Change is an inevitable part of any organization. As the external and internal environments evolve, leaders and members within the organization will need to change their attitudes and approaches to accomplish the established goals. Additionally, change management refers to how organizations handle change to ensure smooth and cost-effective implementation. In some cases, authors interchange the two phrases even though they have different connotations. Change is transitioning from the existing position to an impending level. In contrast, change management involves coordinating processes and individuals involved in the change to ensure a transformation to the new organizational direction. Companies and government institutions have been continuously shifting to enhanced management strategies based on their actual experiences. In the contemporary environment, change is a continuous process, and all the stakeholders must update their knowledge and expertise continues to remain relevant in the market. Understanding the change process and its relationship with change management is necessary for both managers and employees. The typical organization operates on several empirical foundations, including models and theories that shape culture and decisions. Managers and other stakeholders need to emphasize the importance of adopting best practices as critical aspects when striving for change management.
The latest reports surrounding change management indicate that most of the planned organizational change efforts end up failing or falling short of the expectations (De Keyser et al., 2019). Existing literature points towards an association between triggering organizational change and improved performance and job satisfaction. According to Burke (2014), organizational change is responsible for creating conflict and dissatisfaction among employees resulting in poor performance. It is difficult to generalize the claims made concerning change management’s complexities, given that organizations come in different sizes and scope. Managers and other beneficiaries have the desire to identify the existing literature on organizational change for these and other reasons. Apart from research and implementing change management, adopting best practices encourages meaningful change and reduces the dangers of change implementation. Formulating approaches that can result in sustainable and long-term change is a challenging endeavor. Astor et al. (2016) noted, a key reason for this challenge is that existing literature is conflicted over the change processes within organizations. This academic problem has plagued many authors interested in researching more about change management and its implications on the organization. The fragmented and conflicting literature on change management complicates the process of identifying and implementing change management principles that rely heavily on empirical methods (Davis, 2017). However, even in the absence of a consensus surrounding literature, there is sufficient work that can guide research on this topic.
Approaches to Change Management
It is possible to approach change management from three different angles. The first perspective is handling change management as a systematic process. This idea assumes that it is a formal process to transform the organization comprised of a systematic approach and knowledge. Consistent with Burke (2014), the second approach is the perception that it is a means of transitioning people. As specified by, change management is a vital process that guides, manages, and facilitates people to meet new processes, systems, innovations, and values. Change management refers to a combination of activities that transition employees and leaders from their current work approach to adapting the desired ways of operating. Change management is an active competitive strategy. It is a process of aligning the organization with the latest trends and innovations to survive the competitors’ wave.
Change Management Models
Several models for change management, including the most popular ones, the McKinsey 7-S Model and Lewin’s Change Management Model. The first model is the McKinsey 7-S Model, created in 1981 (Fleisher & Bensoussan, 2007). This approach is useful in analyzing the organization as well as the weak points. Proponents of this model recommend that an organization comprises the seven elements making it very appealing for managers and academics to be applied across different organizations. McKinsey divided the model into hard and soft categories. The hard elements include system, structure, and strategy, whereas the soft aspects include shared values, staff, skills, and style. In line with Fleisher and Bensoussan (2007), the McKinsey 7-S model is useful in assisting managers in coordinating and implementing change management. Managers using this model to create a checklist that is useful in analyzing the need for change and consequently taking the necessary steps to realize the desired changes.
The second model is Lewin’s three-phase model developed by the German American psychologist Kurt Lewin. It contains three-stages that are applied successively: unfreezing, transitioning, and refreezing (Hussain et al., 2018). In the first stage, stakeholders create a change vision and implement it through a change plan. This process indicates the intent to make necessary changes within the organization by adding or amending existing methods. Based on Hussain et al. (2018), the transition stage involves altering the company’s culture, attitudes, and ways of doing business to reflect the change. Refreezing is the last stage; it consists in confirming the change by entrenching the modifications within the organizational structures and processes. The change thus becomes permanently integrated within the organization rather than having it as a temporary event.
