MKG 502M Business Organization and Management Individual Report ? Organization change and stress management By LIU,DI Group 3 Mr. Artemio Gesmundo Jr. Sept. 2, 2012 I. SYNTHESIS Right Management(A leading global communications provider), was facing declining employee engagement and retention of key talent. The business was going through constant changes as it adapted its offerings to the changing economy and, as a result, continuously altered employee responsibilities.
Employees were confused, not knowing or understanding organizational goals and their role in achieving them, and were discouraged by mostly horizontal career paths rather than vertical growth. The company engaged Right Management to implement a change management program designed to increase the agility of both staff and leadership and improve their effectiveness in navigating change. The end goal was to improve morale and engagement, decrease unwanted turnover and minimize disruption to productivity during change. II. POINT OF VIEW
Organizational Change and stress is an important consideration for companies that are implementing new goals and objectives. Bringing about effective change on a company wide scale requires careful planning and implementation. Current research indicates that stress can result from the cognitive process associated with change or from structural changes that affect processes and labor requirements. An individual can undergo resistance to change when their security is threatened, they are intimidated by the change, fear the unknown or have anxiety or self doubt as a result of new processes that require the evelopment of new skill sets. This is a big challenge for companies to manage organizational behavior and stress. The evaluation and planning stage of the change initiates needs to consider the likely ramifications on workers above and beyond the end effects. This requires a proactive approach and consultation with the workers who are most affected by the change. Resistance to organizational change and stress can also result from a change in a companies infrastructure, administration systems or the technology used by the company.
Process change can result in a reallocation of labor, the breakup of existing teams, and the merging of departments and personnel. The movement into new territory and the adaptation that is required can create stress for workers who are resistant to the change. III. STATEMENT OF THE PROBLEM less than half of employees Are confident in their organization’s change Process. Organizations that do not manage change well are four times more likely to lose talent. Ineffective change management can lead to lower levels of job confidence. Ineffective change management negatively impacts an organization’s ability to attract talent.
More than half of employees did not believe that senior leaders effectively implemented change or that change was handled effectively in their organization IV. STATEMENT OF OBJECTIVES 1. Senior leaders implement effective change 2. Safe and healthy workplace 3. Efficient work processes and people systems 4. Fit-for-purpose structure 5. Open and honest communication 6. Employees empowered to make changes to the way things are done 7. Teamwork between business units/departments 8. Resources to do the job well 9. Line managers have appropriate skills V. AREAS OF CONSIDERATION 1. se Assessment tools to evaluate each employee’s change readiness. To create a comprehensive change management system, leaders need to conduct an organizational readiness assessment. One assessment is designed to evaluate structural issues. Another assessment evaluates the change effectiveness skills and abilities of employees by analyzing the specific behaviors and characteristics needed to adapt easily to sometimes difficult changing circumstances — such as an ability to remain calm even in stressful situations and to reach mutually beneficial outcomes during a time of change.
With the right assessment tool, employees at all levels of the organization can develop an understanding of their strengths and weaknesses in how they respond to change. In addition, managers can use the results to provide guidance to their team. In particular, when employees impacted by the change initiative have the opportunity to assess their unique behaviors and responses to change, the results provide a common language to use in group discussions. At the organizational level, leaders can employ the information to understand how the business will react to change. 2. build change management capabilities at all organizational levels.
To become a change-ready, agile company, each organizational level — senior leadership,middle managers and staff — needs to learn how to effectively respond to and manage change. But these segments require different capabilities, depending on their roles and the amount of control they exert over the process. Specifically: • Senior leaders initiate, guide and champion change, ensuring engagement among the rest of the organization. It is up to senior leaders to make sure that their plan takes into account not just the immediate change but other changes likely to occur in the future.
It also involves engaging the workforce early in the process. To ensure engagement and alignment, senior leaders benefit from encouraging input from employees, keeping employees informed about the change process, valuing and acting on ideas, following through on actions and modeling appropriate responses to change. That, in turn, includes equipping line managers with the right skills — such as developing a common, consistent language to talk about the change — needed to help the rest of the organization adapt to and embrace the change. • Middle managers make change happen, but have little control over the direction.
