Concept of Change Management

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Introduction and Concept of Change Management

Change is treated as the only constant in one’s life. This fact holds for any business organization also. External and internal factors play key roles in bringing out the changes in an organization. One of the crucial aspects of management is to execute the changes smoothly. The procedure of changes in a business organization is termed as change management. In the following article, concepts like ‘altering’ meaning, the meaning of change, change management, the change management process, ‘industrial revolution’ definition, ‘change’ definition, etc have been explained in detail.

What is Change Management?

The activities of all business entities are affected by the changes in their external and internal environment. There are two ways by which these changes occur. One is at the individual level and another is at the organizational level. Both the employees and the managers are affected by the changes. However, basic human nature is to resist changes. People in fear of the unknown tend to cling on to the existing systems and functions. It is the duty of the management to take them into its confidence and make them adapt to the changes as smoothly as possible. This is because changes are inevitable and not always it is possible to prevent them. But, if facilitated, one can adapt to these changes with time. This requires a well-calculated change management plan and its proper implementation with the help of tools like training and development, communication, etc.

What is the Meaning of Change?

Alteration in the common way of performing things is the meaning of change. The altering meaning starts at the fact that certain people perform a duty in a specific way and they get habituated to them. There are certain methods which are developed by them to achieve these tasks. Altering meaning is the base of any variation of these methods.

There are two types of changes namely natural and reactive. If the changes normally happen routinely in the ordinary course of business, it is called the natural changes. On the other hand, reactive changes occur as a reaction to the firm’s policies or its surroundings.

What is the Change Management Process?

The anticipation of predictable changes is the sign of a good manager. A sound manager is also able to implement these changes in his/her organization very smoothly. This is the crux of the change management process.

Change is an inevitable phenomenon which can never be prevented entirely. Managers can either wait for the alterations to happen or they can anticipate them and act in advance. The last thing is the probable act of a good manager.

Change management process normally needs a vivid understanding of factors that affect changes. The factors responsible for effecting changes are external and internal changes.

What are the Causes of Change?

In the above discussion, the change definition, organizational change, modifications meaning, concept of change management, change control process, etc have been explained vividly. Now, let us look at the factors responsible for change:

External Factors:

  1. Economic factors

  2. Politics

  3. Technology

  4. Other factors (urbanization, cultural changes, education, change in social mindset etc).

Internal Factors:

  1. Changes in personnel.

  2. Functional policy decision change.

  3. Alteration affecting physical facilities.

  4. Merger & Acquisition.

  5. End of the product life cycle.

Industrial Revolution Definition:

The actual industrial revolution definition is the time period (the 1760s - 1840) in which a transition to a brand new manufacturing process took place in Europe and the United States. It was the first major change that occurred in history on a societal level. Any ‘change’ definition or ‘modifications’ meaning can be derived from the analysis of the industrial revolution.

What is the Change Control Process?

Change control is a process which can be either formal or informal. It is used to ensure that a product or process within quality management systems and information technology systems undergo positive changes. Change control is one of the most vital things in the concept of change management.

We have attempted to discuss change definition, industrial revolution definition, organizational change, modifications meaning, change management principles etc in a picturesque manner. We are hopeful that it will help you in understanding the whole thing in a better manner.

FAQ (Frequently Asked Questions)

1. Define Management.

Ans: The activities of planning, organizing, controlling and monitoring the factors of production namely people, material, machines, money, techniques, and markets are together termed as management. It is aimed at providing direction and coordination to all the human elements of an organization and motivating them to work together towards a common goal.

2. What are the Drivers of Organizational Change?

Ans: The following factors are the drivers of organizational change:

  1. Economic Climate: The economic conditions or the state of the overall economy of a country is termed as the economic climate. An organization may have to lay off workers and needs to be restructured at the time of recession. A merger or takeover also signifies the fact of complete reorganization and changes in corporate culture.

  2. Consumer Demand and Behaviour: There are always changes in peoples’ lifestyles, shopping habits, working habits and the nature of spending on leisure. Hence, consumer demand and behaviour play a crucial role in the process of organizational change.

  3. New Technologies: Introduction of brand new technologies also plays a vital role in the organizational change procedure. 

  4. The Competitive Market Place: The existing players of the market may have to adopt a new commercial behaviour if a new rival enters the market with entirely different commercial behaviours.

  5. Government Rules and Regulations: The organizations require complying with or adapting a certain thing if those are faced with new legislation or rules imposed by the relevant regulatory authorities.

3. What are the Types of Organizational Change?

Ans:  The common types of organizational changes are as follows:

  • Mission and strategy

  • Organizational structure

  • Policies and Legal Agreements

  • Personnel processes

  • Products

  • Culture

  • Technology

  • Knowledge

  • Integration