEOrganisational change was referred to by Van de Ven Poole, 1995, as an empirical expression of difference in form, quality of state over time in an organizational entity, (Van de Ven Poole, 1995, p. 512). An organizational entity can be an individuals job, a work group, a dodging for the organization, a product or service, or the over totally organization.The Organisational entity goes through different processes in response to a strategic reorientation, re social system, change in management, merger or acquisition or the development of new goals and objectives of the organisation. Organisational change can besides be referred to as the modification of the structure or process of a system within an organisation.Organisational change comes in place when aligning resources and employees to an organizational goals and objectives. These employees be human and they have their needs in hierarchy as described by Abraham Maslow. In satisfying their needs employees mel t downs to influence organisational change. Organisational change influence by the employees is relative to the structure of the organisation. An organisational structure that is informal in nature give be more affected by employees influence than the organisation that has a strong formal structure.Abraham Maslows hierarchy of needs showed in figure 1.1 shows that people needs differ. no matter of their of the organization goals and objectives employees like every other man in the society has hierarchal needs. They want their needs to be met by the organisation so they tend to influence change that lead favour the satisfaction of their needs. Sometimes employees influence this change non considering the organisation limited resources and this lead to a reaction from the organisation either positively or negatively depending on the management view of the influence. This reaction by the organisation in response to the employee actions is also an organisational change.MORALITY,CREA TIVITY,SPONTANEITY worry SOLVINGLACK OF PREJUDICESELF-ACTUALISATION ACCEPTANCE OF FACTSSELF-ESTEEM,CONFIDENCE, ACHIEVEMENT,ESTEEM RESPECT FOR OTHERS, RESPECT BY OTHERSLOVE/ BELONGING FRIENDSHIP, FAMILY, SEXUAL INTIMACYSECURITY OF BODY, OF EMPLOYMENT, OF RESOURCESSAFETY OF MORALITY, OF THE FAMILY, OF HEALTH, OF propertyPHYSIOLOGY BREATHING, FOOD, WATER, SEX, SLEEP,.FIG1.1Organisational change tends to occur when an organizational system is disturbed by some internal or external force. The result of this disturbance may be reasoned or bad, which may affect the organization as a whole, or in situations. The degree or rate of disturbance varies based on the organisational structure of the organisation, which may affect people, structure, technology, and other elements of an organization.The changes caused by external forces on the organisation argon known as reactive changes, these changes may take place in localise to respond to new opportunities or to avoid threats to the organisa tion while those changes initiated by the management of an organisation in order to achieve the goals and objectives of the organisation be known as proactive change.Every business organisation has three major stages of development which are survival, profitability and lastly growth and expansion. In each(prenominal) of this stages organisation tends to manage their available resources in such a way that it can survive each stage and move to the next stage.Every organisation desires to move from their present state to a desired state and this desired state is continual. The desired state becomes continual because every organisation needs to respond to the changing customer preferences and technologies. These factors make change to be a censorious aspect of effective management.1.2 ORGANISATIONAL CHANGE wayOrganisational change is a constant critical factor in business environment. Both the employees and the employers in organisations go through this phase of change at one time or the other.Since organisational change is inevitable, then management in organisations need to constantly monitor and respond effectively to twain the internal (owner, management and employees) and external( Investors, supplier, customers, pressure groups, government, media and the general public etc.) environments of their organisations in relative to their goals and objectives. This process is described as organisational change management. Five major factors should be understood by management in monitoring and responding to organisational change.People react to change differently based their fundamental needsPeople resist change based on uncertainty of resultsPeople will embrace change when proposed outcomes are favourableProposed outcome should be well layd objectivelyChange may need to be enforcedThe more management can bide change and either control or manage it the better for the organisation in achieving their goals and objectives. Organisational change can influence the rate of performance of organisation this makes it important for management to have effective knowledge about it. It is found out that in todays competitive business environment, some organisations have experienced fast development while other have experience downsizing or total collapse. These results are products of organisation change management. Organisations Change agents which are the factors that influence change should not be