Situation
The selected case study for a change initiative is Nokia, a Finnish company specializing in the production and distribution of mobile phones and related applications. The company started producing communication devices in 1992 and immediately achieved significant success across Europe (Doz & Wilson, 2018). However, after a decade, the company struggled against intense competition from companies such as Apple and Samsung, who introduced smartphones with advanced features at a lower price. In less than a decade, Nokia lost many of its market shares across Europe and the United States. As explained by Doz and Wilson (2018), Nokia had a clear advantage over its rivals through its advanced research and development department that produced groundbreaking communication solutions. However, the company’s management and leadership displayed an inability to exploit existing opportunities. This approach resulted in massive financial losses as well as a loss of its market shares. In analyzing the Nokia management situation, it became evident the organization was in dire need of an overhaul. The proposed change management process will address the critical areas within the organization, including the relationship between the management and workforce, streamlining the size and quality of leadership, and reducing any existing bureaucracy.
Evaluation
The reason for selecting Nokia as the preferred organization for implementing a change initiative is the company realized massive profits. It held a significant market share for over two decades before the conversion of factors led to its downfall. Nokia’s downfall is an outcome of different internal and external factors and players. The emergence of dominant competition from overseas entrants and local manufacturers who could produce advanced smartphones created challenges for the telecommunications company. Nokia also had several internal problems that contributed to their downfall. For instance, they had embraced an ineffective organizational culture molded by years of borrowing from local traditions and norms. In the process, they were oblivious to the rapidly changing consumer demands and industry trends.
The company also made several poor leadership decisions, including recruiting Stephen Elop as the new CEO during a period of uncertainty where the company was implementing several change measures (Doz & Wilson, 2018). A failure to communicate and collaborate with the employees contributed to a breakdown in communication and trust between different groups. Nokia mistakenly incorporated the opinions organization’s mass employees leading to flawed decisions that further lowered employee morale and productivity. For instance, seeking a new contract with Accenture to develop a sophisticated operating system created more job losses and demoralized the remaining employees. Nokia made a series of poor decisions since they lacked the proper change management plan. Burke (2014) points out that the process of change formulation and implementation was not clear and reliable. Many of the issues as concerns Nokia’s operations locally and overseas point to the need for a change management initiative.
There is a general assumption that Nokia failed due to slow innovation. Conversely, Nokia possessed an excellent portfolio of ideas and patents during its peak years. As of 2004, Nokia had already finished a smartphone design that applied touch technology. This achievement was three years before any other competitors released their versions. Other forms of technology, such as the 3D user interface, were already available in Nokia devices as early as 2002 (Doz & Wilson, 2018). The problem was that none of these innovations reached the implementation stage due to excessive bureaucracy. At one point, the former telecommunications giant had over 300 top-level executives employed in its offices around the world. Pursuant to Doz and Wilson (2018), the bloated leadership at the higher levels of management, coupled with the complex structure, created repeated delays in making critical decisions. In Nokia, managers could take several months to decide on one product; thus, this lowered their responsiveness to the dynamic and continuously evolving mobile market.
Project Scope
The main aspects of the project scope include the whole organization, deliverables, project budget, workforce changes, and schedules. The changes in Nokia are important to revolutionize its position in the market and strengthen its abilities. The change initiative is to focus on the critical points that require positive changes and devote the efforts of managers, leaders, and employees to address them. Namely, the following areas are considered to be the major flaws: leadership, bureaucracy, and the relationship between the management and workforce. This initiative is associated with the need to address the current crisis that impacts the results of its performance. Among the expected deliverables, it is possible to mention elaborate and systematic documentation, relevant leadership style and strategies, as well as mutual trust and openness between Nokia’s management and employees. These deliverables would be provided through a range of change strategies, including but not limited to staff and HR manager training, the reconsideration of the current leadership structure and style, and the development and introduction of a new way of documentation coordination.
As for the timeline of the proposed project, it is likely to take six months, where the first month will be used to collect sufficient information and plan pertinent change strategies. The second to fourths months will be used to implement changes and observe how employees perceive and adopt them. Ultimately, the last month will be taken to gather the results of the change and evaluate them regarding the goals and deliverables that were identified initially. The outcomes of the project are to be presented to the leadership and management of Nokia so that they can decide on the future adjustments.