Indeed, middle managers may be in the most difficult position: They must facilitate change and help their employees understand the reasons and objectives for the change. They also provide direction and support on ways to respond positively and effectively to the change that impacts not only staff, but them as well. Additionally, middle managers must be equipped with the skills and resources needed to help their employees — such as how to better understand typical responses to change, the cycles of change and how to guide people through the change. Employees impacted by change must adapt and grow. The majority of employees have no control over the change decision. But they need to continue to meet performance objectives during and after a change event. To that end, employees may need help creating strategies to overcome natural resistance to change. Through assessments, workshops and team meetings, organizations can show employees how to recognize their own styles, anticipate their reactions to change, understand their role in making change work, set measurable goals and develop a plan of action.
Most importantly, employees need to be treated as more than passive recipients of change — they need to be involved. Ensure that employees understand the need for change — why it’s important,their role in the process, what is expected of them — and provide a means to contribute and influence the process. 3. create fit for purpose, structure and roles. Structure is the game plan for getting work done — not just an organization flowchart. It ensures the right people are doing the right work.
Good structure means every employee has a clear role and set of accountabilities, as well as the authority required to perform. A highly bureaucratic structure might impede the ability to adapt quickly, as would a siloed business that’s busy competing internally rather than adding value to the change agenda. In addition, employees may not be able to adapt to change if the design of their jobs doesn’t permit it or if they are not given the authority to make the necessary changes to their work needed to achieve the new company direction or focus.
For that reason, organizations need to conduct a high-level overview of jobs considered to be critical to building agility and re-evaluate job descriptions, if necessary. Finally, organizations have to examine whether their operating model and culture are conducive to change agility. 4. implement effective people systems and processes. These are the various systems and processes that organizations utilize to send messages,share information and make well-informed decisions.
These include communication systems,performance management, recruitment and selection, and remuneration and reward. Effective change management relies heavily on people systems that work together to create change agility to implement and embed the change when it occurs. These systems are viewed as an extension of leadership — creating consistency and trust. To create change agility, it is critical to ensure that performance management, succession management, and talent attraction and retention systems are effectively working together.
In the area of HR processes,organizations need to ensure they don’t have legacy procedures that might inhibit agility,while compensation and reward systems may provide incentives for the wrong behaviors. 5. measure success. To determine how effective their efforts have been, organizations need methods for measuring success. Best practice is to define goals at the outset and the metrics to be used for assessing whether those objectives have been achieved. Key business metrics will be unique to the organization. In some companies, for example, productivity may be important;while in another, customer retention may be essential.
Other key metrics might include employee retention and the absenteeism rate, since a period of change disruption, handled incorrectly, could cause a higher rate of employee defections and absences. In addition,organizations can create mechanisms for receiving feedback, such as employee surveys or focus groups that can be conducted at various points during and after the change. VI. ALTERNATIVE COURSES OF ACTION Keep Employees Informed You should make an effort to keep your employees informed about upcoming changes to avoid their emotional upset or stress.
If you don’t reveal changes in advance, employees will begin to focus on the “what-ifs” instead of their job-related responsibilities. Then, your small business productivity will suffer. When you inform employees of upcoming changes, explain why they are happening, so employees won’t make incorrect and stress-inducing assumptions. Ask for Support Rather than deliver an announcement of change to employees and leave it at that, ask for your employees’ support. If you approach the changes as a team, less stress will arise.
For example, say “While these changes are inevitable, I would like to know if you will support them. As valued employees, we can work together to make this business better than ever. ” Channel employees’ energy toward accepting the change and working together as a team to adjust. It will empower them. Require Training and Cross-Training As organizational roles change, so do training requirements. Give training to employees so they are well-equipped to handle new roles. If you lose a percentage of your staff, cross-training is helpful. Employees can learn to do jobs that were previously held by others.
Note that implementing cross-training during a time of change may increase stress, because some staff members may feel as if their jobs are threatened. Wait to implement cross-training as things stabilize. Sponsor a Wellness Program Regular daily exercise can help employees reduce stress. Purchase pedometers for employees. Hand them out and ask them to accept a wellness challenge. Explain that the goal is for employees to walk 10,000 steps per day. Have employees document their progress and share their successes with each other at the end of each week.
Avoid having sit-down meetings with individual employees. Instead, walk and talk to encourage activity. Sponsor a company walk or marathon that employees can participate in for prizes such as paid time off. Offer Career Opportunities As a result of organizational change, new career opportunities may arise. Give employees a copy of each position’s requirements and encourage them to apply. If employees focus on career goals and eventual stability in a new position, they may experience less stress. VII. RECOMMENDATION VIII. LEARNING POINTS