out of management control at every instance despite the competitive pressure on management. Since organisational change is constant and dynamic, then management needs to be proactive on change management for effective development of the organisation.Although every stakeholder within and outside the organisation feels the effect of organisational change management in different degrees, this study is concentrating on organisational change management and its effects employees. The effects of organisational change management on employees are considered very important in this research because it will show the reaction of employees to management during organisational change. Employees reaction to organisational change management either consciously or unconsciously influences their rate of performance in their jobs. Their level of confidence in management handling organisational change becomes a notable factor in their rate of performance. Management needs to know how to pip the balance between employees views and achieving their organisational goals and objective during on-going organisational change. Management cannot ever attend to employees need but they should provide strategic means in reacting to their needs and not inescapably manipulating them. Management should not only see employees just as their operative tools in achieving their goals and objectives but they should see them as the most vital and delicate resources of their organisation. unimpeachably employees rate of performance have greater influence on the rate at whi ch organisations achieve their goals and objectives. Improving their performance level during organisational change becomes a try of effective management.CHAPTER 2LITERATURE REVIEWCoetsee (1999) states managements ability to achieve maximum benefits from change depends in part on how effectively they create and maintain a climate that minimizes resistant behaviour and encourages acceptance and support (p. 205). In todays dynamic and competitive business environment, organisations are required to respond effectively to continuous change or collapse if not careful. That was why Coetsee 1999 was interested in describing management ability in achieving maximum benefit from change. Inability for management to effectively tap benefits from changing market place as led many organisations that were listed among the fortune 500 in the 1980s and 1990s no longer in business (Beer Nohria, 2000).There are different reasons that generate organisational change examples are government policy, te chnology, merger and acquisition, strategic refocusing and market volatility etc. Employees are awake that they mostly recipient of the effect of change when it goes wrong. This wrong feeling initiates fear, frustration, lack of concentration and resistance to any form of change. Therefore the effects of organisational change on employees need to be assessed objectively before initiating it. Literature reveals that, change is a source of feeling of threats, uncertainty, frustration, alienation and anxiety (Ashford 1998).Based on this, it is clearly seen that an organisation will be underperforming with such feelings from their employees. Employees best can never be achieved, they will be underproductive and it will negatively affect the organisation overall performance.How long will employees continue to work in this feeling of insecurity due to organisational change becomes a major question in this fast dynamic business environment we live in? They concentrate more on their own jo b security rather than the organisation goals and objectives. Meeting self needs becomes employees higher antecedence rather than organisational needs because they cannot be guaranteed by the organisation how long their individual needs can be met. Job security becomes a threat to them.In todays business environment, more organisations are involved in mergers while some go through the acquisition process. Greater numbers of employees become more hazardous and uncertain about their jobs. This poses a serious threat to employees reliability to the organisation in achieving their goals and objectives. It is a natural response from the employee as defined by Abraham Maslow on mans hierarchy of needs. Security is a mans need not just a want, so employees job security is a vital need to them. That is the reason why permanent staffs are far more likely to be dedicated to their job than temporary staffs who feel their contribution to the organisation may be stop at any time and with littl e or no pay off by the organisation.Effectiveness and efficiency of employees, becomes a challenge to the management in order to achieve their goals and objectives. Although job performance is not strongly linked with job satisfaction but there could be resistance and unwillingness from the employees when their working condition are poor and unattended to by the management of the organisation they work for.According to Gateway Information Services, a New York consulting firm, 70% of all change programs fail due to employee resistance. Employees seem to form an organisational culture that creates a serious resistance to change because of high level of uncertainty in their job. Zaltman and Duncan, 1974 define resistance to change as any conduct that serves to maintain the status quo in the face of pressure to alter the status quo. The act