Page 24 - DMGT520_ORGANIZATION_CHANGE_AND_DEVELOPMENT

Unit 2: Nature of Planned Change

will have to become more adaptable. Many jobs will be reshaped. Individuals, who do Notes
routine, specialized and narrow jobs will be replaced by workers who can perform multiple
in decision-making. Managements will have to increase their investment in training and
education of the employees because employees skills are becoming obsolete more quickly
Japanese firms have progressed rapidly because they are very fast in adopting new
technological innovations.
2. Marketing Conditions: Marketing conditions are no more static. They are in the process of
rapid change as the needs, desires and expectations of the customers change rapidly and
frequently. Moreover, there is tough competition in the market as the market is flooded
with new products and innovations everyday new methods of advertising are used to
influence the customers. Today the concept of consumerism has gained considerable
importance and thus, the consumers be treated as the kings.
Moreover, the competition today has some significant new twists; most markets will soon
be international because of decreasing transportation and communication costs and the
increasing export orientation of business. The global economy will make sure that
competitors are likely to come across the ocean as well as from across town. Successful
organisations will be those who can change in response to the competition. Organisations
that are not ready for these new sources of competition in the next decade may not exist for
long.
3. Social Changes: Social and cultural environment also suggest some changes that the
organisations have to adjust for. There are a lot of social changes due to spread of education,
knowledge and a lot of government efforts. Social quality, e.g. equal opportunities to
women, equal pay for equal work, has posed new challenges for the management. The
management has to follow certain social norms in shaping its employment, marketing
and other policies.
4. Political Forces: Political environment within and outside the country have an important
impact on business especially the transnational corporations. The interference of the
government in business has increased tremendously in most of the countries. The corporate
sector is regulated by a lot of laws and regulations. The organisations do not have any
control over the political and legal forces, but they have to adapt to meet the pressure of
these forces.
In our country, the new economic policy has liberalized the economy to a large extent.
Many of the regulatory laws have been amended to reduce the interference of the
Government in business. An organisation is also affected by the world politics. Some of
the changes in the world politics which have affected business all over the world are e.g.
the reunification of Germany, Iraq’s invasion of Kuwait and the break of Soviet Union.

2.2.2 Internal Forces

Internal forces are too many and it is very difficult to list them comprehensively. However,
major internal causes are explained as follows:
1. Nature of the Workforce: The nature of workforce has changed over a passage of time.
Different work values have been expressed by different generations. Workers who are in
the age group of 50 plus value loyalty to their employers. Workers in their mid thirties to
mid forties are loyal to themselves only. The youngest generation of workers is loyal to
their careers.
The profile of the workforce is also changing fast. The new generation of workers has
better educational qualifications; they place greater emphasis on human values and question

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