Page 150 - DCAP306_DCAP511_E-COMMERCE_AND_E-BUSINESS

Unit 12: Management of Change

Types of change management strategies include:
1. Directive Strategies: This approach emphasizes on the manager's right and authority to manage
and enforce change without involving other people. The main advantage of the directive strategy
is that change can be brought into effect quickly.
This approach however does not take into account the views of other people who are involved in,
or are affected by the imposed change. Valuable information and ideas may be missed in this
approach as the inflow of new ideas or information is restricted due to non-participation of other
people. There is generally a strong aversion from the staff of an organization, when changes are
forced on them rather than discussed and agreed.

When a manager wants to shuffle the domain of the employees working in a
project, he or she takes the decision and conveys the change to the higher
authorities.
2. Expert Strategies: This approach takes into account change management as a problem solving
process, which involves an expert. The expert approach is primarily applied to problems that are
more technical and are normally led by a specialist project team or senior manager. In this
scenario, there is little involvement with those affected by the change.

When a new learning management system is introduced in an organization, an
expert leads the team to build and initiate the system.
The advantage of using this strategy is that experts play a key role in finding a solution to a
problem. The implementation of the solution is quick as a small number of experts are involved.
However, those affected by the change may have different views than those of the experts and
may not welcome the solution being imposed or the outcomes of the changes made.
3. Negotiating Strategies: This approach emphasizes on the willingness of the senior managers to
negotiate and bargain in order to achieve change. Senior managers must also believe that
adjustments and concessions may need to be made in order to realize change.
This approach recognizes that those affected by change have a right to say about the implemented
change. Individuals feel involved in the change and are supportive of the changes made. This
approach takes more time to effect change, which is one of the disadvantages of this strategy. The
outcomes of this approach cannot be predicted and the changes made may not accomplish the
total expectations of the managers.

Suppose an automobile company decides to upgrade its database to be more
competent in the growing market. For this they need to hire an IT company who
will provide the required software. The software and its annual maintenance will
cost the buyer a lot of money. The senior managers negotiate to reduce the price of
the software. If the negotiation is successful, the software will be bought at the
price fixed by the senior managers of the automobile company.

4. Educative Strategies: This approach involves changing people's values and beliefs, which
motivates them to support the changes and move toward the development of a shared set of
organizational values. Activities like education, training, and selection are used which are led by
specialists and in-house experts. Individuals within the organization have optimistic commitment
to the changes. The disadvantage of this approach is that it takes a longer time to implement.
5. Participative Strategies: This approach emphasizes on the full participation of all of those
involved and affected by the changes. Though senior managers drive this approach, the process is
equally driven by the management, groups or individuals within the organization.
The views of all the individuals involved are taken into consideration before changes are made.
Consultants and experts from outside the organization are used to aid the process but they do not

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