of resistance to change described by Zaltman and Duncan, 1974 now becomes vivid the more, as long as level of uncertainties increases for the employ ee before and during organisational change. (Dent Goldberg, 1999) also define resistance to change as employees are not wholeheartedly embracing a change that management wants to implement.The effect and counter effect of organisational change management on employees can be a test of military posture and efficiency of management. Management needs to effectively manage organisational change.CHAPTER 3METHODOLOGY AND digest3.1 INTRODUCTIONIn previous chapters, it is described that organisational change remains constant in every organisation and the rate of this change in todays business environment is very rapid. Many factors have been attached to the rapid occurrence of organisational change ranging from customers needs, technology, government policy, market flexibility, acquisition and mergers etc. Every stake holder in the organisation is affected one way or the other by the effect of this change. This prompts for an effective organisational change management. Effective organisat ional change management can then be assessed by degree at which management maximise the benefits and minimise the demerits of organisational change in achieving the goals and objectives of the organisation.Understanding that employees are active part of any organisation stakeholders, this research in this chapter takes a critical analysis on the effect of organisational change management on its employees.3.2 RESEARCH METHODIn carrying out this project on the effect of organisational change management on its employees, the descriptive research method is used.This method is used because descriptive method collates, test and validate data. Description emerges following creative exploration, and serves to organize the findings in order to fit them with explanations, and then test or validate those explanations (Krathwohl, 1993).Types of research that can be categorized as descriptive are Surveys (questionnaires, Delphi method, interviews, normative), case studies, job analyses, docudr ama analysis and developmental studies.The questionnaire was the type of descriptive method use in this project. It is used because of its response objectivity which base on the order of the systematised format of the questionnaire. It is also use because it gives opportunity to access information from people, who are free to express themselves and not time bound like interview or experiment.In guarding against sources flaw the four major potential errors were considered. These are sampling error, non- ensureage error, non-response error, and measurement error Any one of these sources of error may make the survey results unacceptable (Groves, 1989 Salant and Dillman, 1994 Dillman, 1991, 1999). sample error was defined as the degree to which the results from the sample deviate from those that would be obtained from the entire population, because of ergodic error in the selection of respondent and the corresponding decrement in reliability (Alreck, 454). This was guarded against by making sure that the respondents are carefully chosen base on location which is their offices and dealing with the human resources department foe support. Respondents were given a good time before collection to guard against bias.Non-response error occurs when the survey fails to get a response to one, or maybe all, of the questions, (http//stats.oecd.org/glossary/detail.asp?ID=1835).This error was prevented by making the survey questions short and non confrontational. Respondents cover was also assured to allow their views to be expressed freely without any restrictions or fear of personal details.Non coverage error which occurs from exclusion of some units or entire section from the survey was prevented by giving equal chance to both new and old employees, although employees years of experience were considered in the survey in range forms.Measurement error is the real variation from the true score, and includes both random error and systematic error, (http//changingminds.org/e xplanations/research/measurement/measurement_error.htm). This was prevented by proper collection and collation process to eliminate data loss. Computations of response were repeated at different times to reduce any error in the measurement process. For easy calibration likert scale was introduced with numerical value.3.2.1 researchNAIRE DESIGNThe questionnaire is designed to meet the aim of this research. diametric standardised questionnaire in relation to employees view to organisational change and employee satisfaction were used. The questionnaire was also designed considering factors that influence the acceptance or resistance of organisational change by employees discussed in earlier chapters.The questionnaire is designed not concentrating on the sex of employees, either female or male, since the objective of the research was not concentrating on the effects of organisational change management on a particular gender. This was also done in the design to eliminate every form of bias perception from the respondents. The questionnaire is designed with equal model for employees irrespective of their years of employment.The questionnaire consists of questions that directly address the aim of the research. That makes it short and prcised in