Goals
Considering that the proposed project aims to introduce change to improve the current position of Nokia, three goals can be identified. First, it is expected to improve relationships between the management and workforce to make sure that their communication is professional and clear. In some cases, misunderstanding leads to critical mistakes that can be prevented through proper interaction (Doz & Wilson, 2018). The second goal is to minimize the existing bureaucracy since excessive documentation distracts employees from their responsibilities and leads to missed deadlines, poor performance, and other negative consequences. The third goal is to optimize leadership in the company, focusing on its quality and size, which should be consistent with the mission and vision of Nokia (Astor et al., 2016). By achieving the mentioned goals, it would be possible to make the company stronger and more competitive among its rivals. In addition, the improvements that would be accomplished based on these goals are likely to reveal any other weaknesses and threats, which would foster the ongoing process of enhancement.
Project Team Members
The change or project manager is the most crucial role since they coordinate with the rest of the members (Kotter, 2012). Apart from this, they also present change requests to the project owners. Their role involves arranging and performing regular evaluations of the progress of change, such as achieving the deliverables and noting challenges. Other functions of the project manager include the assessment of budgets for change requests. Project managers also communicate with the remaining team members (Kotter, 2012). Accordingly, a project manager would take the role of a change generator, who is expected to be creative and justify his or her ideas as a change agent. In this case, the generator will be the key responsible person for approving the ideas and addressing any emerging conflicts.
The infinite campus project manager is another role in this change initiative, who will be assigned a role of intentional implementers. The individual in this position is responsible for handling change requests from the executive committee and project manager (Davis, 2017). Their functioning will be related to tracking the project and identifying changes that originate from emerging risks and challenges. Lastly, they also provide alternatives and propose courses of action and priorities.
The third role is that of the change requestor. This position is reserved for any significant stakeholder with the power to alter the project in line with the individuals’ permission, as mentioned earlier. In detail, the board director should establish corporation governance that ensures to raise awareness of employee about the company’s culture, goal, and operating method, in turns, enhancing the quality of employee as well as attracting the potential candidates (Davis, 2017). Set of different incentives will encourage the employee’s contribution and the effectiveness of work. Strong management team will have the ability to confront to internal and external issues. Additionally, it is significant for the staffs to undergo necessary training, learning procedure, and development programs, which equip them sufficient information to support and arrange the changes (Davis, 2017). Moreover, managers should make the stakeholders acknowledge the needs to change for the betterment, and frequently analyze contemporary market trends as well as anticipate future scenarios.
Apart from the core roles outlined in the previous paragraph, the execution of a change management plan also requires supplementary team members. These individuals play a minor yet necessary role, serving as unintentional change implementers (Kotter, 2012). The employees who will be involved in the project will adopt changes and practice them as a part of their working routine. The internal communications expert is responsible for training the stakeholders on the best way to express their sentiments about change. Business analysts and subject matter experts are equally necessary for the team. They are responsible for offering their professional advice whenever required to ensure the change process complies with industrial requirements.
Implementation Strategy
The implementation of this change management plan will occur during several steps. The first step is the submission stage. The project manager will submit a change request that emerges from a list of existing problems affecting the organization (Astor et al., 2016). The executive committee or the project manager captures these challenges. The manager, in turn, submits the filled form to the project steering committee for examination. The proposal includes the arrangements and solution for the changes before occurring, to specific, the market segment should be focused is from European countries to Asia, and Africa. Furthermore, the target customer can be switched from the young adult and teenager to middle ages and the elder. It is essential to make an anticipation plan for the worse situations may take place including the economic crisis, catastrophe, epidemic and policy changes, which impact directly to the operating process from purchasing raw materials, workforce and delivery.
The second step is the evaluation stage. After the relevant authorities have received the change management form, the steering committee assesses the change request. Unless there is a complication, the evaluation duration for change requests takes approximately one week after the submission. The evaluation of urgent changes takes about one day. If evaluators require additional information for carrying out their mandate, they can make the request. The third stage is the decision stage. At this level, the initial decision concerning the proposal of the change request falls squarely on the executive committee and project manager who have until two weeks to make a choice. Evaluators will be able to request additional information that can guide their decisions. If the executive committee and project manager request escalation, they will submit the change request to the project sponsors for scrutiny and final choice.
The next step is integration. In this phase, the project manager and the deputy will make changes to the latest project documentation after they have undergone approval. The appropriate team members and stakeholders must approve every documented change request. This stage precedes communication. All the team members and stakeholders receive notice of the recommended changes as they are approved remotely using e-mail or physically using regular reports. During the weekly meetings, the team can review the remaining changes. The members can access the change summary in the weekly project status report.