designed. It is designed in order to increase the response rate. The questions in the questionnaire are closed ended questions in likert scale powerfully differ, take issue, Neither give nor Disagree, add together, and potently withstand. The proposed answers were also graded with potently Disagree 5, Disagree 4, Neither Agree nor Disagree 3, Agree 2, and Strongly Agree 1. This was done for easy computation of data results from respondents. The closed ended questionnaire was used because it is easy to answer, easy to decode and timely.The questions began with well-heeled non-threatening questions in order to make them welcoming for the respondents. It is designed to be interesting to the respondents and still goal o riented. The printouts are clear enough for easy reading and questions were create verbally in lower case and instructions in upper case.The questionnaires were pilot with colleagues at work, and project coordinator to assess its effectiveness in checking how long it takes to complete the questions, pellucidity of instructions, elimination of excessive vocabulary for easy understanding and elimination of non goal oriented questions. The average time to complete the questionnaire was five minutes. It specifically designed with such a little time frame because the respondents are suppose busy people and the value of their time if high importance to them and their employers.The questionnaire was divided into three parts, though not specified on it. The three parts are employees view about change, employees readiness towards change and lastly employees view about management effectiveness on organisational change management. The purpose of the first part is to understand better in empl oyees accept not necessarily welcome change. The purpose of the second part is to have understanding about the extent employees may react to change and their readiness towards it. The purpose of the third part is to see if employees have confidence in the management of their organisations in making effective decision in respect to their welfare and organisational change management.The design of the questionnaire includes cover garners which gives concise details about the dissertation, its importance and effective guide in filling the questionnaire. The cover letter was written in simple vocabulary for easy reading purpose.On the cover letter, privacy of respondent was guaranteed and my contact address was also inclusive in case of any further question. Respondents were also informed that filling the questionnaire was optional and I would still be glad to share the result with them either they respond to the questionnaire or not if they are interested.3.2.2 straitsNAIRE DISTRIBUT IONThe distribution of the questionnaire was done systematically to achieve a good timely result. The distribution process was divided into two parts, individual contacts and cooperate contact.The distribution process considered employees busy hours so as not to disturb them at work therefore lunch hour was considered as a more convenient period for the distribution. Some were considered on individual bases at locations like train stations while waiting for their train, though the major distribution was during the lunch hour.The distribution to offices was done with the support of their human resources department. The employees were assured of their privacy despite the permission from their human resources department. All distribution was carried out with date of collection to facilitate the analysis of the questionnaire. Considering that response rates may be much lower than expected, follow up on the respondents was done through their contact or the human resources management dep artment. The follow up were done by bring forward calls and sending e-mails for reminder on the collection date of the distributed questionnaires.3.2.3 QUESTIONNAIRE COLLECTIONCollection of the questionnaire is an important process in this research in order to have a good result. Questionnaires were collected at specified collection date as it was noted on the covering letter from the day of distribution. The answered survey by the respondents was set up for data input into the computer. Microsoft excel application worksheet was use for the computation of the result.QUESTIONNAIREStrongly AgreeAgreeNeither AgreenorDisagree,DisagreeStrongly Disgree.Change is constant in every environmentRate of change is faster in todays business environmentorganisation adapts to changes quicklyEmployees are always comfortable for prepareEmployees welcome organisational changeEmployees are victims of organisational changeEmployees concentrates more on their job than the security of their jobEmploye es understand the organisational goals and objectivesManagement decisions on organisational change are effectiveManagement respects employee view in making decisionManagement consider employees as co-partner in achieving organisational goals and objectives.Management communicate effectively with staffManagement gives necessary training and support to enable staff to do their job moreeffectivelyManagement consider employees welfare during organisational changeTABLE 1.03.3 ANALYSISAfter a successful collection of the survey from the respondents, examination of the survey was then carried out to check if the questions were answered as requested on the covering letter of the questionnaire. Two thousand five hundred and seventy five questionnaires were answered as requested out of three thousand copies that were distributed. Twenty five were answered partly so they were not considered for the analysis, they were discarded.At the end of data input, the result is shown in the table belowSt rongly DisagreeDisagreeNeither AgreenorDisagree,AgreeStrongly Agree.TOTALChange is constant in every environment00408024552575Rate of change is faster in todays business environment06123225252575Organisation adapts to changes quickly c1327927008512575Employees do welcome organisational change632 snow0ccc2483952575Employees are always comfortable for retraining2333556385498002575Employees are victims of organisational change2550 hundred52518752575Employees concentrates more on their job than the security of their job1235800320200202575Employees understand the organisational goals and objectives541177 deoxycytidine monophosphate03255322575Management decisions on organisational change are effective12398005003062575Management respects employee view in making decision155560032550452575Management consider employees as co-partner in achieving organisational goals and objectives.1234800400100412575Management communicate effectively with staff70012352006003402575Management gives necessary tr aining and support to enable staff to do their job moreEffectively5326005006003432575Management consider employees welfare during organisational change132080030015342575TABLE 2.0The analysis was divided into three parts based on the design of the questionnaire which are employees view about change, employees readiness to change and thirdly, employees view about management effectiveness on organisational change management. Percentages of response by respondents are shown below.3.3.1 EMPLOYEES VIEW ABOUT CHANGEIn the table 2.0 above, employees view on change were asked in different ways. The result collated in percentage are shown belowQUESTION 1 CHANGE IS CONSTANT IN EVERY purlieuStrongly agree = 2455/2575 *100 = 95.34%Agree = 80/2575*100 =3.11%Neither Agree nor Disagree = 40/2575 *100 = 1.55%Disagree = 0 = 0%Strongly Disagree = 0 %QUESTION 2 RATE OF CHANGE IS FASTER IN TODAYS BUSINESSENVIRONMENTStrongly agree = 2525/2575 *100 = 98.06%Agree =32/2575*100 =1.24%Neither Agree nor Disag ree = 12/2575 *100 = 0.47%Disagree = 6 = 6/2575 * 100 = 0.23%Strongly Disagree = 0 %QUESTION 3 ORGANISATIONS ADAPTS TO CHANGES QUICKLYStrongly agree = 851/2575 *100 = 33.05%Agree =792/2575*100 =30.76%Neither Agree nor Disagree = 700/2575 *100 = 27.18%Disagree = 132/2575 * 100 = 5.13%Strongly Disagree = 100 /2575*100 = 3.88%3.3.2 EMPLOYEES READINESS TOWARDS CHANGEAnalysis of employees readiness to change was accessed based on their response to the survey question that dealt with it. Their result is displayed in percentages belowQUESTION 1 EMPLOYEES DO WELCOME ORGANISATIONAL CHANGEStrongly agree = 395/2575 *100 = 15.34%Agree =248/2575*100 =9.63%Neither Agree nor Disagree = 300/2575 *100 = 11.65%Disagree = 1000/2575 * 100 = 38.83%Strongly Disagree = 632/2575*100 = 24.54%QUESTION 2 EMPLOYEES ARE ALWAYS COMFORTABLE FOR RETRAININGStrongly agree = 800/2575 *100 = 31.07%Agree =549/2575*100 =21.32%Neither Agree nor Disagree = 638/2575 *100 = 24.78%Disagree = 355/2575 * 100 = 13.79%Strongly D isagree = 233/2575*100 = 9.05QUESTION 3 EMPLOYEES ARE VICTIMS OF ORGANISATIONAL CHANGEStrongly agree = 1875/2575 *100 = 72.82%Agree =525/2575*100 =20.39%Neither Agree nor Disagree = 100/2575 *100 = 3.83%Disagree = 50/2575 * 100 = 1.94%Strongly Disagree = 25/2575*100 = 0.97QUESTION 4 EMPLOYEES CONCENTRATES MORE ON THEIR undertaking THANTHE SECURITY OF THEIR JOBStrongly agree = 20/2575 *100 = 0.78%Agree =200/2575*100 =7.77%Neither Agree nor Disagree = 320/2575 *100 = 12.43%Disagree = 800/2575 * 100 = 31.07%Strongly Disagree = 1235/2575*100 = 47.96%QUESTION 5 EMPLOYEES UNDERSTAND THE ORGANISATIONAL GOALSAND OBJECTIVESStrongly agree = 532/2575 *100 = 20.66%Agree =325/2575*100 =12.62%Neither Agree nor Disagree = 1000/2575 *100 = 38.83%Disagree = 177/2575 * 100 = 6.87%Strongly Disagree = 541/2575*100 = 21.01%3.3.3 EMPLOYEES VIEW ABOUT way EFFECTIVENESS ONORGANISATIONAL CHANGEQUESTION 1 MANAGEMENT DECISIONS ON ORGANISATIONAL CHANGEARE EFFECTIVEStrongly agree = 6/2575 *100 = 0.23%Agree =3 0/2575*100 =1.17%Neither Agree nor Disagree = 500/2575 *100 = 19.42%Disagree = 800/2575 * 100 = 31.07%Strongly Disagree = 1239/2575*100 = 48.12%QUESTION 2 MANAGEMENT RESPECTS EMPLOYEE VIEW IN MAKINGDECISIONStrongly agree = 45/2575 *100 = 1.75%Agree =50/2575*100 =1.94%Neither Agree nor Disagree = 325/2575 *100 = 12.62%Disagree = 600/2575 * 100 = 23.30%Strongly Disagree = 1555/2575*100 = 48.12%QUESTION 3 MANAGEMENT CONSIDER EMPLOYEES AS CO-PARTNER INACHIEVING ORGANISATIONAL GOALS AND OBJECTIVES.Strongly agree = 41/2575 *100 = 1.59%Agree =100/2575*100 =3.88%Neither Agree nor Disagree = 400/2575 *100 = 15.53%Disagree = 800/2575 * 100 = 31.07%Strongly Disagree = 1234/2575*100 = 47.92%QUESTION 4 MANAGEMENT COMMUNICATE EFFECTIVELY WITH STAFFStrongly agree = 340/2575 *100 = 13.20%Agree =600/2575*100 =23.30%Neither Agree nor Disagree = 200/2575 *100 = 7.77%Disagree = 1235/2575 * 100 = 47.96%Strongly Disagree = 700/2575*100 = 27.18%QUESTION 5 MANAGEMENT GIVES NECESSARY TRAINING AND SUPPORTTO ENABLE STAFF TO DO THEIR JOB MORE EFFECTIVELYStrongly agree = 343/2575 *100 = 13.32%