Monitoring and Evaluation
The data collected in the change management process is useful when evaluating progress. Project managers need to examine and ensure the chosen strategy will be sufficient. Additionally, managers can also ensure adjustments where necessary. This evaluation is a flexible decision that can require several review meetings. It is encouraged to instruct an additional assessment to obtain an accurate analysis. Experts can analyze the different challenges that affect the change process, the likely causes for these issues, and the relevant answers. One of the approaches to evaluating organizational change’s progress is to initiate follow-up that can assess the success levels. Ultimately, the project manager needs to identify new findings that can steer the change process in the right direction. During this period, the project manager can also react to any limitations that emerge and strengthen specific initiatives or set new targets to guarantee success. To achieve this, the manager will have to update the working plan continuously and implement additional changes.
Proposed Evaluation Program
For this change process, it is imperative to formulate an effective evaluation system. The essential elements of the evaluation program include outputs, baseline measurements, and control groups. The outputs evaluate the progress of the organization while outcomes are assessing the effectiveness of the work. Change programs have numerous short-term outputs and fewer long-term outcomes. Output metrics are essential in determining the efficiency of the process. They are equally important in assisting the effectiveness of the change process. There is a correlation between outputs and outcomes making it necessary to include both in the discussion on evaluation. The next aspect of the change process evaluation involves the baseline measurements that act as the standard for establishing whether the change process has been active (Burke, 2014). In the absence of a baseline, it can be challenging to confirm whether different parts of the changes are useful. A critical aspect of measuring benchmarks is setting them out before the change implementation begins. In this fashion, evaluating is a continuous activity that occurs throughout the change process and should not be limited to the tasks that start after the implementation.
Data related to output is useful in measuring the extent to which changes occur when compared to the baseline. The project manager must ask whether the planned strategies can directly account for the difference. In consideration of any possible confusion, the most appropriate approach to evaluating the progress of an organization’s change process is to employ the services of a controlled group of employees. This alternative group comprises of employees placed in a similar setting and having similar characteristics as those benefiting from the change. The process of creating an adequate control group is very cumbersome because vast differences will exist amongst the group of testers. In situations where it is challenging to achieve similarity between the two groups, the project manager can single out specific elements that are easy to compare. Careful program design and implementation using the control groups for evaluation effectively identify the quality of change within the organization. It is imperative to note that evaluating programs is challenging because they need time to develop. Therefore, project managers can offer additional time for the change to come into force before measuring the outcomes. The creation of a data collection plan will compensate and account for this time lag.
The last stage in measuring and evaluating change processes is adjusting action points and goals. In every project, the stakeholders present their goals from the start, and as the intervention continues, the project manager can measure the extent to which the change process has reached the set goals. Common goals include expenditure, physical progress, and changing attitudes, among others. Process evaluations are useful as they identify and propose the best way of using existing resources to realize meaningful change. Process evaluations facilitate an excellent learning opportunity, and during this period, the project manager can implement best practices for the organization. Measurement and assessment indeed lead to alterations in the change implementation process. Other side effects include changing goals and the creation of additional ones. Consequently, the two are vital components to ensure continuous improvement.
The Role of Leadership in Change Initiatives
Successful change management within the organization relies on the quality of leadership. Different levels of leadership interact with members of the organization and therefore have a direct understanding of the change process (Kotter, 2012). While the overall objective might be to support the change process in their different areas of influence, leaders have far more detailed tasks contributing to the overall success of the change initiative. Leaders take the role of the sponsor by acting as advocates for transformation within the organization. Assuming the role of representatives, they actively campaign for change to their peers and junior members. Sponsors give the initiative frequent attention to ensure that it remains to be a relevant agenda item. They are also willing to exploit their social capital to push the change agenda.
Leaders also assume the role of decision-makers and role models. Leaders can promote change by taking the first step. They illustrate the behaviors and attitudes that need to undergo replication by the rest of the members. Employees study leaders for consistency in their declarations and actions to identify any trust elements associated with the benefits of the change (Kotter, 2012). Decision-making is a significant part of being a leader, particularly during the change period. As managers, leaders influence organizational resources, and therefore, they possess the ability to decide the factors that will affect the change initiative (Davis, 2017). They can vote on issues that support the project, as this facilitates rapid progress. During change, leaders can leverage their skills to decide on the best alternatives that encourage change. Therefore, by making tough decisions and leading the way by being positive role models, leaders can ensure change initiatives are successful.
Complexities Associated with Organizational Change
In the process of implementing change within the organization, various challenges emerge that can jeopardize the implementation. Implementing change can be challenging unless project managers focus on altering the mindset of the beneficiaries. Possessing a strategic approach to change is not enough to assure change within the organization. The change will affect all members within an organization regardless of the scope or weight. The difference is a vital component of organizational growth, and with change management, managers can ensure a smooth transition into the new ways of doing business. The process of implementing change might create conflicts. Change has the power to trigger emotions such as uncertainty and terror. It creates space for members to question their position within the organization. Conflict is a mutual unintentional consequence, and all the members of the organization share the responsibility of assisting each other to overcome this challenge. Conflicts can disrupt work schedules making it a very detrimental phenomenon requiring urgent intervention
A breakdown in communication is another significant complexity that results in poor change management. Many organizations struggle to maintain contact, particularly during the change process. As specified by Davis (2017), companies might be proficient in marketing to the target customers, but after making changes, the modification in structures and positions can create confusion and failures. The organization’s situation implies insufficient liaisons, limited channels of contact, and disjointed connection among stakeholders. The management needs to address the communication issues in advance before the new changes. Implementing a large-scale communications plan needs to be part of the change management process as employee resistance can be closely related to a lack of communication by leadership. As a result of poor communication, most employees will not be fully aware of the different players collaborating to ensure change success. In the process, they act out of misinterpretation and fear that causes complexities in the organization. Resistance to change is particularly evident within middle management responsible for the implications of the change across specific departments (Bailey, 2016). Their adverse reactions are an outcome of a limited perspective rather than possessing a holistic view. This attitude flows down to the employees satisfied with the status quo and skeptical of impending changes and their implications. Resistance can persist long after all the changes have undergone implementation, mainly if the new changes create unwarranted workloads that promote job security.
Quality Assurance
Although change initiatives might be single events, ensuring quality is a continuous process that occurs several years later. Hayes (2018) expresses an organization’s ability to integrate variety into the different parts of change raises the overall standards. The probability of members repeating the same process due to improper procedures is lessened. Change management refined with quality assurances (QA) furnishes the organization with a foolproof environment that can withstand contemporary challenges. For the proposed project, an approach of quality audit will be chosen to make sure that the changes and their results are of a high quality. This approach includes the analysis of quality control data and revision of quality standards. In addition, the root cause analysis and determination of preventative actions will be conducted as part of the quality assurance audit in Nokia.
Implementing QA in the change initiative process follows several steps. First, QA starts by defining how employees’ jobs are tied to Nokia’s organizational goals. The workforce plays an important role in the business, thus raising the quality of employee as well as raising their awareness about company’s objectives should be taken into account. Besides, it is excellent to attract the resourceful and potential applicants by different appraises. Second, the factors that make Nokia’s QA system successful, or areas of failure needs to be identified. The problems can be attributed to the product itself, the staffs, and the regulations. Hence, high-level managers should carry out examination regularly every stages and employ influencing to the flaws, or let the staffs review their peers to receive the precise results.
Third, management investigates using monitoring results or root cause analysis to identify the problem. Regarding the determination of cause, supervision decides to maintain the current process or implement change. Moreover, QA is synonymous with continuous improvement. The results or information gleaned from an organization’s survey, or other customer feedback tools should be utilized to make the necessary changes. Next, Nokia must select software that will meet the customers’ and stakeholders’ needs while also improving the overall process. This new strategy is measured to determine if results are improved and stabilized into a normal range. Although there might be numerous motives for executing QA, one of Nokia’s key objectives involves ensuring its customer requirements. To specific, it is possible to doing research, or survey annually about the customer’s behavior and their feedbacks for the previous products. Lastly, if this objective is successful, the new standard is integrated into reporting and quality purposes. The employees and other stakeholders must comply with the newly drafted requirements and best practices. Leaders can become ambassadors of the changes by openly promoting the company’s latest industrial practices and verbalizing to the members that everyone will be responsible for following the new guidance.
References
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